The suspension of The Star Entertainment’s casino license for its Gold Coast property has been pushed back until September 30, 2026.
In line with this extension that gives...
Star Entertainment faces AU$400M fine threat
The Star Entertainment could face an AU$ 400 million fine over serious money laundering breaches, just weeks after receiving a financial rescue from Bally’s Corporation and Australian investor Bruce Mathieson.
Fines and financial issues come one after another, not allowing the company to settle down and fix its reputation. This time, the issue comes from Australia’s financial crimes agency, AUSTRAC, which took Star to court, claiming the company allowed suspicious transactions worth billions of dollars between 2016 and 2020.
These breaches mainly involved 117 high-risk VIP gamblers, including those through dealings with Malta-based Suncity Group, which has a connection to organized crime. Suncity brought in nearly AU$ 15 billion in gambling revenue to Star’s Sydney and Queensland casinos during that time.
AUSTRAC’s lawyer told the court:
“If you want to run a casino, you’ve got to put in place very costly and significant systems, processes, and controls. There was a manifest failure on the part of Star to do that, and that warrants this court imposing a very high penalty.”
Despite acknowledging the breaches, Star argued that any fine exceeding AU$ 100 million could threaten its financial survival. Moreover, the company wants to pay in instalments and keep some court sessions private due to ongoing talks with lenders.
Star has also admitted it kept working with Suncity even after being warned about its criminal ties. The company is already under financial stress, posting an AU$ 300 million loss in late 2024.
Australian casino group The Star Entertainment is in tense negotiations with banks, trying to secure breathing space on AU$430 million ($278.5m) in loans.On August 27,...
