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The Star Entertainment Group is under scrutiny as allegations of misconduct and regulatory breaches have surfaced during the ongoing NSW inquiry into the company’s culture, according to WA Today and reports in the Australian media.
Nicholas Weeks, the special manager appointed by the NSW Independent Casino Commission, testified about concerning incidents within the operator.
Weeks accused The Star of falsifying welfare checks on poker machine players and allowing customers to withdraw $3.2m they hadn’t won from its machines. These allegations raise questions about the company’s adherence to regulatory standards and internal controls.
In addition to these allegations, Weeks disclosed that Liquor and Gaming NSW inspectors found evidence of falsified compliance records regarding welfare checks on customers, indicating systemic issues within The Star’s operations.
The company’s troubles arrive after leadership changes last month, with CEO Robbie Cooke and CFO Christina Katsibouba both stepping down. Cooke’s departure was prompted by concerns about his suitability for the role amid ongoing regulatory scrutiny.
The Star’s share price closed at an all-time low of AU$0.48 (US$0.31), reflecting market concerns about the company’s future amidst these allegations and leadership changes.
The outcome of the ongoing inquiry will determine the future of The Star Entertainment Group and its ability to address the issues raised by regulatory authorities.
