David Stanton (Cork East, Fine Gael) | Oireachtas source

I thank the Senator for raising this very important issue and giving me a chance to outline the proposed approach to the gambling sector's potential vulnerability to being used to launder the proceeds of crime. Certain parts of the gambling sector are already subject to controls in this regard. All private members' clubs in which gambling activities are carried out are required to register with the Department and inspections to ensure their compliance with money laundering legislation is carried out by the anti-money laundering compliance unit of the Department of Justice and Equality.

Regarding the broader gambling industry, a transposition of the fourth EU anti-money laundering directive requires us to review the risks that may exist in this area and consider what further controls may be required to mitigate the risks. A review being carried out under the aegis of the anti-money laundering steering committee, chaired by the Department of Finance and involving all relevant State agencies including my Department, the Garda and the Revenue, will examine the inherent risks in this area, the specific threat factors in this jurisdiction and measures that may mitigate such risks. It will also consider the supra-national risk assessment of the sector carried out by the European Commission. Based on the results of the review, we will determine what the necessary measures to reduce the risks in this area may be and what legislative or other measures may be required. The deadline for the transposition of the directive is May 2017, and work on the review has already commenced. I hope the Senator will understand that the amendment would not be feasible before the completion of the review in mid-2017.

It is also best that any legislative requirements be considered as part of the law regulating gambling, or the transposition process for the anti-money laundering directive rather than the Proceeds of Crime Acts. I would be happy to arrange for the Senator and any other Senators to be briefed on the review process in due course if they are interested, as I am sure they are. I hope my commitment on this will help the Senator in reflecting on the need for the amendment. I thank him for highlighting this very important issue and assure him that it will be addressed.

On the broader issue of regulating the gambling industry, the heads of the gambling control Bill have been agreed, and are with the Office of the Parliamentary Counsel. I am taking a personal interest in the legislation being progressed. The justice committee did a comprehensive report on it during the previous Dáil and I am anxious that it be progressed as soon as possible. I thank the Senator for the work he has put into the issue and ask him to hold off on it for the moment. We will arrange for a briefing for anybody who is interested, and by mid-2017 we hope to have the review completed, which will meet much of what the Senator is seeking.