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A comment on Money Laundering and AML Compliance. Parent comment

Re:Money Laundering and AML Compliance by josephcsible on Friday February 10, 2023 @04:23PM (#34746063)
Why is "if you gambled but we found out you weren't allowed to gamble, we'll take back your winnings but not give back your losses" legal? Shouldn't it have to be either "we'll reset everything back to before you gambled" or "everything you already did stands; you just can't do anymore (and are probably in trouble)"?
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Re:Money Laundering and AML Compliance by earnesti on Friday February 10, 2023 @04:35PM (#34746221)
It is likely not legal but the gamblers are too lazy to take it to courts I would guess, and the casinos are in jurisdictions where it might be really tedious or expensive.
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Re:Money Laundering and AML Compliance by cmeacham98 on Friday February 10, 2023 @04:50PM (#34746413)
It probably isn't, but generally their ToS says you're not allowed to be in the US when you sign up, and they don't operate in the US. So you'd have to go sue them in the jurisdiction of whatever island nation they're operating in (or get the authorities there to care).

Additionally, if you're within the majority of people who deposit money and lose it all you're not going to even know this unless you do some active research about the casino.

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Re:Money Laundering and AML Compliance by josephcsible on Friday February 10, 2023 @04:53PM (#34746456)
Why couldn't such a judgment be enforced from a US court, by forbidding any American banks from sending any money to their bank until they pay up?
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Re:Money Laundering and AML Compliance by cmeacham98 on Friday February 10, 2023 @04:54PM (#34746470)
These sites typically operate using deposits/withdrawals in cryptocurrency.
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Re:Money Laundering and AML Compliance by tablespoon on Friday February 10, 2023 @04:54PM (#34746461)
> Why is "if you gambled but we found out you weren't allowed to gamble, we'll take back your winnings but not give back your losses" legal?

I don't know the actual law is, but it could be that the customer is the one who committed the crime of illegal gambling. If that's the case, it doesn't matter if keeping his winnings is legal or illegal, if the gambler brings suit he puts himself in legal jeopardy and I don't think the courts will enforce contracts associated with illegal activities (e.g. a hitman can't go to court to force his client to pay).

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Re:Money Laundering and AML Compliance by thaumasiotes on Saturday February 11, 2023 @04:10AM (#34750771)
> a hitman can't go to court to force his client to pay

Somehow I doubt that causes many problems in trying to collect from clients.

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Re:Money Laundering and AML Compliance by tedunangst on Friday February 10, 2023 @06:04PM (#34747230)
To the extent it's about money laundering, if you lose the money and don't withdraw it, you're not laundering it.
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Re:Money Laundering and AML Compliance by layer8 on Friday February 10, 2023 @07:03PM (#34747856)
They probably count on you not suing them in the offshore jurisdiction.
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Re:Money Laundering and AML Compliance by wpietri on Friday February 10, 2023 @08:47PM (#34748703)
Presumably for the same reason you can't call the police if an illegal drug deal goes bad. [1]

[1] Which, yes, actually happens. E.g.: https://www.wect.com/story/22122424/man-calls-911-to-report-...

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Re:Money Laundering and AML Compliance by omgomgomgomg on Saturday February 11, 2023 @05:34AM (#34751113)
Usually, it is all deposits minus all withdrawals are refunded. The casino will be in the red here, due to provider costs.
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