Scandal-plagued casino operator, Star Entertainment Group, has been issued show cause notices by the Office of Liquor and Gaming Regulation (OLGR) for its two Queensland casinos. The notices were prompted by the recent completion of the Gotterson Review, which exposed a series of institutional shortcomings and led the state government to deem the casino “unsuitable” to hold its license.
Star Entertainment Group now has until 25 November to present evidence that could prevent the enforcement of disciplinary actions against the operator, which could range from written warnings and penalties to the appointment of a special manager or even license suspension or cancellation.
The Findings of the Gotterson Review:
The Gotterson Review shed light on significant failures in the operations of The Star Gold Coast and Treasury Brisbane casinos, prompting the OLGR to issue the show cause notices. State attorney-general Shannon Fentiman emphasized the importance of the notices, offering Star Entertainment Group an opportunity to defend itself against potential disciplinary action. The introduction of new legislation grants the government a range of options to address the findings of the review.
Cross-State Controversies and Findings:
Star Entertainment Group’s controversies extended beyond Queensland and encompassed several venues across different states. During an investigation into the company’s suitability for holding a license in New South Wales, it was found to be an unsuitable licensee. The investigation revealed instances where the operator misled banks and regulators regarding Chinese UnionPay transactions, associated with individuals connected to organized crime, and examined the company’s past interactions with junket operators. The review also uncovered inadequacies in the operator’s social responsibility, anti-money laundering, and counter-terrorism financing strategies.
Potential Disciplinary Actions and Government Response:
The show cause notices serve as a critical juncture for Star Entertainment Group, as the operator must demonstrate why disciplinary action should not be taken against them. Under Queensland law, potential actions could include a letter of censure, written directives, penalties of up to AU$100 million, the appointment of a special manager, or even the suspension or cancellation of the casino’s license. The government’s response to the Gotterson Review highlights its commitment to ensuring accountability and maintaining the integrity of the state’s casino industry.
Star Entertainment Group finds itself at a critical crossroads as it faces show cause notices for its Queensland casinos following the damning findings of the Gotterson Review. The show cause process offers the operator an opportunity to address the institutional failings outlined in the review and present evidence to avoid potential disciplinary actions. The outcome of this process will shape the future of Star Entertainment Group’s operations in Queensland, with the government empowered by new legislation to enforce appropriate measures. The casino industry, as well as regulators and stakeholders, will be closely monitoring the developments, as this case serves as a significant milestone in upholding the standards and integrity of the sector.