Where Will It Go If The Money Comes From Illegal Source

[Lida93]

Part of casinos' terms of service is banning your account if you cannot justify your source of income or they think it comes from an illegal source, so if a casino bans your account. You have 6 digits in your account; where will the money go, and do they have the right to keep the money? There is no provision; I read they will turn over the money to the authorities.

Is it legal for casinos to keep the money?

This discussion is based on a question of our bro seoincorporation

Casinos ask for KYC to avoid money laundering, but if the gambler isn't able to give the requested data then the casino keeps the money. If the casino keeps the money isn't that Money laundering?

Let's have an open conversation on this

Isn't it the authority that initiates or makes the call for a suspected account to be investigated for illegality or money laundry?

If it's the authority then it's unarguably that the money during and after investigation will be in the custody of the authority which will now take ownership at the end if investigation shows it's a launderers' account. In as much as the law is concerned in all societies any property gotten through criminal means automatically becomes a property of the state when the offender is found guilty after investigations. So in this case it is going to be so with casinos, the money goes to the authority not the casino, except maybe, there's a certain per cent given out to the casino from the total money based  on MOU between the authority and casino.

[0t3p0t]

Based on my understanding as long as you still not able to comply the required KYC. then your money will be kept onhold until you will successfully submitted all the necessary documents. But this thing, I never experienced something like this scenario before but we all know that the platform is responsible for any actions in accordance on it's TOS.

[coolcoinz]

The way I see it, the casino needs hard proof that the money is from an illegal source and in such case they have the right to hold it and contact the police, but...

In case of cryptocurrencies it's not that clear. How can you know if the money is clean or not. Let's say you buy bitcoin from someone, or someone pays you for a job. He got that money from an illegal source, like a ponzi scheme or theft, but you cannot check it. You bought it and tried to gamble with it and it got confiscated - why? The ethical way to approach this would be for the police to contact you asking where you got the money from and then going after the guy who sold it to you and taking his money (the money you paid him for cryptocurrency) as a compensation to the victims. They shouldn't take what you legally bought from him because you are also a victim.

[Zigabel]

Part of casinos' terms of service is banning your account if you cannot justify your source of income or they think it comes from an illegal source, so if a casino bans your account. You have 6 digits in your account; where will the money go, and do they have the right to keep the money? There is no provision; I read they will turn over the money to the authorities.

Is it legal for casinos to keep the money?

This discussion is based on a question of our bro seoincorporation

Casinos ask for KYC to avoid money laundering, but if the gambler isn't able to give the requested data then the casino keeps the money. If the casino keeps the money isn't that Money laundering?

Let's have an open conversation on this

For regions where casinos are been regulated by the government or there are regulatory bodies in charge that takes care of such, when a casino gets to discover such I think they in the ideal situation they Hans it over to the government because if the regulatory body get to know by investigation then it will be a problem to the casinos too so they probably hand it over to the authorities so as to make sure they are able to maintain credibility but then in cases or places where there are no regulations I don't have a good idea how it's handled but then most likely the casino gets to keep the funds.

Since the launder cannot report to any other person they may aswell have to Forfeit the money to the casino but then I have not really got to know how it's handled in regions without stringent measures of regulation.

[Dr.Bitcoin_Strange]

Nope, after they lock and seize your fund. Mostly they will transfer the money to authorities.
1. They getting contacted by authorities for suspicious transactions and are involved in crime on their service platform.
2. Casino receives the order and will begin to lock your account & seize the fund.
3. Mostly users will contact the casino for the reason why their account is locked.
4. Casino explain the situation
5. Once the casino explain these things, and passed a period of time. They will send the the fund to authorities

Remember, (CASINO) is not gonna to check, scan, or question your transaction to their service platform unless they are contacted by authorities. So, even your source transactions are coming from illegal activity they will not gonna to due research of your account/transaction.

You are right, I actually thought the same as well. Casinos cannot just wake up one morning and lock up the accounts of their customers; before that happens, there must have been a suspicion somewhere (there's a quote that says, there is no fire without smoke), which can only let them place restrictions on the customers  accounts.That is the reason why, sometimes before a casino can even restrict an account because of a money laundering case, the customer might have already laundered a lot of money through that account on frequent occasions, and lastly, when they get caught, they mayjust abandon the account, and after the casino gives a period of time, waiting for the customer's response and they are getting no response, the money goes to the authority. 

