Gaming briefs for Nov. 20, 2003

Thursday, Nov. 20, 2003 | 11:10 a.m.

DEA: Canadians laundering funds through casinos

OTTAWA -- Canadian drug traffickers are laundering illicit cash through casinos and clandestinely shipping shady money to the Caribbean and South America, says a U.S. intelligence report.

Drug proceeds are also being moved quietly into Canada and deposited in banks, adds the stark assessment by the Drug Enforcement Administration, which is leading the U.S. government's fight against illegal substances.

There is growing concern among police and security officials about the persistent efforts of drug syndicates, terrorists and other criminals to hide the source of ill-gotten money by making large purchases or conducting transactions with legitimate institutions.

The August DEA report, Money Laundering in Canada, says Canadian drug traffickers intent on using casinos to launder their proceeds begin by purchasing chips or opening an account at the gambling establishment.

The trafficker gambles, but is careful to lose only a relatively small sum of money, the report notes. "The trafficker, or an associate, will then cash in the chips or withdraw the funds, which appear to be legitimate winnings from the account."

The report, which relies on DEA intelligence, does not refer to specific Canadian casinos.

Gaming venue exempted

SYRACUSE, N.Y. -- An 800-seat bingo hall whose proceeds support a drum and bugle corps on Tuesday received the first waiver in Onondaga County from the state's new anti-smoking law.

County Health Commissioner Dr. Lloyd Novick determined the statewide smoking ban, in effect since July 24 in most workplaces, was causing "undue financial hardship" to the Syracuse Brigadiers Inc.

"Bingo and smoking kind of go together," Brigadiers spokesman Scott Mescon told The Post-Standard. "This is good news for us."

Players will be able to smoke when bingo resumes today, though the hall must take steps to protect the public and employees from secondhand smoke. Smoking will be confined to an enclosed room.

Another 10 businesses in the county have pending applications, said Gary Sauda, director of the department's environmental health unit. He declined to specify the Brigadiers' financial loss, but said they compete against the Turning Stone Casino Resort on Oneida Indian land, where patrons still smoke.

"They've proven the financial loss was significant," Sauda told the newspaper.