Simplifying Casino Compliance: Automation and Integrated Systems


The casino and gaming industry is subject to rigorous regulatory requirements.  As a result, casino compliance can be a bit trickier than in other industries. This article will discuss how leveraging new compliance technology with automation and proper integration can help streamline your casino’s compliance program.




A Brief Summary of Casino Compliance Requirements

Casino anti-money laundering regulations are rigorous for a reason. A business with the volume of transactions that casinos have will always be a target for money laundering.




Important Gaming Compliance Legislation

As with most U.S.-based businesses, the majority of compliance legislation for casinos comes from the Financial Crimes Enforcement Network’s (FinCEN’s) Bank Secrecy Act (BSA). The main regulatory requirement that casinos must comply with is Title 31. This component of the BSA has specific recordkeeping and reporting requirements for the gaming industry. For an in-depth analysis of this regulatory requirement check out our blog on everything you need to know for Title 31 compliance.




Additional AML Compliance Requirements

In addition to adhering to specific gaming financial regulations, casinos must continually complete AML risk assessments, Know Your Customer (KYC) processes and ongoing monitoring and enhanced due diligence. These continual processes must accurately identify potential money laundering red flags for further examination.




Other Regulatory Requirements

In addition to these AML compliance requirements, casinos must also perform due diligence procedures. Casinos must actively perform sanctions and watchlist screening to ensure they are not conducting business with politically exposed persons and Specifically Designated Nationals.




Simplifying These Processes

These time-consuming and manual tasks of ongoing monitoring and reporting are more than a full-time job. Casinos must have a large number of compliance professionals to perform these tasks or hire a few professionals and equip them with technology that can automate manual tasks and monitoring.




The Advantages of Compliance Technology

A casino AML compliance platform can provide a variety of benefits and assurances for your compliance program.



Real-Time Monitoring

Monitoring patron transactions and actions inside your casino without the right tools is challenging. The volume of transactions would be too high to sort through manually. An AML transaction monitoring software is able to sift through a high volume of both digital and traditional transactions, identifying suspicious activities in real-time.



Automate Regulatory Reporting

Another intensive process required for casino compliance is the creation and filing of regulatory reports. Casinos must regularly create and file a variety of reports, such as Currency Transaction Reports (CTRs), Suspicious Activity Reports (SARs) and Suspicious Transaction Reports (STRs).


An automated regulatory reporting solution reduces the manual aspect of this task and removes the element of human error, allowing for reports to be auto-populated correctly and sent electronically to their appropriate regulatory body.


For more information on casino-specific reporting requirements, view our blog overviewing SARs for casinos.



Patron Identity Verification and Watchlist and Sanction Screening

Similar to a transaction monitoring solution, identity verification and KYC software, if paired with your onboarding system, will allow you to screen a high volume of patrons in real-time for identity verification, and to screen against sanction lists, OFAC, law enforcement, politically exposed persons (PEPs), adverse media, and your own internal high-risk lists.


The ability to do this in real-time or on-demand saves time and resources and reduces false positives associated with human error.



Risk Scoring

Once identities are verified, an AML risk scoring solution can be implemented to create a risk scoring model customized to your needs and risk tolerance, giving you a better understanding of your patron risk levels.



In Summation

With so many moving pieces in a compliance program leveraging the right tools for greater accuracy and efficiency can be hugely beneficial.


In a recent case study done with our client Athene Holding Ltd., one employee stated, “I love to find software solutions that help make business processes easier. Three years ago, we were doing all of this manually. Transaction monitoring, customer risk scoring SARs filing, it was all manual. We knew there had to be a better way, so we started looking at options. When we reviewed Alessa, we found that we could automate all these functions, some that we hadn’t even considered being able to automate before.”




The Missing Piece

Each of these solutions can save time and resources for a casino compliance team while decreasing false positives, however, implementing multiple software solutions can cause other issues.


A large number of different solutions attempting to coexist and communicate with each other, and existing legacy systems in your business, can be challenging. Software system integration is as vital as the functions these platforms are intended to complete.



Systems Integration

There is no guarantee that a KYC customer identification software from company X, and a risk scoring model developed from company Y will be able to work in harmony. Systems may need further code added to enable proper collaboration with each other and your legacy systems.


The answer to these issues is to implement a complete casino AML compliance solution. A solution that offers all the modules needed for your compliance program removes the uncertainty that different software will have difficulty integrating with each other.


Choosing a complete compliance platform means that the only additional work needed is to ensure integration between the solution and your existing legacy systems, such as your client onboarding systems.



Compliance Solution for Casinos

Alessa brings speed, efficiency and enhanced reporting to your compliance team. Offering a full complement of integrated AML compliance modules, our powerful platform equips your team with an industry-leading solution with real-time capabilities and automation.


Reach out for a demo to learn more about how Alessa can help you build a better AML compliance program for your casino. 

Schedule a free demo

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