A probe into Crown Perth’s business completed by the Perth Casino Royal Commission (PCRC) in Australia deemed the company not suitable to hold a license. However, the Commission decided to grant Crown Perth the possibility to remedy its shortcomings for a period of two years instead of proposing license revocation. During that time, Crown Perth will be monitored by an independent auditor.
Crown Perth to Remedy Shortcomings, Report
On Thursday, the Perth Casino Royal Commission released its final report regarding Crown Perth. After investigating all aspects of casino operations, the Commission concluded that “each of Burswood Nominees Ltd, Crown Resorts Limited, Burswood Limited and Burswood Resort (Management) Limited is not a “suitable person” to be concerned in or associated with the organization and conduct of gaming operations of a licensed casino.” Additionally, the report found that Burswood Nominees Ltd was deemed not suitable to continue to hold a gaming license for Perth Casino.
“We determined that in order to become suitable each entity would be required to embark on a pathway to suitability, with their remediation activities overseen by an independent monitor,”reads the report released by the Perth Casino Royal Commission
However, instead of license revocation, the report proposed changes that would make each of the organizations suitable once again. According to the white paper, the process to remedy the shortcomings would take approximately two years. An independent audit firm will monitor the organizations during that time and in the end, it will present an official report to the Gaming and Wagering Commission.
The Report Finds Multiple Failures at Perth Casino
The recently released report revealed that it found Crown Resorts had failures related to anti-money laundering (AML). For Perth Casino, such failures included “facilitating money laundering through the Riverbank accounts.” Moreover, the report stated that the venue permitted business with junkets that were possibly linked to criminal organizations. Crown Resorts also failed to implement an efficient AML program or ensure detecting of transactions suspected of money laundering, according to the report.
Perth Casino had multiple deficiencies related to reducing gambling harm. According to the new report, the venue implemented changes to the speed of play for electronic gaming machines without investigating what effect that change may have on gambling harm. Last but not least, Perth Casino failed “to be open and accountable in communications with the Gaming and Wagering Commission about various matters.”
The Regulator Contributed Negatively, Says the Report
Overall, the PCRC listed 59 recommendations for the government, the gambling regulator as well as Crown Resorts. Despite the many described failures, the report revealed that it has seen Perth Casino has completed “numerous remediation activities” in the last two years. Still, the property needs to put in additional efforts to strengthen its AML, gambling harm and risk management policies.
Surprisingly, the Gaming and Wagering Commission, contributed negatively by failing to exercise the responsibilities within its power, according to the report. That negative impact was further fueled by the Department of Local Government, Sport and Cultural Industries that “contributed to these failures by not adequately supporting the Gaming and Wagering Commission.”