Earlier today, the New South Wales Independent Casino Commission (NICC) notified The Star’s Board of Directors that, according to Adam Bell SC, it is “in the public interest” for the hearings surrounding the second investigation into The Star to be held in public.
The Star has been under extensive regulatory scrutiny since 2022, which was when the first investigation by the NICC into the company’s operations was undertaken. The said probe resulted in The Star being handed a staggering AU$100 million fine after it was discovered that the company had failed to prevent money laundering as well as fraud and had committed a number of other regulatory violations.
The gambling watchdog’s second probe into The Star commenced on February 19th, 2024, and Mr Bell SC is the one presiding over the review. For the public hearings to be possible, he will have until July 31st to finish the inquiry report, as opposed to the original May 31st deadline. This has also led to Nicholas Weeks’ term as Manager of The Star Casino being extended to September 30th, 2024.
As seen in the March 25th announcement, the company’s Board of Directors said that The Star is appreciative of being given the chance to show its “ability to regain suitability” and assured of The Star’s determination to cooperate with regulators.
The Announcement Follows Robbie Cooke’s Stepping Down From His Position as CEO
Meanwhile, the company is undergoing major leadership changes after former CEO Robbie Cooke announced his resignation last week. Leadership duties have been transferred to Chairman and Independent, Non-Executive Director David Foster until a new chief is appointed.
Another resignation was that of Christina Katsibouba, who used to serve as The Star’s Chief Financial Officer (CFO). David Foster expressed his and the Board’s gratitude toward Ms Katsibouba for everything she has done for The Star during the company’s challenging years and wished her well. He also commended Neale O’Connell, who will be taking on the role of CFO following Ms Katsibouba’s departure, for his experience. In addition, Mr Foster said that Mr O’Connell “will bring new perspectives and leadership” to The Star’s executive team.
Ultimately, The Star has a long road ahead, and the results of the 2024 investigation will be crucial in determining the future of the company in NSW and beyond. It also seems that the company’s situation has led to major regulatory changes in Australia, seeing as last week, Queensland regulators introduced reforms that are centred around the prevention of problem gambling and helping those already struggling with gambling harm. The bill, named the Casino Control and Other Legislation Amendment Bill 2023, dictates that gambling establishments will be required to introduce mandatory identity verification, impose limits on how much patrons can spend on gambling, and develop a responsible gambling code of conduct.
These pieces of legislation are the direct result of Queensland gambling regulators’ own investigation into The Star, as the year 2023 saw the company having to pay $140,000 in financial penalties for allowing customers to make casino purchases via credit cards and targeting self-excluded clients with gambling promotions. The fine could have been in the realm of over AU$1 Million, but mitigating factors were taken into consideration, resulting in the above fine and The Star retaining its Queensland licence.
- Author
Daniel Williams
