It has been discovered that Star Entertainment is not eligible for a Sydney casino license. [Image: Shutterstock.com]
After an extensive investigation into its operations, Star Entertainment Group was deemed unsuitable to hold a Sydney casino license. The Independent Casino Commission of New South Wales (NSW) on Tuesday published the report from Adam Bell.
consider its options for disciplinary action in response to Pell’s findings and recommendations”
It is not yet clear if the regulator will revoke the license or if the casino company can take any remedial action. The NICC said it has given Star notice of the reason for the offer and is “considering its options for disciplinary action in response to Bell’s findings and recommendations.”
Star Entertainment has 14 days to provide a response to the findings of the investigation. Once the committee receives the response, it will then decide on the appropriate penalty. He has the power to strip Star Casino’s license, suspend it, administer financial penalties, and appoint an independent property manager.
The NSW public investigation into Star Entertainment began after local media reported allegations that Star had enabled major money laundering and fraud and had links to organized crime.
More than 30 witnesses testified during the investigation, with the New South Wales government reviewing Peel’s final report at the beginning of September. It was found that there was a “global compliance breakdown” across several key areas of the business. NICC Chief Commissioner Philip Crawford called the Bell report “shocking”.
Star was helping to hide large sums of money
instead of the report Pointing a finger at the main mastermind, I found that there were deep-rooted issues throughout the company. One of the biggest discoveries was that Star was helping to disguise large sums of money as hotel expenses, rather than classifying it as gambling money.
Brewing problem also elsewhere
As a result of subsequent investigations, several high-ranking executives of the company, including the former CEO and Chairman of the Board of Directors, have resigned. Starr hopes that by making major changes to senior management, it will be deemed appropriate to continue operating a casino in Sydney.
The casino operator was forced to call for the suspension of its listing on the Australian Stock Exchange (ASX) on Monday after rumors began emerging that it was deemed unfit to hold a Sydney license.
The Star is currently the subject of a similar investigation in Queensland, focusing on its three properties in the province and the suitability of the company to hold those licenses.
Star isn’t the only Australian casino company to get into the hot water lately, either. Crown Resorts were deemed unsuitable to hold any casino licenses following inquiries in Western Australia, Victoria and New South Wales. It has made significant changes to the management and its general business structure and as a result, has been able to resume the operation of each of the casinos under certain conditions.