ATM Companies Vie for Criminal Tobacco Trade, Court Documents Show

Two Australian Automated Teller Machine (ATM) suppliers, ATM2GO and Next Payments, are locked in a fierce dispute over lucrative contracts tied to a convicted tobacco criminal, according to court filings. The battle centers on Hasheem Jamal Al Deleymi, whose illegal tobacco operations in Queensland attracted both companies, highlighting a troubling intersection of legitimate business and illicit trade. These revelations expose regulatory gaps that allow cash-heavy ATM transactions to potentially fuel criminal enterprises, raising questions about oversight in Australia’s financial sector.

Court documents reveal that ATM2GO, a Queensland-based ATM provider since 2011, initially secured a deal to supply six machines to tobacco stores linked to Al Deleymi from February 2021 to March 2022. These machines reportedly processed transactions at triple the rate of typical Australian ATMs, suggesting a high volume of cash flow tied to illegal tobacco sales. However, by June 2022, Next Payments, backed by Macquarie Group, replaced ATM2GO’s machines, sparking a lawsuit. ATM2GO alleges it lost tens of thousands of dollars and won a default judgment of $64,000 against Al Deleymi, who did not contest the suit. Al Deleymi’s criminal record includes a 2024 conviction for tobacco-related offenses and a 2022 incident where New South Wales (NSW) police found $530,000 in cash in his vehicle, prompting a NSW Crime Commission investigation.

The case underscores a broader issue: private ATMs in tobacco shops enable cash-only transactions, potentially facilitating tax evasion and money laundering. Financial crimes consultant Neil Browne noted, “Cash from illicit sources can appear legitimate once processed through ATMs, with no questions asked about its origins”. Next Payments’ chief executive, Tim Wildash, denied money laundering allegations but acknowledged cooperating with authorities in ongoing investigations. Neither company responded to specific inquiries about their dealings with Al Deleymi.

This turf war exposes a regulatory void that the current Labor government has failed to address, despite Home Affairs Minister Tony Burke’s vague promise to “take action” on private ATMs. As criminals exploit these machines to launder money, the lack of stringent oversight threatens Australia’s financial integrity. The public deserves accountability, not excuses, from those tasked with curbing this shadowy trade.