A joint investigation by the Sydney Morning Herald, the Age, and television programme 60 Minutes has revealed allegations of legal noncompliance by Star, a prominent casino operator. The report claims that Star allowed suspected money laundering, organized crime, large-scale fraud, and interference at its casinos for several years, despite warnings about its failing anti-money laundering controls. The allegations are supported by casino and law enforcement sources familiar with Star’s operations.
According to the investigation, Star allegedly cultivated high-roller gamblers between 2014 and 2021, some of whom were associated with criminal or foreign-influence operations. Among these individuals were an alleged cocaine importer, a restaurateur and accused drug trafficker and money launderer, and some of Australia’s biggest alleged tax cheats and corporate fraudsters. Internal documents, court cases, law enforcement intelligence briefings, and various sources knowledgeable about Star’s operations exposed deficiencies in its protection measures.
This investigation follows concerns raised about The Star Casino in Sydney’s interactions with junkets and its prevention measures against money laundering. As a response to the reports, Star has expressed concern about the misleading assertions within the media and has committed to addressing the allegations. The company operates in a heavily regulated industry and undergoes regular compliance checks and reviews by state and federal regulators and authorities.
Star supports the recommendations of the Bergin Inquiry Report, which aims to establish the Independent Casino Commission as an independent and specialist casino regulator. These recommendations, endorsed by the NSW government, include subsequent legislative reforms targeting the prevention of criminal activity associated with casino operations.
In February, Crown Resorts was deemed unsuitable to operate its casino in central Sydney due to evidence of money laundering and connections with organized crime through engagement with junket operators. In related news, Star has announced the reopening of its Sydney casino, subject to various restrictions. The property will operate with limited capacity and mandatory mask-wearing for fully vaccinated staff and guests. As vaccination rates increase, capacity limits and mask rules are expected to ease.
Operating restrictions for The Star’s Queensland properties were recently eased, with increased capacity limits indoors and mandatory mask-wearing still in effect within the casino facility.
