Crown Casino faces massive fine over China scandal

Crown Casino could be hit with a $100m fine over the illegal movement of funds from China.

Crown Casino is facing a $100 million fine from the state’s new watchdog as it takes the site to task over the illegal movement of funds from China.

The Victorian Gambling and Casino Control Commission on Tuesday revealed it had begun the process of punishing Crown for a scheme dubbed the “China Union Pay Process”.

The saga was detailed during the latest Royal Commission into the casino.

It involved high rollers being billed false hotel room charges to Chinese credit cards, which were then paid out as cash or chips in the casino.

The scheme was allegedly dreamt up to get around restrictions on money being transferred out of China between 2012 and 2016.

On Tuesday, the VGCCC said it was taking action over the behaviour and had begun “disciplinary proceedings”.

Options available include a $100m fine, changes to the casino licence or ordering Crown to take steps to fix the process.

VGCCC Chair Fran Thorn said changes to state laws had given them stronger regulatory powers.

“These powers are needed to deter Crown from engaging in the conduct that was revealed during the Royal Commission”

“As a first step, we are acting on the Royal Commission’s findings that Crown’s China Union Pay process breached important Victorian regulatory obligations, was illegal and constituted serious misconduct.”