AUSTRAC Expands Investigation into The Star Entertainment Group
Recently, the Australian Transaction Reports and Analysis Centre, also known as AUSTRAC, has expanded its ongoing investigation to target other entities within The Star Group.
AUSTRAC is well-known for the specific role it plays as the Australian Government agency that takes responsibility for detecting, deterring, and disrupting criminal abuse within the financial system. Its aim is to protect the community from any organized and serious crime.
Within a statement to the ASX, the group referred to the announcement on the 7th of June 2021. This was in relation to The Star Sydney investigation launched by AUSTRAC.
The expansion of the investigation has prompted a response from The Star. It is as follows:
“AUSTRAC has advised that it has not made a decision regarding the appropriate regulatory response that it may apply to The Star, including whether or not enforcement action will be taken.”
“AUSTRAC has advised that it will request information and documents from The Star as part of its investigation.”
The group also added:
“The Star takes its anti-money laundering obligations very seriously and will fully co-operate with AUSTRAC in relation to its requests for information and documents and the investigation.”
This isn’t the first time that The Star has faced legal action. It is currently facing legal action from New South Wales’ gambling regulator, ILGA (Independent Liquor and Gaming Authority). As part of its review of the operator’s Sydney casino license, the ILGA is preparing to hold public hearings in March. This is following allegations of governance breaches.
Earlier this month, Crown Resorts, a fellow troubled operator, received a revised non-binding proposal from a group. This was done to acquire all of Crown’s prices at a share price of AU$13.10 (US$9.55) cash per share on behalf of funds managed by Blackstone Inc. and the affiliates.
As of now, the offer from the private equity group is heavily supported by the operator’s board.