AUSTRAC Orders bet365 to Strengthen AML Controls After Finding “Serious Gaps”

Australia’s AUSTRAC has made bet365 sign a legally binding enforceable undertaking after identifying “serious gaps” in the bookmaker’s money laundering controls and suspicious activity reporting. For PSPs and high-risk merchants, the point is simple: if the controls do not hold up under audit, the regulator can move from criticism to formal remediation very quickly.

1. AUSTRAC said bet365 must reinforce its AML (anti-money laundering) operations, including better risk assessment methodology, stronger controls, and improved reporting of suspicious transactions to the relevant authorities.
2. The action followed an AUSTRAC probe into bet365’s AML controls, which was triggered by an independent audit of the bookmaker’s business. AUSTRAC said the gaps it found were serious enough to warrant an enforceable undertaking.
3. If bet365 fails to comply with the undertaking, it could face civil penalties. That is the part high-risk operators and their payment partners usually care about most: the obligation is not advisory, and the back end has teeth.
4. AUSTRAC CEO Brendan Thomas said reliable AML assessments and diligent reporting are needed to protect Australia’s financial system from fraud. He also said gambling carries increased money laundering risk because the sector processes large sums at high speed, often through anonymous digital channels that criminals try to exploit.
5. AUSTRAC said the bet365 action is also a signal to all reporting businesses. The regulator is already in a legal fight with Entain, has previously acted against Sportsbet, and has also initiated legal proceedings against Star Entertainment Group.

For high-risk payment teams, the practical takeaway is that Australia’s regulator is watching not just merchants, but the quality of their AML frameworks, audit response, and suspicious transaction reporting. That is exactly where PSPs, acquirers, and banking partners get dragged in when a merchant’s controls do not match the risk profile on paper.