• Tabcorp notified of AUSTRAC compliance concerns
• AUSTRAC has commenced an enforcement investigation
• Tabcorp committed to collaborating with AUSTRAC

Tabcorp Holdings Limited has received a letter from AUSTRAC, the Australian financial intelligence agency, in relation to a compliance assessment being undertaken. AUSTRAC has informed Tabcorp that it has a number of serious concerns with the company's ability to effectively identify, mitigate and manage its money laundering / terrorism financing (ML/TF) risks. As a consequence, AUSTRAC has advised that it has commenced an enforcement investigation. This investigation will initially focus on evaluating Tabcorp's compliance with its obligations under the AML/CTF Act, including having a compliant AML/CTF Program, complying with that program, and appropriately monitoring customers. AUSTRAC has stated that the investigation is at an early stage and its approach will be determined once sufficient evidence has been collected and assessed. The regulator has also advised that all potential outcomes remain open, including the possibility that no further enforcement action will be taken. Tabcorp's Chairman and Managing Director have both expressed the company's commitment to collaborating with AUSTRAC and uplifting its ML/TF risk management capabilities.