[Sunderland]

The way I see it, the casino needs hard proof that the money is from an illegal source and in such case they have the right to hold it and contact the police, but...

In case of cryptocurrencies it's not that clear. How can you know if the money is clean or not. Let's say you buy bitcoin from someone, or someone pays you for a job. He got that money from an illegal source, like a ponzi scheme or theft, but you cannot check it. You bought it and tried to gamble with it and it got confiscated - why? The ethical way to approach this would be for the police to contact you asking where you got the money from and then going after the guy who sold it to you and taking his money (the money you paid him for cryptocurrency) as a compensation to the victims. They shouldn't take what you legally bought from him because you are also a victim.

In the law, these are 2 related cases but cannot be made into 1 case.
If someone (lets call him Bob) receives or buys illegal crypto without realizing it, then Bob uses it to deposit into a casino and the casino confiscates the coin for AML reasons.
The casino will never return the coin and they are legally entitled to do so. They will only report about the money to the authority and thats it.

What Bob can do is to report and sue the person who gave/sold the coin, the casino cannot report this to the authority because the victim had to make the report himself.

[topbitcoin]

The decision of whether the casino is legally allowed to withhold money from you is based on the laws and regulations of their jurisdiction, as many casinos are obligated to report suspicious activities to the authorities. In some situations, they should also transfer money received illegally, so the casino can have a right not only to withhold but also to confiscate your funds. If any serious violation of rules or conditions is found (such as use of sources which are prohibited by law), then they may retain some or all money belonging to you.

Yet it must be borne in mind that every case depends on its own individual facts and circumstances, and the laws governing this aspect might differ from one jurisdiction to another. When faced with a scenario where your account is frozen by the casino holding your funds, seek proper legal advice from a competent attorney best suited for your case.

[Juse14]

It is natural that online gambling companies will require KYC to prevent any kind of money laundering and they will take this step to confirm the legitimacy of the funds in your wallet. But i think it's fine not to search for personal information in very small cases. On the other hand it will be considered as the best security because when your fund is considered valid they will ensure your fund is always safe. Even if you violate their terms, you may suffer a lot. So i think key is always better if your mean amount is big. But according to your secret report you can gamble from hide.

We as gamblers must comply with all the terms and conditions imposed by the casinos we visit. Because if we violate the terms and conditions that have been regulated, there will be consequences or sanctions that we have to accept, including freezing our account or having the amount of money we previously won in gambling withheld. Therefore, it is very important to understand the provisions and comply with all the terms and conditions that have been imposed by the casino, because no matter how this is done, it is only for our own good, for the sake of safety when gambling or carrying out a transaction.

However, there are some cases where a person may feel like betting anonymously. and this can be risky and illegal depending on the jurisdiction you live in, or the gambling site you visit. Betting anonymously or undercover may violate the law and have potentially serious legal consequences.

 
In this situation, the top priority is to always follow the law and avoid any unlawful practices. Even though KYC verification might prove troublesome to a few, it stands as a crucial measure in upholding the honesty and security of online gaming forums, shielding players from the snares of money laundering malpractices and other illicit activities. This is an issue on which online gamblers are commonly split into two opposing camps.

[Slow death]

In my opinion, the casinos keep the money in most cases, this is because in most cases when people deposit a lot of money and there is no way to prove the source of the money, no government is persecuting that person, no government has given instructions to the casinos to retain funds from person with all the money for himself. We can't pretend that we haven't seen many such cases happening at some point. as cryptocurrencies are something very volatile, there are many people who bought a lot of cryptocurrencies 10 years ago for example

that today the value of the cryptocurrencies they bought 10 years ago are worth a lot, for example, a person who bought bitcoin for the price of $100 and bought 10 btc, today that person has more than $600,000. so that person deposits $50,000 in a casino and the casino asks him for proof of funds, how will that person explain and prove the proof of funds? The casino soon rushes to accuse this person of money laundering in order to keep that person's money, the saddest part is that most people believe the casino's arguments

[Smartvirus]

Is it legal for casinos to keep the money?

This discussion is based on a question of our bro seoincorporation

Casinos ask for KYC to avoid money laundering, but if the gambler isn't able to give the requested data then the casino keeps the money. If the casino keeps the money isn't that Money laundering?

Let's have an open conversation on this

If am to base my opinion on money laundering, we would understand that it follows a part and that means, it gets to return to the criminal for his or her use. The casino having to hold this money breaks the process but, where does the money go afterwards raises some concerns. This is an illegal money and a casino having to hold back this money doesn’t make it any illegal. The money ought to be returned to the authorities of the gamblers state of origin.

