The Star Entertainment Group was recently found unsuitable to hold a casino license in Sydney. Now, the company has announced that it wants to do everything in its power to retain its license. The Australian casino giant proposed to operate its venue under strict supervision.
The Company Is in Deep Trouble
Star was deemed unsuitable to hold a license following a lengthy inquiry into the company’s business. Investigators led by Adam Bell SC uncovered numerous concerning anti-money-laundering breaches and many instances of negligence and lacking effort when it comes to fraud prevention. Not only did Star maintain close relationships with dangerous foreign agents but it also allowed the shady Suncity Group to run an illegal gambling cage on the premises of the Star Sydney casino. NSW’s casino regulator, on the other hand, noted multiple governance shortcomings and risk-prevention failings.
Several days after the Bell Inquiry concluded that Star Entertainment is unfit for a license in NSW, Ben Heap, the company’s interim executive chair, unveiled a Renewal Plan that seeks to fix the company’s wrongdoings. Heap contacted all Star members, shareholders and guests and admitted to all of the damning findings. He regretfully confirmed that Star Entertainment has fallen short of expectations and said that the company should have known better.
Star Wants a Second Chance
Despite everything, Star is reluctant to part ways with its license. When Heap admitted to Star’s wrongdoings, he also announced a Renewal Plan to fix the company’s mistakes. The plan will, unfortunately, take years to fully implement but envisions a full transformation of Star Sydney’s leadership and culture.
Star Sydney has now vowed to do “whatever is necessary” to restore Star Sydney to suitability. While the company acknowledged its shortcomings, it wants a second chance and proposed a new scheme. The Star Entertainment Group released a statement where it suggested that the best course of action would be to allow Star to keep its license and continue operating under strict supervision. In particular, the casino company asked the NICC to closely monitor the Renewal Plan and see if Star is able to fulfill its promise to do better. As a result, the regulator would be able to tell if Star is capable of restoring its suitability to hold a license. In addition, Star promised to employ the services of third-party monitoring firms that will make sure Star is indeed on the path to betterment.
In other news, The Star’s Acting CEO, Geoff Hogg, just stepped down from his position. His departure came as a result of the findings of the Bell inquiry.