Tabcorp confirms dividend target after AUSTRAC accord

Tabcorp said it is maintaining its dividend targets this year after a Federal Court approved a A$45 million ($35 million) penalty to settle a case with financial intelligence agency Austrac.

The Australian Transaction Reports and Analysis Centre brought the case against Tabcorp in 2015 for compliance deficiencies relating to anti money laundering and counter-terrorism financing provisions.

The wagering firm, which will also need to pay AUSTRAC’s legal costs, said the penalty will be recognised as an expense in its financial statements for the year to the end of June.

The wagering company said its dividend target remains the greater of more than 90 percent of net profit after tax before significant items and the amortization of the Victorian Wagering and Betting license, or $0.24 a share.

The company said it looks forward to working with AUSTRAC in the future and has made significant investments in its AML and CTF compliance over the past three years. It said it will remain focused on being the industry leader in regulatory compliance.