Star Entertainment Group has firmly denied media reports that accused them of money laundering, calling the reports “inaccurate” while stating they will take appropriate steps to address the accusations.
The Sydney Morning Herald and The Age, alongside the television program 60 Minutes, published a collaborative investigative piece alleging that Star Entertainment permitted suspected money laundering, organized crime, widespread fraud, and interference at their casinos for an extended period, despite warnings that their anti-money laundering measures were inadequate.
The report, released over the weekend, claimed that between 2014 and 2021, Star Entertainment cultivated high-stakes gamblers who were allegedly connected to criminal or foreign entities. The media outlets asserted that the allegations were corroborated by numerous sources within the casino and law enforcement who have firsthand knowledge of Star Entertainment’s operations.
Among the individuals allegedly permitted to gamble at Star Entertainment were a suspected cocaine importer, a restaurant owner and alleged drug trafficker and money launderer, and some of Australia’s most prominent alleged tax evaders and corporate fraudsters.
Accounts, legal proceedings, law enforcement intelligence reports, and numerous sources acquainted with The Star’s operations have uncovered weaknesses in its security protocols.
The New South Wales Independent Liquor and Gaming Authority reportedly initiated an inquiry into The Star Sydney last month, motivated by worries about the casino’s dealings with VIP areas and its anti-money laundering safeguards.
In reaction to these reports, The Star stated it was “concerned” by some of the assertions in the media which it deemed “misleading,” but also declared it would take steps to address the accusations.
“The Star is troubled by some of the claims in the media which it considers deceptive,” The Star stated. “There are restrictions on publicly discussing specific individuals.
“We will take appropriate actions to address all accusations with the relevant state and federal regulatory bodies and authorities, including Adam Bell SC, who conducts regular assessments of The Star Sydney under the Casino Control Act 1992 (NSW).”
“The Star operates in a heavily regulated industry. We are subject to stringent and ongoing regulatory oversight, including compliance checks and reviews of the company’s operations in NSW and Queensland.”
Star Entertainment Group has voiced its backing for the proposals put forth by the Bergin Inquiry into its competitor, Crown Resorts. These proposals were given the green light by the New South Wales government in August.
The recommendations entail the creation of an Independent Casino Commission (ICC) to act as a separate, self-governing, and dedicated casino oversight body. This is followed by a set of legal adjustments designed to thwart criminal activity linked to casino operations.
“These suggestions will have an effect on the regulation of casinos in New South Wales, and Star Entertainment Group endorses them,” the company stated.
In February, Crown Resorts was deemed unfit to run its casino at Barangaroo in Sydney’s city center. This determination came after an investigation uncovered evidence that its facilities and accounts had been used for money laundering, in addition to collaborating with VIP room operators allegedly associated with organized crime.
In related news, Star Entertainment Group announced today (October 11) the reopening of its Sydney Star Casino after implementing a series of restrictions. The property has been closed since June 25 due to New South Wales local novel coronavirus (Covid-19) regulations.
The casino is now accessible to fully vaccinated employees and visitors, but capacity will be restricted to one person per 4 square meters indoors and 2 square meters outdoors. Masks will be compulsory, and individuals must be seated while consuming food or beverages indoors.
Star Entertainment has declared that seating limitations will probably be lifted shortly after New South Wales achieves its target of 80% of adults fully immunized. Capacity constraints and face covering requirements are also anticipated to be loosened beginning in early December.
In the meantime, operational restrictions at Star Entertainment’s properties in Queensland have been eased as of October 8th. This signifies that indoor capacity limits have been expanded to one person per 2 square meters, but face coverings are still mandated within casino facilities.
Subscribe to the iGaming newsletter.