At times there might not be follow ups on the return of these money but, the policy alone serves as a deterrent to those that might want to be involved in the practice of money laundering. Another policy that plays to this policy is that, you get to use 100% of the deposit in most cases to bet and on an odd that amounts to 1.1 at least. Some criminals still attempt it but, it does serve its purpose to some extent.

[DabsPoorVersion]

Part of casinos' terms of service is banning your account if you cannot justify your source of income or they think it comes from an illegal source, so if a casino bans your account. You have 6 digits in your account; where will the money go, and do they have the right to keep the money? There is no provision; I read they will turn over the money to the authorities.

Is it legal for casinos to keep the money?

This discussion is based on a question of our bro seoincorporation

Casinos ask for KYC to avoid money laundering, but if the gambler isn't able to give the requested data then the casino keeps the money. If the casino keeps the money isn't that Money laundering?

Let's have an open conversation on this

Isn't it the authority that initiates or makes the call for a suspected account to be investigated for illegality or money laundry?

If it's the authority then it's unarguably that the money during and after investigation will be in the custody of the authority which will now take ownership at the end if investigation shows it's a launderers' account. In as much as the law is concerned in all societies any property gotten through criminal means automatically becomes a property of the state when the offender is found guilty after investigations. So in this case it is going to be so with casinos, the money goes to the authority not the casino, except maybe, there's a certain per cent given out to the casino from the total money based  on MOU between the authority and casino.

I think it's the casino that has a way of determining of possible money laundering. Then they will coordinate to the authorities for the investigation and any other process that needs to be taken. The authorities will also While the casino will request for more documents such as the source of the money, etc. which needed to confirm if the money is from illegal or not.

[AliMan]

Part of casinos' terms of service is banning your account if you cannot justify your source of income or they think it comes from an illegal source, so if a casino bans your account. You have 6 digits in your account; where will the money go, and do they have the right to keep the money? There is no provision; I read they will turn over the money to the authorities.

Is it legal for casinos to keep the money?

This discussion is based on a question of our bro seoincorporation

Casinos ask for KYC to avoid money laundering, but if the gambler isn't able to give the requested data then the casino keeps the money. If the casino keeps the money isn't that Money laundering?

Let's have an open conversation on this

Depending on the severity of the case when that money confirmed from money laundering then the authority of the law requires them to keep that money temporarily. The casino itself has no opinion but to hold that amount of money at their custody just for investigative purposes.
Money laundering is rampant, particular with drug cartels around the world, and I believed it's really uncomfortable which other illegal activities used gambling as their front image just to hide themselves.

[Miles2006]

KYC can be use to trace and identify any customer because personal details and information are included but, I have this thought if the customer didn’t submit KYC at first cause most casino hardly require for Personal information and when such user account get ban, how can the authorities identify the user and the illegal money used for gambling. It’s very difficult without KYC or rather let’s assume the customer submitted every information the casino needed before accessing the site, let’s be realistic during all this process the casino can smell something fishy about the customer in question even before depositing money into the casino. If the casino should keep the money I will call that selfishness cause they don’t want an illegal money so what’s the point keeping the money when the user is already banned, I don’t know how casino run their choice within but, it’s obvious they can’t keep the money.

[Assface16678]

Part of casinos' terms of service is banning your account if you cannot justify your source of income or they think it comes from an illegal source, so if a casino bans your account. You have 6 digits in your account; where will the money go, and do they have the right to keep the money? There is no provision; I read they will turn over the money to the authorities.

Is it legal for casinos to keep the money?

This discussion is based on a question of our bro seoincorporation

Casinos ask for KYC to avoid money laundering, but if the gambler isn't able to give the requested data then the casino keeps the money. If the casino keeps the money isn't that Money laundering?

Let's have an open conversation on this

Depending on the severity of the case when that money confirmed from money laundering then the authority of the law requires them to keep that money temporarily. The casino itself has no opinion but to hold that amount of money at their custody just for investigative purposes.
Money laundering is rampant, particular with drug cartels around the world, and I believed it's really uncomfortable which other illegal activities used gambling as their front image just to hide themselves.

