The highly-anticipated report on whether Crown Resorts is the right operator for Crown Casino Melbourne will stay confidential.
According to Casino.org, ex-federal judge R. Finkelstein has made his recommendation to the Victoria government, but his advice will stay secret for now. Earlier this year, in response to a commission announced by New South Wales, a royal commission was initiated against the casino operator and the Crown Resorts license.
Patricia Bergin, a former federal judge, led an investigation in New South Wales and found that a casino group had repeatedly violated Australian gambling rules. Due to this, the newest Crown establishment in Sydney was not opened.
Finkelstein recently submitted his applicability report to the government of Victorian, which arrived after 2 months of consideration. It included evidence from current and former Crown leaders, as well as government-sponsored independent inquiries into the financial and operational relationship of Crown Melbourne.
According to the minister for consumer affairs, gaming, and liquor regulation in Victoria, Melissa Horn, the Royal Commission has done an incredible amount of work, She also thanked R. Finkelstein for his opinion report. The commission will take a closer look at its discoveries and suggestions and take the necessary steps to strengthen oversight of the casinos in Victoria and guarantee that this never happens again.
The government said it is likely to make the final decision by November 1.
An investigation in New South Wales found Crown Resorts ineligible to obtain a casino license for its new $ 1.6 billion Crown Sydney. Last December Crown presented a complex as a non-gaming hotel and luxury high-rise building. Crown Resorts is working with New South Wales officials to address numerous concerns raised during the audit. Many believe Finkelstein advised the Victorian government to declare Crown Resorts unsuitable for Melbourne.
However, there is a possibility that the state of Victoria will allow Crown Melbourne to proceed to work on its casino, but under strict government control. According to John Ayub, portfolio manager at Wilson Asset Management, an investor in the Australian casino operator, they are expected to be deemed unusable. But what exactly this means remains unknown.
Portfolio Manager Weighs Crown Options
Ayub thinks this means that Victoria may work with Crown to address many of the issues like using casino cashiers as cash laundering machines by illegal criminal networks.
The casino generates a balance between works and taxes incomes. Tourism will be an important way out of the public debt pits. It’s critical infrastructure.
Complete revocation of the Crown Melbourne Casino licenses would be a devastating loss for Crown Resorts. The Victorian business accounts for 65% of Crown Resorts’ total income. If R. Finkelstein and Victoria think that Crown Resorts is beyond repair, the future of its Perth and Melbourne casino clubs and Sydney resorts will be totally uncertain.
Private equity corporation Blackstone expressed interest in purchasing Crown, but its $6.5 billion offer was rejected by Crown’s directors. Oaktree Capital, one more private fairness group, offered $2.4 billion for a 37 percent stake of J. Packer, the founder of Crown, and the offer was turned down in August.