The Star Entertainment Group has welcomed a second inquiry by the New South Wales Independent Casino Commission into its operational suitability at its Sydney casino.
Earlier this week, the NICC told The Star it had appointed Adam Bell SC to lead and assist the commission in determining the suitability of management and operations of The Star Sydney casino in another inquiry.
In response, The Star has stated that it welcomes the inquiry as an opportunity “to demonstrate it is capable of returning to suitability with particular reference to the actions that have been put in place since the Bell report was issued” and that it intends to be “open, transparent and facilitative” throughout the inquiry.
In the second inquiry, under sections 143(1) and 143A of the Casino Control Act 1992 (NSW), the NICC will analyse if The Star Sydney has made structural changes over the past 18 months since the operator was deemed unsuitable to hold its casino licence within NSW following a review.
The inquiry will take approximately 15 weeks, concluding on May 31, 2024, with the findings from Bell to be presented to the NICC by that date.
The Star has called these 15 weeks a “critical period” for the operator to execute its multi-year remediation plan, adding that it will “dedicate all necessary resources to the inquiry to ensure it meets all its requirements and expectations”.
The operator also highlighted the NICC’s statement in which the commission referred to the first inquiry which found that “The Star was unsuitable to be concerned in or associated with the management and operation of a casino in NSW”.
In addition, The Star remarked on it now being given a chance to show its suitability for a casino licence in the second inquiry.
“The Star appreciates the opportunity to demonstrate it has the ability to regain suitability and will continue to do all in its power to work cooperatively with all its regulators including the NICC and its appointed manager,” the operator said.
“The Star remains committed to and focussed on executing its Remediation Plan and earning back the trust of the community.”
The Star’s licence was suspended indefinitely by the NICC following the first inquiry in late 2022. Nick Weeks was then appointed as an independent manager to provide the operator with a chance to show it was “suitable or was capable of reaching suitability within a reasonable time”.
Appointed for 90 days initially, Weeks’ term was extended twice through regulation. The NICC has stated that during this period, “The Star has not yet satisfied the NICC that it is suitable, or is capable of becoming suitable, to hold a casino licence”.
The commission noted within its statement earlier this week that it “remains concerned that The Star has not made sufficient progress in key areas” ahead of the expiration of Weeks’ management on June 30, 2024.
The announcement of the inquiry comes in the same week in which The Star was scheduled to report its results for the first half of its 2024 financial year on February 21.
However, the operator has now announced a trading halt and will be rescheduling the financial results release for a later date.
