Some European politicians and experts expressed unanimous opinions that they do not see online gambling as a potential medium for money laundering. Dr. Friedrich Schneider, a Professor of Economics at Johannes-Kepler-University opined that organized crime groups or criminals would hardly consider Internet-based gambling websites as useful vehicles for money laundering, since such facilities could only channel a relatively small volume of money.
However, it is worthwhile to note that European experts expressed such opinions by taking into consideration the European anti-money laundering regulations that are already in place; from the simplest act of verifying a customer’s identity to the integration of sophisticated monitoring and record-keeping software used by European web-based gambling operators.
Such measures allow Internet gambling companies to trace financial transactions that can likely prevent money-laundering activities between online players.
They also cited as example that all gambling transactions consummated online have to make use of a licensed bank’s facilities. The latter is likewise compelled to monitor the funds that pass through their systems, as part of their compliance with EU Anti-Money Laundering Directives of the European Commission.
In UK, the Gambling Commission identifies the online gambling sector as a possible target of criminals and terrorists for laundering money, acquired illegally. Internet gambling operators must adhere to all aspects of anti-money laundering rules and guidance.
These include not only preventing, but also investigating and reporting anyone suspected or found violating such rules. Non-compliance with these actions constitutes behaviors that do not operate within the law, and will result to severe civil and criminal fines as well as imprisonment for the management of the online gambling company.