The Star Announces Start of Second Bell Inquiry Hearings

Public hearings as part of the second Bell Inquiry investigating its Sydney casino operations will start on Monday, according to a statement from Australian gambling operator The Star.

This inquiry comes after a two-year examination that found serious weaknesses in anti-money laundering procedures and raised issues regarding fraud and criminal connections at the Sydney casino.

The Star was fined AU$100 million ($65 million) and lost its casino operating license as a result of the initial investigation.

In addition, a dedicated manager was tasked with supervising casino operations until compliance was achieved.

The New South Wales Independent Casino Commission (NICC) has expressed dissatisfaction with the speed of rehabilitation efforts, and the second investigation will evaluate The Star’s response to previous findings.

The Star’s Executive Chairman David Foster indicated the company’s willingness to comply by declining to comment on topics prior to the investigation in a statement released on Monday.

David Foster has assumed the duties of outgoing CEO Robbie Cooke, who departed at the end of March in an attempt to boost the business’s standing before the investigation’s conclusions were known.

The results of the investigation should be made public on May 31st, one day before the June 30th deadline for proving compliance to keep the state’s casino license in effect. There are just two casinos in Sydney: The Star and Crown Resorts.

Industry insider Ben Lee believes that rival Crown Resorts may be able to take over The Star’s casino activities if its license is revoked.

After a review by the Victorian Gambling and Casino Control Commission (VGCC), Crown Resorts was able to keep its Victorian casino license in spite of comparable compliance issues at its Melbourne casino.

But for now, Crown Resorts is waiting on the NSW investigation’s findings on its Sydney location.

Ben Lee, Managing Partner at IGamiX, believes that Crown Resorts may have an advantage over The Star in handling regulatory difficulties due to its proactive remediation strategy and strong political ties.

Original Story by: Asian Gaming Brief