Administrative monetary penalty on the New Brunswick Lotteries and Gaming Corporation
[2026-09-03]
The New Brunswick Lotteries and Gaming Corporation, a reporting entity in the casino sector, headquartered in Fredericton, New Brunswick, was imposed an administrative monetary penalty of $399,712.50 on July 24, 2026, for committing 1 violation. The violation was found during the course of a compliance examination. The New Brunswick Lotteries and Gaming Corporation has paid the administrative monetary penalty in full and the case is closed.
Nature of violation
- Violation #1
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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
The New Brunswick Lotteries and Gaming Corporation failed to submit 3 suspicious transaction reports where there were reasonable grounds to suspect that one or more transactions was related to the commission or attempted commission of a money laundering or terrorist activity financing offence. FINTRAC’s examination identified transactions – both conducted and attempted – by players where numerous money laundering and terrorist financing indicators were present. Each of the 3 unreported suspicious transaction reports contained some of the following indicators:
- Common identifiers (for example, addresses, phone numbers, etc.) are used by multiple players that do not appear to be related.
- Common credit card used by multiple online players for deposits.
- Account is linked to seemingly unconnected parties.
- Adverse media or other reliable sources identify a player, or related transacting parties, as linked to criminal activity.
- Player produces seemingly false information (for example, credit card) or identification that appears to be counterfeited, altered or inaccurate.
- Transactions displaying financial connections with people who have previously raised suspicion.
- Player makes excessive deposits using prepaid cards, which may involve an excessive number of cards.
- 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.
Related link
- Date Modified: