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Star Entertainment Group issued show cause notices in Queensland

Ben Blaschke by Ben Blaschke
Sun 6 Nov 2022 at 17:44
Star performers? A question of executive remuneration

The Star Gold Coast

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Queensland’s gaming regulator has issued show cause notices to three entities of Star Entertainment Group outlining potential disciplinary action it plans to take against the casino operator following a recent finding of unsuitability.

The entities in question are The Star Entertainment Qld Limited, which holds the license for Treasury Brisbane, The Star Entertainment Qld Custodian Pty Ltd, which holds the license for The Star Gold Coast, and The Star Entertainment Qld Limited which acts as lessee of The Star Gold Coast.

According to information contained within the show cause notices, the Queensland government has directed the Office of Liquor and Gaming Regulation to take action against Star, with the regulator stating, “The Minister believes that grounds have arisen for taking disciplinary action against The Star Entertainment Qld Ltd and that the initiating incidents giving rise to such grounds are likely to be sufficiently addressed only by taking disciplinary action against it.”

In particular, the notice explains that Star “established and maintained a poor corporate culture of compliance and responsibility” in which it was guilty of “prioritizing perceived business interests over compliance and the protection of the integrity of gambling.”

Its failures, the notice adds, included failure to exclude persons excluded in other states, failure to engage in adequate Anti-Money Laundering and permitting the use of China UnionPay debit cards to transfer funds for gambling.

Among the disciplinary action being considered is anything from a letter of censure or written directions to a penalty of up to AU$100 million, cancellation or suspension of Star’s casino licences or the appointment of a special manager.

As previously reported by IAG, Star was last month found unsuitable to operate its Queensland casinos following completion in September of a review into its operations. The review and subsequent report from Robert Gotterson AO also took into account the findings of a similar review in NSW which recommended Star be found unsuitable to retain its casino license for The Star Sydney.

Queensland Attorney-General and Minister for Justice Shannon Fentiman has already stated the government would adopt all 12 recommendations contained within the report, specifically the appointment of a special manager to oversee Star’s remediation efforts.

Star has 21 days to respond to the show cause notices, the company said.

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Tags: Australiacasino licenseQueenslandshow cause noticeStar Entertainment GroupThe Star Gold Coast
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Ben Blaschke

Ben Blaschke

A former sports journalist in Sydney, Australia, Ben has been Managing Editor of Inside Asian Gaming since early 2016. He played a leading role in developing and launching IAG Breakfast Briefing in April 2017 and oversees as well as being a key contributor to all of IAG’s editorial pursuits.

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