FIU Breaks Its Silence on Caribi Bleu Casino Investigation

The Financial Intelligence Unit (FIU) is finally speaking out about News Five’s investigation into the operations at Caribi Bleu Casino. This investigation has already prompted responses from the Gaming Control Board, the Central Bank of Belize, the Prime Minister, and a representative of the casino. However, the FIU’s input is crucial, as they are legally tasked with overseeing casinos, which are often hotspots for money laundering. So, what does the FIU have to say about the unauthorized ATM dispensing U.S. currency inside Caribi Bleu Casino, and the source of those funds? News Five’s Paul Lopez brings us the details.

 

Paul Lopez, Reporting

For over two months, News Five has been digging into the operations at Caribi Bleu Casino in San Pedro Town. Our investigation uncovered an unauthorized ATM dispensing U.S. currency, prompting swift action from multiple law enforcement agencies. Tonight, the Financial Intelligence Unit (FIU), the supervisory authority for casinos in Belize, is weighing in on our findings. We spoke with FIU Director, Leni Ysaguirre McGann, to get their perspective.

 

Leni Ysaguirre McGann, Director, Financial Intelligence Unit

“Speaking generally to investigative matters and enforcement matters, the FIU to protect theses processes and our investigations are under strict confidentiality obligations. This means that we conduct our work and investigations with the strictest of confidence.”

 

In other words, the FIU can’t share the specifics of its investigation or findings just yet. They’ll need to wait until charges are filed or the case goes to court, if it even gets that far. Prime Minister John Briceno is in favor of these actions.

 

Prime Minister John Briceño (File: Dec 9^th, 2024)

“All we can do is encourage them to do their investigation and if there is any person that should be found guilty of any wrongdoing, they should be charged to the fullest extent. We need to find out from customs if that was even registered or if they paid to have that atm in Belize.”

 

Leni Ysaguirre McGann

“There are principal law enforcement agencies sitting on the financial crimes working group, the police department, the department of immigration and border management, the customs department, the tax authority, and so it depends.”

 

It’s clear that operating an unauthorized ATM, particularly one dispensing U.S. currency, is illegal—especially within a casino. The Central Bank of Belize has confirmed that their investigation into this matter is still ongoing.

 

Kareem Michael, Governor, Central Bank (File: Nov 27^th 2024)

“I am sure you will appreciate that I can’t say much on that, because it is a live investigation.”

As the watchdog for casinos, the FIU ensures these establishments follow anti-money laundering rules through on-site inspections and other methods. McGann noted that while the FIU has previously uncovered violations of the Exchange Control Act by various entities, this case stands out because it involves an ATM.

 

Leni Ysaguirre McGann

“You would of course appreciate that we have to look at the resources we have and how to apply them. So, we take risks into consideration. There are certain risk factors such as size, maybe geographic location and our circumstances must be able to respond to an event, or changes in risk circumstances.”

 

Paul Lopez

“Is that to say a compliance visit was never done at this establishment because the risks were not there or there were not any justified risk to do that?”

 

Leni Ysaguirre McGann

“I did not say that. In fact that would be asking me to delve into the specific case at hand which I am limited from doing.  That is to say that adverse information or any discovery does change the risk circumstances.”

 

Interestingly, casinos are required to have an anti-money laundering compliance officer approved by the FIU, as per the Money Laundering and Terrorism Prevention Act. So, how did Caribi Bleu Casino’s compliance officer miss or fail to report this unauthorized ATM? Once again, McGann couldn’t delve into the specifics of the case.

 

Leni Ysaguirre McGann

“They are not hired nor are they employees of the FIU. In terms of reporting, they are required to respond to request from the FIU for information, or their supervisory authority and they also have an obligation report suspicious transaction report as well as ensure that other aspects of the compliance regime are in place.”

 

Our investigation also revealed that the name Caribi Bleu Casino is not registered on FIU’s website. So, is this a simple oversight, or is the casino operating under a different name than the one it’s registered with?

 

Paul Lopez

“Could it be a case where businesses trade under a different name than it is registered?”

 

Leni Ysaguirre McGann

“So what I will say that in terms of the names published on our website, that is a list of the names currently registered with us. So, if they are not on the website it would be a fact that the registration process is not complete and they have not been finally registered or published on the website are registered.”

 

One of the major questions in this investigation is: where is the U.S. currency loaded into the ATM coming from? The FIU highlights its strong track record of international cooperation and emphasizes that investigating money laundering falls squarely within its mandate.

 

Leni Ysaguirre McGann

“We can’t speak to any specifics, however it is obviously within the FIU’s mandate to investigate money laundering as well as financial crimes, as well as in line with that we do have a roll to play in terms of the supervision for anti-money laundering obligations in casinos. So, running from those two mandates of the FIU, naturally we are very concerned in terms of the operation of casinos in Belize.”

Reporting for News Five, I am Paul Lopez.