Hefty regulatory scrutiny has once more come in the direction of The Star Entertainment Group from the New South Wales (NSW) Independent Casino Commission (NICC) in Australia.
The Star Sydney has been slapped with fines totalling A$10m (approximately €6.2m) and an enforceable undertaking to set a further $5m aside to bolster its financial crime risk management operations technology.
A release from the NICC stated that thousands of breaches at The Star Sydney were investigated by the Liquor & Gaming NSW (L&GNSW) last year, resulting in four separate disciplinary matters that led to the casino regulator issuing the following orders:
- $1.5m penalty – For allowing customers to continuously gamble without a break longer than the prescribed time limits between May 2024 and April 2025.
- $3m penalty – For allowing the conversion of casino reward points to cash involving at least 1,898 patrons between December 2018 and November 2023.
- $500,000 penalty – For the failure to prevent entry by an excluded patron on nine occasions between February and May 2024.
- $5m penalty and an enforceable undertaking for a further $5m – For systemic failures in financial crime risk operations between July 2023 and September 2025. The $5m enforceable undertaking will be held in a dedicated remediation fund to support The Star’s technological capability uplift to comply with regulatory obligations related to its financial crime risk management operations.
UPDATE: Bruce Mathieson Jnr, Group Chief Executive Officer & Managing Director at The Star, said: “We take our obligations to abide by gaming regulations seriously and appreciate that the NICC has allowed us to pay these penalties progressively up until 30 June 2027 while we continue to invest in our technology uplift. These events occurred between December 2018 and September 2025 and prior to the commencement of the current leadership.
“We will continue to engage constructively with the NICC in respect of The Star Sydney as we work through our remediation program. I am confident that we are making progress.”
Weeks still in place
The release follows the NSW government amending the Casino Control Regulation at the beginning of April earlier this year, following a request from the NICC.
As a result, Nicolas Weeks, The Star Sydney’s Manager, had his term extended until 30 September 2026 to allow the casino to operate gaming facilities while its licence remains suspended.
A suspension has been in place on The Star Sydney for over three years, as the operator was determined to be no longer suitable for a casino licence after several regulatory failures were found in NICC-commissioned reviews by Adam Bell SC in October 2022 and August 2024.
The NICC took into account the possibility of the casino being able to satisfy the commission with appropriate remedial actions when determining the initial suspension, so the property’s licence wasn’t cancelled outright. Weeks was appointed as manager to allow gaming operations to continue.
Many of the breaches listed were spotted through the casino’s ongoing remediation program and subsequent investigations, stemming from the Bell inquiries. Some were also self-reported by The Star.
“In the more serious cases, patrons were able to gamble for more than 36 hours straight.”
New South Wales (NSW) Independent Casino Commission (NICC)
The NICC said: “A significant number of the breaches of time play thresholds relate to patrons being permitted to gamble for more than 12-hours in a 24-hour period. In the more serious cases, patrons were able to gamble for more than 36 hours straight.
“Contraventions surrounding the conversion of casino or “comp” dollars resulted in patrons being able to use their rewards points to reimburse their airfares or other travel expenses.
“The systemic failures in financial crime risk operations include breaches in The Star’s Customer Risk Rating Model (CRAM), Enhanced Customer Due Diligence (ECDD) on high-risk patrons and Ongoing Customer Due Diligence.
“In some instances, the casino was found to have failed to properly assess a customer’s risk of being involved with criminal activity, including money laundering and terrorism financing.”
‘Considerable progress’ under new leadership at The Star
Philip Crawford, Chief Commissioner of the NICC, noted that although the breaches were of concern, many occurred before more systematic remediation processes were implemented, such as carded play.
Crawford said: “While these disciplinary matters are disappointing, we have seen considerable progress at The Star under their new leadership.
“The NICC is confident that the revised remediation workstreams, the expertise of Bally’s Corporation and the technological uplift that has taken place since these breaches occurred have made a materially significant improvement in The Star’s remediation progress.
“While we are optimistic about The Star’s remediation progress, the casino’s recent poor compliance history has also factored into the Commission’s decision.
“Imposing these fines along with the enforceable undertaking reiterates the seriousness with which the NICC considers any breaches that leave customers vulnerable to gambling harm or casinos vulnerable to criminal infiltration.”
“While these disciplinary matters are disappointing, we have seen considerable progress at The Star under their new leadership.”
Philip Crawford, Chief Commissioner of the NICC
WhiteHawk and Bally’s
Refinancing its debt allows the operator to take action on its remediation plan and implement requirements from the NICC and the Office of Liquor and Gaming.
This follows The Star reporting that it began to see the effects of its cost-saving measures in its Q3 results, with EBITDA improving significantly compared to the same period the previous year, although still at a loss.
Cost-saving measures included the WhiteHawk refinancing deal, a binding long-term documentation with Chow Tai Fook Enterprises Limited and Far East Consortium International Limited regarding the Queen’s Wharf Brisbane and Gold Coast resorts, as well as streamlining its corporate offices.
This comes under new leadership following the completion of the A$300m strategic investment by Bally’s Corporation and Investment Holdings late last year.
