Australia’s biggest star faces potential consequences as regulatory authorities investigate potential breaches at a popular casino. The Star Entertainment Group, which operates casinos in Sydney, Brisbane, and the Gold Coast, could potentially lose its casino license or face a hefty fine of up to $67 million for failing to comply with regulatory standards.
The investigation, led by the New South Wales Independent Liquor and Gaming Authority (ILGA), has raised serious concerns about The Star’s operations. The ILGA has alleged that the casino failed to adequately monitor high roller customers for money laundering and other illegal activities, as required by law.
According to a statement from ILGA chair Philip Crawford, the regulatory breaches are “serious” and could have “significant consequences” for The Star. The casino has been under scrutiny since a high-profile inquiry earlier this year revealed widespread issues with its anti-money laundering and compliance procedures.
The Star has acknowledged the regulatory breaches and has pledged to cooperate fully with the investigation. In a statement, the company said it takes its compliance obligations “very seriously” and has already taken steps to address the issues raised by the ILGA.
The potential consequences for The Star are significant. Losing its casino license would be a major blow to the company, which operates some of the most popular gambling destinations in Australia. The $67 million fine, if imposed, would be one of the largest ever levied against a casino operator in the country.
The regulatory scrutiny comes at a challenging time for The Star, which has already been hit hard by the COVID-19 pandemic. The company reported a loss of $94 million in the last financial year, as its casinos were forced to close or operate at reduced capacity due to lockdowns and restrictions.
Despite the challenges, The Star remains optimistic about its future. The company recently announced plans to expand its operations in Sydney and build a new hotel and casino complex in Brisbane. However, the regulatory investigation could potentially derail these plans and damage the company’s reputation in the industry.
The Star’s regulatory troubles have also raised broader concerns about the effectiveness of Australia’s gaming regulations. Critics have called for stricter oversight of the industry and more robust compliance measures to prevent money laundering and other illegal activities.
As the investigation continues, all eyes will be on The Star and its efforts to address the regulatory breaches. The outcome of the case could have far-reaching implications for the company and the broader gambling industry in Australia.