Skeptic
Skeptic
Joined: Dec 9, 2015
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December 10th, 2015 at 2:32:14 PM permalink
Just a wild guess but maybe they were laundering the proceeds from those illegal mansion games through the legit card rooms?
Skeptic
Skeptic
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December 10th, 2015 at 2:35:39 PM permalink
Quote: GWAE

But what is the point of that? I could see if it was counterfeit but if it is real money then why do they need to get chips then cash out? To get different serial numbers would be my only other guess but that would only matter for stolen money.



Someone with $100k of illegally-obtained cash (drug-dealing, etc) goes to the casino and puts it in play just long enough to cash out and can then claim the source of those funds is through gambling. He pays his taxes, has documentation and now the dirty money is clean.

Laundered.

P.S. if he does it right he might even swing a free buffet!
GWAE
GWAE
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December 10th, 2015 at 3:07:38 PM permalink
I see, so they really could claim they bought in for 1000 and won 100k even though they bought in for 100k
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waasnoday
waasnoday
Joined: Jan 13, 2015
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December 10th, 2015 at 4:19:05 PM permalink
Pretty much, which is why casinos are now required by law to track transactions above certain amounts. In the case someone did as described in my earlier post, then the casino would be required to send FinCEN a transactional report along with a SAR detailing the suspicious activity. If the casino did not (and they are tested) then a pretty hefty fine can be placed on them. One of the last fines I read about was for 25 million if my memory is correct. FinCEN is fairly small though, so in order to audit a casino they use IRS staff which means casinos do not get audited by FinCEN very often but that is supposedly changing. FinCEN for the last few years have been stating to casinos that the casinos are on FinCEN's radar and they will be auditing casinos for Title 31 compliance much more often.
Esposito
Esposito
Joined: Nov 24, 2015
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December 10th, 2015 at 5:33:33 PM permalink
Quote: MrV

Could someone briefly explain how money laundering through a casino would work?



Myself interested to know about this. How may this happen through a casino?
Ready to learn from others.
GWAE
GWAE
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December 10th, 2015 at 5:43:26 PM permalink
Quote: Esposito

Myself interested to know about this. How may this happen through a casino?


Are you just trying to build post count. The question was answered in this thread.
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FleaStiff
FleaStiff
Joined: Oct 19, 2009
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December 10th, 2015 at 6:27:09 PM permalink
Well, my posts don't never count... but here is my dirty two cents which after washing will be a bright shiny penny.

The IRS often tallies up someone's "lifestyle spending" and charges them with having evaded taxes because they have spent too lavishly for their declared income.

So any money that can be laundered removes a risk. A hooker comes in with ten grand in cash, puts two stacks on Red and Black at the roulette table and then collects ten grand in winnings. Her 'cash' is no longer tainted, she can spend it as 'gambling winnings' which are within her lifestyle. The casino which steers customers to her can't follow every bet closely.

All businesses want to legitmize the cash by bringing in into the business world clean rather than as a ton of tainted small bills.
GWAE
GWAE
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December 10th, 2015 at 7:00:44 PM permalink
But couldn't one just lie and said they won it?
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AxelWolf
AxelWolf
Joined: Oct 10, 2012
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December 10th, 2015 at 7:52:44 PM permalink
Quote: GWAE

But couldn't one just lie and said they won it?

There is a difference between washing and laundering.

Washing = turning small bills into large ones.

laundering = making illegal money look like it was obtained legally so you can spend it.

I believe the term laundering came from the fact that mobsters oftentimes started bogus laundromats(cheap to start and hard to prove actual profitability) and claimed more profits than they were actually making.
-----------------------------------------
You could probably lie a few times for small amounts, but that's not who they are worried about.

Casino keep win loss statements for this reason.
♪♪Now you swear and kick and beg us That you're not a gamblin' man Then you find you're back in Vegas With a handle in your hand♪♪ Your black cards can make you money So you hide them when you're able In the land of casinos and money You must put them on the table♪♪ You go back Jack do it again roulette wheels turinin' 'round and 'round♪♪ You go back Jack do it again♪♪
GWAE
GWAE
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December 10th, 2015 at 7:59:02 PM permalink
Kinda funny that I never really knew what laundering was. I thought it was counterfeit money being exchanged for real money.

I feel like the scene in office space when they discuss it.
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