That's why KYC is importsnt and it is really needed in order tk avoid this kind of scheme where money laundering and many other crimes related to money can be done, that's why I dont get it when a gambler is oppose to the compliance of KYC because we know what is the purpose of KYC it can be served as the security for both the platform and customer, and the platform has the right to lock the account and to lock its funds if the accusation is proven, that's why I'm not against KYC because its either we comply or not and if not then you cant use that platform, there are some platforms that dont require KYC but think again will you not let your funds be safe in case a casino will lock it for no reason? And also have some suspicion because KYC serves as security, and if a platform doesn't have that, then expect that the platform is suspicious.

[uneng]

Part of casinos' terms of service is banning your account if you cannot justify your source of income or they think it comes from an illegal source, so if a casino bans your account. You have 6 digits in your account; where will the money go, and do they have the right to keep the money? There is no provision; I read they will turn over the money to the authorities.

Is it legal for casinos to keep the money?

If it's on their terms and conditions, then it's legal if the casino keep the money if it comes from an illegal source, however I don't think it's right if the casino does this deliberately, especially when gamblers hit nice prizes on the games provided by the platform. This rule should be only taken into consideration in very rare situations where the source of the gambler's funds is blatantly from illegal sources, such as the ones connected to criminal organizations and theft. Then I would say it's right that the casino returns the money to authorities.

But if that is not the case, I see no reason why casinos should be requesting every average gamblers to provide their income sources in order to play or cashout funds from the platforms. It just mean extra bureaucracy and inconvenience for the players who might feel annoyed and tempted to leave the platform for this reason, going to another websites where they can have a simpler and more enjoyable experience.

[passwordnow]

KYC can be use to trace and identify any customer because personal details and information are included but, I have this thought if the customer didn’t submit KYC at first cause most casino hardly require for Personal information and when such user account get ban, how can the authorities identify the user and the illegal money used for gambling.

It's probably because they've got list of those addresses that are involved with bad activities. That's one way that I can think of and how they're going to trace those users that don't want to pass on kyc and they're involved with illegal activities or their funds not knowingly came from it. Not all that doesn't want to go kyc are related to illegal activities, of course we don't like it and we're protecting our privacy.
But for those gamblers that have decent funds on the casino and they're asked to do that, we'd feel obliged to comply because our funds will get stuck and we can't do anything about it. What we think of is we don't do anything wrong and we've got no connections over those funds that came from dirty things so, we comply and prove and pass on with that KYC just for the sake of the remaining funds that we have.
And eventually, we're totally okay now and then to pass on it because we feel guilty that we did even passed to a casino or any exchange and then the next time we'd be asked, that's not going to be questionable anymore and you'd just comply lightly without having any complains.

[PX-Z]

From what i read on scam sccusations board at least those updated topics some casino don't return the funds confiscated. I don't know if they will keep it as there own or they will turn over it to the authority (whatever country it is).
Returning the funds is very rare case to happen. This is the same thing to whatever violitions the user did, well, some casino do return the funds but not those laundered money.

[oktana]

I don’t think that the casino will keep the money. The only reason why they block the account is because they are asked to do so, and that’s coming from the government (likely to monitor money laundering). So if it even happens, they should be handing the money to the authorities as you have heard.

[Cryptomultiplier]

I do believe many legally operating casinos are regulated and as such users data gotten from their KYC verification is a necessary listing for the regulatory agency to have and scrutinize and if a casino is found wanting for helping Its customers or users launder cash, the penalty many at times can result in the closure or payment of huge fine and imprisonment.

Most of the funds some casinos operate with is often an investment from big cartel bosses and other major players that may have dabbled in shady deals before they come into such wealth, still, I doubt many gamblers who visit such casinos to gamble have pure sources of income even if they do fulfil the KYC requirements.

Illegal sources or not, if a player is caught using illegal funds, such person can either be handed over to the FEDS and or the funds can be seized by the casino pending a proof of ownership I believe, before it can be released.

[alegotardo]

Nope, after they lock and seize your fund. Mostly they will transfer the money to authorities.

Ok, from the previous answers I understood that the money is "handed over to the authorities", but I'm in doubt as to whether this really is the right thing to do.
I say this because the money earned from betting mostly does not belong to the player, but rather to the casino (the player won the bets against the casino).
In this case, why does the casino need to hand over your money to the authorities? It would be correct if only the initial balance that this player deposited was delivered, but not what he won with his bets.
In the "worst case scenario", this money should be returned to other players/casino customers, whether in the form of a free spin, bonuses or even a direct deposit into their accounts. Because when one player wins, others certainly lose and that's where the money comes from.

In any case, I think this is a difficult question to answer with accuracy or certainty.