Name a common AML measure used in gambling establishments.

• A. Ongoing monitoring of transactions for suspicious activity and customer due diligence (CDD)
• B. Strengthened background checks for staff
• C. Customer loyalty program analysis for risk scoring
• D. Marketing campaigns to encourage high-stakes play

Answer: (C)

In gambling environments, anti-money laundering relies on directly watching money movement and knowing who is behind each transaction. Ongoing monitoring of transactions paired with customer due diligence creates this backbone: it tracks deposits, withdrawals, bets, and transfers over time and compares them to who the customer is and what they’re legitimately doing. This dynamic approach catches suspicious patterns—such as unusual bursts of activity, funds moving rapidly between accounts, or funds from high‑risk sources—so staff can investigate or report them as needed. Verifying identity and understanding the source of funds through CDD is essential because it ensures that the activity being monitored aligns with a real, legitimate customer; without it, flagged patterns can’t be properly evaluated.

Staff background checks are important for overall compliance and integrity but don’t address the core money-flow monitoring that AML requires. Loyalty program analysis might help identify risky behaviors or unusual play patterns, but it isn’t a primary AML control for detecting illicit funds. Marketing campaigns aimed at promoting high-stakes play don’t serve as an AML measure; they increase transaction activity and could raise risk if not accompanied by proper monitoring, but they don’t in themselves detect or deter money laundering.