The Star claims it remains suitable for holding Sydney license

Star Entertainment believes that despite the overhead clouds, the company is still suitable to operate its Sydney casino and can hold its license while aligning it with regulatory criteria. The company, however, admitted that it had committed significant "deficiencies and failings," which are the conclusions of the Adam Bell SC-led review as well.

Star Casino in Pyrmont came under heavy fire from the reviewers and the lead investigator as the company and its casinos were tied to fraud and money laundering. To the company’s credit, it has agreed with the conclusions of the investigation. Star’s defense submitted an acknowledgment of the fact during the closing statements but insisted that it had cleaned up its act.

The company argued that the people responsible for the transgressions named in the investigation’s conclusions were not part of the company anymore and that The Star was fit to hold onto its licenses while upholding the expected regulatory standard to continue doing so. Whether this recommendation is considered by the investigators remain to be seen.

Crown Resorts followed a similar path to restoring its reputation with the Crown Sydney facility put on a two-year special monitoring regime that would eventually allow the property to stand on its own two feet.

The closing argument for Star Entertainment does make sense as a number of high-profile officials have already handed in their resignations in a bid to assuage reviewers and give them a reason to see that the company has moved past dubious practices.

Company CEO Matt Bekier, Chief Casino Officer Greg Hawkins, and Chief Financial Officer Harry Theodor were all among the people who decided to step down as they sought to restore the company’s reputation. Star Entertainment’s barrister, Kate Richardson, insisted that the fact those people were no longer part of the company was a strong sign that Star Entertainment was committed to cleaning up its act.

While Star Entertainment is hoping to mitigate the crisis in New South Wales, there are fresh challenges elsewhere. Queensland’s government announced that it is launching another investigation in light of the conclusions drawn by the investigators in New South Wales.

The fresh probe will seek to assess whether the company is suitable to maintain an operational license of the Brisbane and Gold Coast properties. Some Queensland politicians have criticized the government for what they called a belayed response to a growing list of concerns over Star Entertainment.

Investigations into Crown Resorts and Star are bound to continue in the foreseeable future, but they are also an opportunity for Australia to improve its gambling industry. Positive and ultimately helpful changes are already underway.

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