Cyprus casinos probed for money laundering

Turkish prosecutors have launched a money-laundering probe into 13 casinos in the Turkish Republic of Northern Cyprus.

Turkey.- Thirteen casinos in the Turkish Republic of Northern Cyprus have been accused of illegal betting and money laundering. Turkish prosecutors have launched an investigation to determine how to proceed.

The prosecutors ordered the confiscation of US$100 million linked to suspects of an earlier investigation conducted by the Board of Investigation on Financial Crimes (MASAK), which revealed that casinos were involved in money transactions in a foreign currency. Those movements were made through seven casino managers and the accounts of staff at 20 companies owned by the casinos.

It is estimated that approximately US$5 billion has been laundered through the casinos through personal banking accounts of the people working in those 20 companies. Investigators believe that the high amount of cash comes from gambling and illegal betting revenue.

However, there seems to be controversy around the news as Turkish Cypriot authorities told news outlets that no documents or information was asked of them by any authority in Turkey, and that they were informed about the money laundering probe through the media.

The local Yeni Duzen newspaper said that a Finance Minister stated that they contacted MASAK and were told that there is no such issue and that no investigation was taking place in the northern territory.

The Turkish Republic of Northern Cyprus is a partially recognised state that comprises the northeastern portion of the island of Cyprus, However, while it is only recognised by Turkey, the state is considered to be part of the Republic of Cyprus.