SkyCity Adelaide assisted a close relative of a major statesman to move millions of dollars out of China through VIP customer accounts. In some documents filed by the Australian Transaction Reports and Analysis Centre (AUSTRAC) to the Federal Court of Australia (FCA) in December 2022, it was revealed that the casino customer gambled over AU$61 million at the baccarat tables of the Australian casino.
Throughout the governmental agency’s filing, the individual is referred to only as “Customer 11”. However, sources familiar with the matter have reported that the Australian authorities are known to be reviewing the actions and gambling activities of Ming Chai, who is the cousin of the Chinese leader Xi Jinping, since 2016.
At the time, a private jet bound for Crown Melbourne Casino was raided by federal agents on suspicion of illegal money-laundering activities. The raid surprisingly found Mr Chai on the jet, owned by the largest casino operator in Australia, Crown Resorts, along with their intended target – Tom Zhou, more popular as “Mr Chinatown”, an alleged criminal organisation and junket operator boss, who was at the time wanted by Interpol.
As previously reported by Casino Guardian, civil penalty proceedings have been started by the AUSTRAC against SkyCity Adelaide in the Federal Court of Australia. The casino faced charges with alleged systemic and serious lack of compliance with the counter-terrorism financing (CTF) and anti-money laundering (AML) laws.
Politically Exposed Persons among the Individuals Who Participated in Money Laundering and Organised Crime, AUSTRAC Says
According to details found in the FCA filing of the Australian Transaction Reports and Analysis Centre, “Customer 11” has links to “Customer 14”, an alleged international figure who is part of the world of organised crime and is suspected of money laundering around the globe. The accused, whose name remains unknown, is someone whose junket operations generated revenues of more than AU$1.45 billion at another casino in Australia.
Tom Zhou, who was arrested in Fiji back in 2020 and then deported to China, has faced charges of corruption offences and money laundering. That is why market analysts believe he fits the bill.
The AUSTRAC has also shared some concerns about the alleged relationship between “Customer 11” and another individual, who is addressed as “Customer 12”. The latter has been allegedly associated with serious organised crime, including human trafficking and sex slavery.
According to some analysts, “Customer 12” seems to be a reference to Simon Pan, who was also named during recent investigations that have been carried out by competent authorities into the two largest casino operators in Australia – Crown Resorts and Star Entertainment. Mr Pan was a business partner of Tom Zhou, and the AUSTRAC court filing alleges that “Customer 11” and “Customer 12” were involved in a business relationship. In addition, an unnamed New Zealand-based casino reported concerns that the two customers have been associated with suspected sex workers.
According to court documents, SkyCity Adelaide has so far identified “Customer 11” as a “politically exposed person” (PEP) in November 2019.
Under existing anti-money laundering laws, casino operators are required to be extra careful when it comes to politically exposed persons, especially if they are foreign citizens, because PEPs are believed to present a greater risk of potential involvement in corruption or bribery, hence money laundering. Despite these regulations and requirements, SkyCity Adelaide had not obtained any source-of-income information from “Customer 11” since November 2019 and is reported to have continued its business relationship with the person until at least June 2020.
- Author
Olivia Cole
