Ways To Launder Money Casino

  1. Ways To Launder Money Casino Gift Cards
  2. Ways To Launder Money Casino Slots
  3. How Do You Launder Money Through A Casino

The ways to launder money are revolutionizing as the criminals have come up with creative ways to launder their illicit funds. But unfortunately, their creativity comes at a cost to your business if you are unable to detect and prevent this money from entering your system. These costs include fines, imprisonment, and reputation damage.

The ways to launder money are varied and complex and usually employ a series of transactions involving multiple organizations and countries, experts say. Casinos are also becoming popular for. Money laundering academics look to Alberto Barrera, aka Papa Smurf, as a textbook example of smurfing operations in the 1980s. Based out of Miami, Barrera employed a dozen Colombian henchmen who would take cash deposits to hundreds of banks across the US, buying cashier’s checks and money orders for about $5,000 each.

While you might be aware of some of the more common money laundering techniques, here is a detailed description of the methods of money laundering:


A commonly used money laundering method, smurfing involves the use of multiple individuals and/or multiple transactions for making cash deposits, buying monetary instruments, or bank drafts in amounts under the reporting threshold (normally around $10,000). The illegal act of splitting cash deposits or withdrawals into smaller amounts, or purchasing monetary instruments, to stay under a currency reporting threshold. Money launderers use structuring to avoid triggering a filing by a financial institution. The technique is common in jurisdictions that have compulsory currency reporting requirements.

Online Marketplaces

The more there are opportunities of earning additional income off of the resources the more there is a rise in micro-merchants, individuals who offer their products or services through an online marketplace. It all adds up to a huge economy with massive transaction volume and thus a tempting target for money launderers. In one example, money launderers make fake bookings and share the revenue with the host, and the value can add up quickly. Proper risk management techniques and effective due diligence procedures will help protect your business.

Electronic Money

There are many ways in which a criminal can illegally acquire money electronically. Whether it’s through malicious malware, phishing, account takeovers, or other vectors, a commonality across all these attack methods is that fraudsters will need to move the illicit funds fast to avoid being caught and have the sum confiscated. Stored-value cards allow electronic money to be put onto the card directly and then used to purchase goods and services.

Offshore Accounts

Individuals can transfer stolen funds into an offshore account in a locale where bank secrecy laws are not very strict. These countries and territories are often referred to as tax havens. Financial institutions, trusts, shell corporations, and other financial groups in these regions may welcome money from almost anywhere and often do not require disclosure of information regarding where the money originated from. In turn, these institutions do not file any reporting back to the country in which the funds were generated.

Anonymous Shell Accounts

A shell company, bank, account, or corporation is an entity that conducts no real business. It is essentially a cover used to hide and move funds. The purpose of these accounts is to deceive others into thinking the business is legitimate while laundering money and evading taxes.

Money Mules

A money mule is a person who receives and transfers funds acquired illegally for others. Most mules receive a commission for their efforts. When bank accounts are compromised by cybercriminals and international organized crime groups, money mules are an essential part of moving victims’ money through the financial system and assisting criminals in cashing out the compromised accounts.

In the past money mules were knownto cross borders with money strapped to their bodies, travelling with brief cases full of notes or simply stuffing money in the tank of the car criminals are never short of creative ideas.


In recent years, the Financial Crime Enforcement Network placed regulatory requirements on casinos due to the large sums of money and the high frequency of transactions at these establishments. Not every country and territory follows these guidelines, however, allowing savvy criminals another pathway to move their illicit funds. A recent example of this is a Bangladesh bank heist where cybercriminals targeted the SWIFT system to move the money before extracting it through a casino in the Philippines.

Another way used to launder money is criminals would buy thousands of dollars’ worth of casino chips in an established casino with low AML rules and then request the chips to be moved around the different casino branches around the world and ultimately withdrawing the money as “winnings”


Virtual currencies, cryptocurrency, a digital currency designed to work as a medium of exchange, offers another avenue for money launderers to clean their money. The increasing use of OTC bitcoin brokers can transfer millions of dollars in bitcoin across international borders until you have a way to stop this process, criminals will keep on harming the societies and economies.

The minimum controls and KYC process implemented by some of these crypto brokers and exchanges make it an ideal place for money launders to use.

Shell Bank

The bank that exists on paper only and that has no physical presence in the country where it is incorporated or licensed, and which is unaffiliated with a regulated financial services group that is subject to effective consolidated supervision.Although there has been a crackdown on doing business with Shell Banks they still exist in certain jurisdictions.

Ways To Launder Money Casino Gift Cards

Instant Messaging

There are many other instant messaging payment apps used by people around the world. For example, Facebook’s Messenger Chat service has integrations with PayPal, MasterCard, American Express, TransferWiseand Western Union. All these accounts and transactions make for another sweet target for money launderers. While the volume and number of accounts are enormous, all the transactions are digital, making tracking and monitoring for illegal activity that much easier. Thus, larger organizations can enable sophisticated pattern recognition systems that highlight questionable activities and accounts.

Gift Cards

Gift cards are big business. Fraudsters copy the serial numbers of the cards, scratch off the security code, and then cover them up. Then, when the card is activated, they can access the funds on the card. While they can’t redeem the funds for cash directly, they can use them to buy products that they sell for cash. Moreover, by using stolen debit or credit cards, they quickly purchase prepaid cards in bulk. They can then sell for cards for cold, hard cash. If they aren’t caught in the act of using the stolen cards, it’s very difficult to trace these culprits.

