Mr GREG WARREN (Campbelltown) (12:39): I am delighted to have the opportunity to make a contribution to debate on the Return of Proceeds of Crime (Gambling Businesses) Bill 2025. I acknowledge the member for Murray and thank her for introducing the bill, because it addresses a very important issue. Whilst the Government will not support the bill, I note that, like most suggestions that come from the member for Murray, it comes from a good place for good reason, for which I thank her. The bill is consistent with much of the concern felt in the community. The intention of the bill ultimately is consistent with widespread concerns. The member for Shellharbour mentioned the importance of our clubs, which are wonderful organisations. They are in the heartland and are the backbone of our community. I acknowledge local clubs in my electorate—West League and the Catholic Club—as well as a number of other clubs in he region, such as the Campbelltown RSL, Cabra‑Vale Diggers and the like.
The reality is that the Government has a plan in place. I am advised that a lot has been done so far, but we also acknowledge that there is still much more to do. Part 2 of the bill proposes to introduce offences that require gambling businesses to, firstly, refuse service to any person who is suspected, on reasonable grounds, of gambling with stolen money; and, secondly, report to the Commissioner of Police that the business has reasonable grounds to suspect that a client is gambling with stolen money. Part 3 of the bill proposes to require courts to order gambling businesses to compensate the victims of offenders who use money they stole from the victims to gamble. As I have indicated, the intention of the bill to address the harms caused by gambling is laudable. The Government supports the intention of the member for Murray in seeking to protect victims who have had money stolen from them.
As I previously stated, the Government is not supporting the bill. I am advised the Government is already addressing gambling harm through evidence‑based policy that gets the balance right. Since the Government was elected in March 2023, I am advised it has been undertaking significant gaming reform, including establishing an independent panel of experts that late last year provided a report to the Government on the findings of the cashless gaming trial and provided a gaming reform implementation road map for the State. The Government published the independent panel's report in December last year and is carefully considering its recommendations. I am also advised the Government has committed $100 million to harm minimisation and gaming reform. Furthermore, the Government is committed to gambling reform to reduce harm and prevent money laundering, which we know is a very major and serious issue. It is quite noticeable in my electorate.
The Government is working with key stakeholders to deliver evidence‑based gambling reform that protects people's privacy, reduces harm, stops money laundering and supports local communities and jobs. When considering jobs and the employment base of our clubs, we cannot ignore the fact that clubs are large employers in many communities. In rural and regional New South Wales, clubs certainly are a very important employer. I am also advised that in the last two years there has been more reform than in the previous 12 years. That is a remarkable achievement and an indication of the progressive policy and reform approach of the Minns Labor Government, not just in relation to gambling. Whilst there was some work done in some areas by the former Government, so much more needed to be done. That is why I am delighted that the Minns Labor Government is adopting a very progressive and proactive approach to reform.
Over the past couple of years, some of the Government's reforms included reducing the input limit from $5,000 to $500 for all new gaming machines; banning political donations from clubs with gaming machines; reducing the statewide cap on gaming machine entitlements so that every year the number of gaming machines in New South Wales reduces, based on forfeiture rates; banning all external gambling signage in venues; banning the placement of any signage or advertising relating to gaming machines either on or visible from an ATM or EFTPOS terminal with cash withdrawal facilities; requiring responsible gambling officers in venues with more than 20 gaming machines; requiring gambling incident registers and gaming plans of management for all gaming machine venues; and strengthening requirements to ensure that cash dispensing facilities, such as ATMs, are not located in areas that have gaming machines.
I am advised that recently the Government publicly consulted on a third party exclusion scheme as well as the use of mandatory facial recognition support and a statewide exclusion register for New South Wales hotels and clubs with gaming machines. The Government also has committed $100 million to harm minimisation and gaming reform, including an additional $20 million that was allocated as $10 million in the financial years 2023‑24 and 2024-25 to the Responsible Gambling Fund to develop and deliver harm reduction initiatives, such as free gambling‑aware services and support, which are led by the New South Wales Office of Responsible Gambling.
I turn now to address the Independent Panel on Gaming Reform, which I referred earlier in the debate. In July 2023, the Government established the Independent Panel on Gaming Reform to oversee a cashless gaming trial in pubs and clubs and to recommend an implementation road map for gaming reform in New South Wales. The cashless gaming trial is now complete. It was conducted between March and September 2024. The trial tested the feasibility of three technology solutions from separate technology providers in 14 venues across the State. The panel included representatives from industry, community services and academia, independent members and an independent chair to ensure that the Government received balanced, informed and independent advice on progressing its gaming reform agenda. The panel also provided advice on several issues, including the allocation of $100 million in funding for harm minimisation programs and milestones for the delivery of future gaming reform, with technical and systems standards, privacy and data protections to be adopted by the reforms. As I previously stated, the Government published the panel's final report in December last year.
