Manitoba to crack down on money laundering through Liquor & Lotteries information sharing
Crown corporation will share details of suspicious transaction directly with law enforcement in province
The provincial government intends to "bring the hammer down" on the people and groups responsible for the slew of drugs that have infiltrated Manitoba communities, Premier Wab Kinew says.
Law enforcement in the province will now receive information on suspicious activities at Manitoba Liquor & Lotteries Corporation locations directly from the Crown corporation in an effort to thwart money laundering and other criminal schemes, Kinew announced Monday at Club Regent Casino in Winnipeg.
"We are going to put a chokehold on the supply of money going into criminal organizations," the premier said.
This "will help officers conduct investigations and that will help hold people accountable who are responsible for the scourge of toxic drugs."
Previously, the crown corporation only shared details of suspicious transactions with the Financial Transactions and Reports Analysis Centre of Canada.
Intel on suspicious transaction will still be reported to the federal agency, but local police services and the Manitoba RCMP will be able to assist with tackling money laundering crime sooner since they're more aware of what's happening in the province than FINTRAC, Kinew said.
Manitoba Justice Minister Matt Wiebe has also submitted a letter David McGuinty, Canada's public safety minister, asking that more information be sent back to Manitoba from the federal agency.
"We're feeding information up to FINTRAC, but we're not necessarily getting that same level of transparency back," Kinew said.
Over 400 suspicious transactions in 2024
The MLCC typically prepares between 4,000 and 5,000 transactions annually — from Manitoba's five casinos, the Shark Club Gaming Centre in downtown Winnipeg, Manitoba's online gambling platform and sites with 50-plus VLTs — that are submitted to the federal agency, said Gerry Sul, the Crown corporation's president and chief executive officer.
Last year, the MLCC alerted FINTRAC to upwards of 400 suspicious transactions, which Sul said had reasonable grounds to suspect the activities were tied to money laundering.
The "announcement of these additional enhancements will allow us to provide advanced intelligence of suspicious transactions to our local law enforcement," he said.
Enhanced surveillance and increased investment in security apparatuses at MLCC locations are coming but Sul said any technological improvements will not be partnered with artificial intelligence or have facial recognition capabilities.
The province is providing $325,000 toward surveillance upgrades.
The Crown corporation already has some of the most sophisticated cameras and surveillance equipment, Sul said.
Monday's announcement is part of the Kinew government's public safety strategy, which includes being tough on crime and the causes of crime.
"By taking action on money laundering, we're combating fentanyl and some of the other toxic drugs that are causing so much damage to people from every walk of life in every area of the province of Manitoba," the premier said.
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