The Federal Court of Australia has set the date of 30 November 2026 to hear the financial watchdog AUSTRAC’s lawsuit against Entain, alleging AML and compliance failings.
Completing an investigation into the compliance failings and AML liabilities of Neds, Bookmaker.com.au, and Ladbrokes Australia, AUSTRAC launched legal proceedings against Entain Australia in December 2024, alleging systemic breaches of the Anti-Money Laundering and Counter-Terrorism Financing Act 2006.
The investigation covers Entain’s commercial activities between December 2019-December 2024 and centres on the group’s alleged failure to maintain adequate AML/CTF controls.
AUSTRAC’s case claims that Entain brands operated with deficient customer verification, inadequate source-of-funds checks, and permitted cash-deposit and third-party channels that exposed its wagering network to the risk of criminal exploitation.
During this period, AUSTRAC intensified its scrutiny of licensed gambling operators, imposing record penalties including Crown Resorts’ AU$450m fine and SkyCity Entertainment’s AU$67m settlement for AML/CTF breaches.
A year after AUSTRAC’s initial filing, Entain’s board confirmed that its Australian subsidiary had filed a formal defence, disputing several of the regulator’s claims while acknowledging past shortcomings in its compliance framework.
The company maintains that it has fundamentally restructured its AML operations, including the closure of all cash-deposit channels, a tenfold increase in AML staff, and tens of millions of dollars invested in new systems and oversight.
The Federal Court has granted AUSTRAC until 10 April 2026 to submit its evidence, with Entain’s response due by 6 August 2026. Mediation remains possible before the case proceeds to trial.
If unresolved, the 2026 hearing would mark the first full Federal Court test of the AML/CTF Act by an online betting operator, with Entain facing potential fines in the hundreds of millions of dollars.
Despite the prolonged uncertainty, Entain has stated that regardless of the outcome of the trial, it will make no changes to its Australian operations. The group continues to regard its Australian and New Zealand business as essential to long-term growth, having invested heavily to gain soft market share from competitors and strengthen its position in one of the world’s most competitive wagering markets.
For Entain leadership, led by CEO Stella David and CFO Rob Wood, the case represents a final legacy compliance matter they are determined to resolve.
Following years of enforcement actions in the UK and Australia, the group is keen to draw a line under historic failings and restore confidence among regulators and investors.
As Andrew Vouris, CEO of Entain Australia and New Zealand, previously noted: “We followed expert advice at the time but, looking back, we recognise the old programme missed the mark.
“We’ve acknowledged our shortcomings, taken responsibility, and spent the last two years learning from them and fixing them. Entain now operates a market-leading compliance framework – to win, but not at all costs.”
Until the court delivers its verdict, Entain’s Australian business — viewed internally as both a strategic growth pillar and a reputational test case — will continue to operate under the shadow of AUSTRAC’s proceedings, as the group seeks to close one of the most challenging chapters in its corporate history.
The Federal Court of Australia has set the date of 30 November 2026 to hear the financial watchdog AUSTRAC’s lawsuit against Entain, alleging AML and compliance failings. Completing an investigation into the compliance failings and AML liabilities of Neds, Bookmaker.com.au, and Ladbrokes Australia, AUSTRAC launched legal proceedings against Entain Australia in December 2024, alleging systemic …