I know the Government is carefully considering the panel's recommendations and will respond in due course. I take this opportunity to acknowledge the efforts in this space of the Minister and his team, who are working very intensely to ensure that the reforms are balanced, correct and, ultimately, fit for purpose to achieve resolution of the broader community concerns. In relation to the advertising ban, the Government is considering further reforms to reduce gambling harm. In January this year, the Government announced a ban on advertising gambling on public transport assets in New South Wales. The ban applies to wagering and sports betting providers, as well as online gambling, such as social casino games, online keno and foreign lotteries. The prohibition applies to Transport‑owned and controlled assets, including internal and external advertising on trains, metro, buses, light rail, as well as train station and ferry terminals. [Extension of time]
This change will affect 798 advertising boards at Sydney train stations, 49 road‑facing digital billboards, advertisements on up to 3,711 urban buses, 76 trams and across the Tangara train fleet. The Government also is working with multiple advertising contract holders to implement the required changes over the next 12 months. I acknowledge the member for Murray and thank her for bringing this very important bill to the House. While there have been constructive steps made, we know that there are many more to go, because the consideration of that final report is still being assessed. It would appear that the proposals in the member's bill are very closely correlated with the recommendations from the report of the Commonwealth House of Representatives Standing Committee on Social Policy and Legal Affairs, chaired by the late Peta Murphy, MP, entitled You win some, you lose more. Recommendation 22 of that report stated:
… that national regulation include provisions to prevent the proceeds of crime from being used to fund online gambling. A legal taskforce should be established as soon as practical to develop these provisions.
That recommendation was directed at the Australian Government, not the State or Territory governments, I am advised. The New South Wales Government is awaiting the Australian Government's response to that report and looks forward to continuing to work with the Australian State and Territory governments on the next steps. It is important that this Parliament does not pre-empt the Australian Government's response and actions in this area. A cohesive national approach to this issue must be taken.
The bill seeks to operate in an existing criminal justice framework that already provides a number of existing offences dealing with the proceeds of crime or concealing serious indictable offences and places existing obligations and reporting requirements on gambling businesses under Commonwealth anti‑money laundering laws. It is crucial that we make sure that our laws work consistently and coherently together to provide a strong framework that protects our community and prevents harm. Finally, it is crucial for States and Territories to work with the Commonwealth to ensure that there is a consistent national approach to proceeds of crime and gambling industry legislation. That is particularly the case in light of the recent Commonwealth parliamentary committee inquiry.
The conduct that the bill seeks to address is already covered by a number of different offences and other provisions in the existing criminal justice framework in New South Wales. It seeks to require gambling businesses to report to the Commissioner of Police if there are reasonable grounds to suspect that a client is gambling with stolen money. It also seeks to require gambling businesses to refuse service to any person it suspects on reasonable grounds of gambling with stolen money. However, it is already an offence under section 316 of the Crimes Act 1900 for a person to fail to give police information that might materially assist in the apprehension, prosecution or conviction of an offender who has committed a serious indictable offence where the person knows or believes that the offence has been committed by the offender and they do not have a reasonable excuse for failing to report to police.
The types of conduct ultimately targeted by the offence in this bill—namely, dealing with proceeds of crime—are caught by existing serious indictable offences. In particular, section 193C of the Crimes Act 1900 already makes it an offence to deal with property where there are reasonable grounds to suspect that the property is the proceeds of crime. The elements of this offence are that a person deals with property and that there are reasonable grounds to suspect that the property is the proceeds of crime. The maximum penalty for the offence ranges from three years up to 10 years imprisonment in cases where the offence is committed in circumstances of aggravation. The maximum penalties are tiered based on the value of the property involved. The existing section 93C offence covers substantially similar conduct to that which is addressed by the offence proposed in proposed section 5 in the bill.
To conclude, I again acknowledge the member for Murray and her intention—which comes from a good place—because this is an important issue that affects individuals, families, communities and wider society. While the Government is taking some action, it is also very aware that there is so much more work to do. We look forward to working with the Federal Government and the other State and Territory jurisdictions to further progress reform where needed.
