Atlantic Lottery has paid a $212,025 fine imposed by FINTRAC and has decided not to appeal

Canada’s Atlantic Lottery Corporation has paid an administrative fine of $212,025 imposed by FINTRAC, the federal financial intelligence agency.

The fine was imposed on 29 May 2026, and FINTRAC published its decision on 9 July. Atlantic Lottery confirmed that the fine had been paid in full and stated that the case had been closed.

What exactly did the lottery breach?

In the course of its investigation, FINTRAC identified three breaches of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act. Firstly, the operator failed to submit a suspicious transaction report in cases where there were grounds to suspect a link to money laundering or terrorist financing. Secondly, it failed to keep its written compliance policies and procedures up to date. Thirdly, it failed to assess and document the risks of financial crime.

In its public statement, the Atlantic Lottery emphasised that FINTRAC’s findings do not contain any allegations of actual money laundering, terrorist financing, criminal activity or deliberate breaches on the part of the lottery or its players. The operator stated that it is confident its programme complies with all applicable requirements.

Why the lottery decided not to appeal

Although it disagreed with part of the ruling, the Atlantic Lottery Corporation chose not to challenge the fine in federal court. The corporation explained this quite clearly: diverting funds from provincial shareholders to fund a legal appeal is not in the interests of the people of Atlantic Canada.

This stance sets it apart from a number of other Canadian operators who have opted to take legal action against FINTRAC. The British Columbia Lottery Corporation was fined over $1 million and lodged an appeal, claiming that the agency had caught it off guard during an audit in 2024. The Saskatchewan Indian Gaming Authority has also challenged a similar fine, claiming that the then-director of FINTRAC, Sarah Paquet, ignored the findings of the agency’s own staff. Both cases are still pending in the Federal Court. CNE Casino finds itself in a similar situation.

The wider context

In 2025/26, FINTRAC issued 35 notices of non-compliance across all sectors, a record high in the agency’s history. The total amount of fines reached $247 million. The gambling sector has become one of the priority areas: over the past 12 months, several lottery corporations and casino operators have been fined.

FINTRAC is stepping up its monitoring of suspicious transaction reports and internal compliance documentation. Accepting a fine helps to avoid legal costs, but the reputational impact is the same regardless of how an operator responds to the regulator’s claims.