Online Games

Typically, online games involve setting up numerous accounts in multiple jurisdictions, purchasing in-game credits and transferring those credits around to wash the money. They can extend the crime by exploiting hacks of the game to create more virtual loot, create spoofing accounts to steal other player credits, or even using forced labor to generate credits. As these virtual worlds continue to grow and their virtual economies deal with larger sums of money, money launderers will no doubt come up with other models to hide their funds.

Well there you have it, some of the most common methods used to launder money, although some are creative and take careful planning to be carried out,if caught by the authorities we are sure the creativity wont help to get them out of a hefty prison sentence.

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September 27, 2020

There are several key methods that criminals deploy when money laundering. Many groups rely on breaking up the deposits into small tranches to avoid flagging in a practice known as structuring. Others simply buy chips with cash, spend some time on the casino floor and attempt to cash them out as winnings. There are many methods that involve the use of shell companies to conceal transactions, bank accounts and individuals involved. It is an incredibly complex area of finance and one that the authorities are fighting tirelessly to stamp out in all forms.

What Makes Casinos the Perfect Target?

Casino gambling is a brilliant way to make money disappear, and reappear in separate bank accounts. Obviously, the casino industry takes measures to make this difficult which we will explain in more detail down the page. The casino does not necessarily need to be complicit in the money laundering activities for criminals to be successful, but many have known to be in the past. With so many underground markets operating throughout Asia, Europe and America – criminals have plenty of casinos and sports betting operators they can exploit to launder their dirty cash.

Without the compliance of the regulated casino industry, this is an uphill battle that the authorities cannot fight alone. There are many motivated, and well-funded criminal gangs that are persistent in their efforts to use casinos to launder money. Within the casinos, themselves exist many vulnerabilities that can be easily exploited. The staff in casinos represent one of the biggest risk factors for money laundering, as they are often low-paid administrative staff that can be easily bribed or threatened to assist the criminals laundering their money.

But what makes the casino money laundering so appealing rather than off-shore shell companies or other such methods.

The three biggest reasons for money laundering at casinos are:

  • Casinos and sports betting operators have enormous cash flows that make it easy to bets intended for money laundering within the sea of transactions flowing in and out.
  • It doesn’t matter who you are, whether you’ve been convicted of financial crimes or where your money comes from. The majority of casinos around the world are happy to accept wagers from anyone with hard cash to gamble.
  • High-rollers are a major source of profit for many casinos – in order to maintain a strong a favorable relationship with the client, staff may ignore or turn a blind eye to any suspicious transaction.

As you can imagine from the above statements, revenue and profit are huge motivating factors for the casinos. It is difficult to deny that casinos are powerless to stop this activity, and certainly more needs to be done from industry regulators to enforce systematic checks on customers that set-off red flags with suspicious depositing activity.

Using casinos to launder money

Industry regulators certainly have a part to play, by scrutinizing large casino companies around the world they regularly audit and analyze financial statements looking for irregularities. The biggest operators make enough money from legal transactions, and it tends to be smaller casinos in less stringent jurisdictions that are complicit with money launderers. In Asia, there has been a long-term problem with this illegal activity – and a thriving underground gambling industry.

Things are a little different online, especially if you are gambling in the UK or another strictly regulated market. If you are worried about what might be going on at your favorite casino site, have a look at our guide to casino safety to see what reputable sites are doing to keep everything above board.

Fighting Against Money Laundering with Regulation

Within tightly regulated industries such as Europe and North America casino money laundering is a very low threat to operations. The regulators in these territories are very diligent, using a mixture of law enforcement integrations, technology, and correct procedures to mitigate the problems. Communities in Europe and North America are more resistant to the risks associated with exposing themselves to organized crime and are more active in their resistance to money launderers.

However, the Asian gambling industry is worth over $180bn annually. Before the market became such an enormous part of the local economy, a strong and thriving underground gambling scene was firmly established. Even now that big corporate casino interests have a firm hold on the market, the dark underbelly still remains.

Certain casinos within Asia are notorious for being connected to the criminal underworld – on a much larger scale than any European equivalent. It has been proven in the past that the Yakuza has a strong grip over many gambling operators in Japan, and in South-East Asia there have been several high-profile match-fixing and money laundering busts in the past decade.

The tide is turning though. Many of these casinos have begun enforcing identity checks on their new customers. More importantly, the range of payment options that was previously available has been refined to a select few, in this scenario payments are much more easily traced. The ability to use different accounts for deposits and withdrawals has enabled casino money laundering in the past, ending this practice will do a great deal for squashing the remnants of money laundering in this industry.

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Is the Game Up for Money Launderers?

Obstructing the use of casinos as a vehicle for money laundering is a constant battle between law enforcement, criminals and casino operators. In the UK, customer check procedures are continuously improving, and in its current state, the system is highly impenetrable. The same rings true for much of Europe and North America. However, the lackluster approach to financial scrutiny in certain jurisdictions continues to allow the practice of money laundering to sneak under the radar. The amount of money involved is truly staggering, with that comes powerful and illicitly motivated groups who are determined for their business to go uninterrupted. The battle rages on between criminals and the authorities who are often left chasing shadows.

How Do You Launder Money Through A Casino

You can find out more info about how casinos stay safe from crime and how internet gambling is regulated in this section of our guide to real money casino gambling.