The Star dealt with junkets known for criminal activity, inquiry hears
ASIC’s case against former Star Entertainment executives and directors has started this week at the Federal Court in Sydney.
Australia.- The Australian Securities and Investments Commission (ASIC) has initiated Federal Court civil penalty proceedings against 10 current and former board members of The Star Entertainment Group for alleged breaches of their duties under the Corporations Act.
On the first day of a six-week trial in the Federal Court in Sydney, ASIC’s legal representative, Ruth Higgins SC, told justice Michael Lee that the leadership team at the casino operator failed to avoid business dealings with high-risk people. She claimed the company maintained relationships with overseas junket operators, in particular with Suncity, despite having evidence they were engaged in illicit activities.
Higgins alleged that in Suncity’s dedicated space at The Star Sydney, money was brought to the service desk in blue Esky bags, while junket staff hid from the view of CCTV cameras by covering themselves with blankets She said the board was “well aware” the company was engaging with junket operators and “knew junkets in Asia had links to organised crime”. She told the court documents existed warning executives of the risks of dealing with particular junket operators.
The inquiry will continue today (February 11). ASIC is taking legal action against members of the Star’s board between 2017 and 2019: John O Neill (former chair), Matthias Bekier (former CEO), Kathleen Lahey, Richard Sheppard, Gerard Bradley, Sally Pitkin, interim chair Benjamin Heap and Zlatko Todorcevski.
See also: The Star rejects offers for Destination Brisbane stake
