Administrative monetary penalty on Nova Scotia Gaming Corporation
[2026-09-03]
Nova Scotia Gaming Corporation, a reporting entity in the casino sector, headquartered in Halifax, Nova Scotia, was imposed an administrative monetary penalty of $231,826 on July 23, 2026, for committing 3 violations. The violations were found during the course of a compliance examination. Nova Scotia Gaming Corporation has paid the administrative monetary penalty in full and the case is closed.
Nature of violation
- Violation #1
-
Failure to submit suspicious transaction reports where there were reasonable grounds to suspect that transactions were related to a money laundering or terrorist activity financing offence – Proceeds of Crime (Money Laundering) and Terrorist Financing Act, section 7
Nova Scotia Gaming Corporation failed to submit 2 suspicious transaction reports where there were reasonable grounds to suspect that one or more attempted transactions were related to the commission of a money laundering or terrorist activity financing offence. The 2 unreported suspicious transaction reports contained some of the following indicators:
- Common identifiers (for example, address, phone number, etc.) are used by multiple players that do not appear to be related.
- Player provides information or identification that is suspected to be false, stolen, altered, inaccurate, forged, based on aliases, or generic addresses, such as post office boxes.
- There is an inability to properly identify the player or there are questions surrounding the player’s identity.
- Player produces seemingly false information or identification that appears to be counterfeited, altered, or inaccurate.
- Evidence of untruthfulness on behalf of the player (providing false or misleading information).
- Notification of a chargeback on the financial instrument used by a player for deposit, indicative of unauthorized use.
Violation #1 is classified by the regulations as a Very Serious violation. The imposed penalty takes into account the criteria in section 73.11 of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and section 6 of the Proceeds of Crime (Money Laundering) and Terrorist Financing Administrative Monetary Penalties Regulations.
- Violation #2
-
Failure to develop and apply written compliance policies and procedures that are kept up to date and, in the case of an entity, are approved by a senior officer – Proceeds of Crime (Money Laundering) and Terrorist Financing Act, subsection 9.6(1) and Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations, paragraph 156(1)(b)
During the examination period, FINTRAC determined that the policies and procedures implemented by Nova Scotia Gaming Corporation to fulfill its compliance obligations were incomplete. Specifically, Nova Scotia Gaming Corporation’s policies and procedures failed to document and apply Ministerial Directives, pursuant to s.11.42(1) of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, at the time of the examination.
Violation #2 is classified by the regulations as a Serious violation. The imposed penalty takes into account the criteria in section 73.11 of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and section 6 of the Proceeds of Crime (Money Laundering) and Terrorist Financing Administrative Monetary Penalties Regulations.
- Violation #3
-
Failure to assess and document the risk referred to in subsection 9.6(2) of the Act, taking into consideration prescribed factors – Proceeds of Crime (Money Laundering) and Terrorist Financing Act, subsection 9.6(1) of the Act and Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations, paragraph 156(1)(c)
FINTRAC determined that Nova Scotia Gaming Corporation failed to complete and document an enterprise-level risk assessment of money laundering and terrorist financing risks based on its overall business activities, as required by the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and associated Regulations, at the time of the examination.
Violation #3 is classified by regulations as a Serious violation. The imposed penalty takes into account the criteria in section 73.11 of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and section 6 of the Proceeds of Crime (Money Laundering) and Terrorist Financing Administrative Monetary Penalties Regulations.
Related link
- Date Modified: