CNE Casino Fined Nearly $200,000 by Anti-Money Laundering Agency

The CNE Superwheel ride is seen at the Canadian National Exhibition, in Toronto, on Aug. 22, 2025. The Canadian Press/Fatima Raza

Canada’s anti-money laundering agency has fined the Canadian National Exhibition (CNE) Casino in Toronto $199,000 for breaching regulations.

During a compliance examination, the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) found that the CNE Casino had committed two administrative violations. FINTRAC imposed a penalty of $199,000 on July 11 due to non-compliance with regulations associated with the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, a Sept. 4 news release says.

“Canada’s Anti-Money Laundering and Anti-Terrorist Financing Regime is in place to protect the safety of Canadians and the security of Canada’s economy,” FINTRAC Director and CEO Sarah Paquet said in a statement.

“FINTRAC works with businesses to help them understand and comply with their obligations under the Act. We are also firm in ensuring that businesses continue to do their part and we will take appropriate actions when they are needed.”

The first violation was for failing to assess and document the risk of a money laundering or terrorist financing offence. According to FINTRAC, the CNE Casino didn’t assess and document the money laundering and terrorist financing risks related to its products, services and delivery channels, clients and business relationships, geographic locations, affiliates and subsidiaries, and other factors.

The casino indicated that staff reported high-risk transactions to its compliance officer; however, FINTRAC says that legislation requires a documented, risk-based assessment. The agency says a risk-based assessment “helps identify, document and mitigate potential risks,” and is required by the Proceeds of Crime (Money Laundering) and Terrorist Financing Administrative Monetary Penalties Regulations.

The second violation was for failing to institute and document a prescribed review. FINTRAC found that the casino failed to conduct a review of its compliance program, which should test the effectiveness of its policies and procedures, risk assessment, and training program.

While the CNE told the agency that an annual review was conducted, FINTRAC said no documentation was available to confirm that the review had taken place.

Both violations are classified as “serious” violations, which have a monetary penalty ranging from $1 to $100,000 per violation.

FINTRAC says the criteria for determining an administrative monetary penalty amount is based on the purpose of the penalty, which is meant to encourage compliance and not serve as a punishment, as well as the harm done by the violation, and the organization’s history of compliance.

The CNE Casino has appealed the decision to the Federal Court, the public notice says.

‘Suspicious’ Transactions

Under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, casinos, financial entities, money services businesses, real estate brokers, and sales representatives are required to keep certain records, identify clients, maintain a compliance regime, and report certain financial transactions to FINTRAC.

The financial transactions of concern to FINTRAC include international electronic funds transfers, large cash transactions, large virtual currency transactions, and “suspicious” transactions.

“Suspicious transaction reporting, in particular, is critical to FINTRAC’s ability to generate actionable financial intelligence for Canada’s law enforcement and national security agencies,” the agency says.

FINTRAC helps combat money laundering, terrorist activity financing, and threats to the security of Canada in its role as the country’s “financial intelligence unit and anti-money laundering and anti-terrorist financing supervisor.”

In the 2024–2025 fiscal year, FINTRAC issued 23 non-compliance violation notices to businesses, which the agency says was the largest number of notices in one year in its history. The fines for the violations totalled more than $25 million.

FINTRAC says it has imposed more than 150 penalties since it received the legislative authority to do so in 2008.