TLDR
- The Star Sydney may get its suspended casino license back on a conditional basis by the end of September.
- NSW Independent Casino Commission Chief Commissioner Philip Crawford outlined the plan at a budget estimates hearing on August 26.
- Government-appointed manager Nick Weeks would shift to a monitoring role instead of managing the casino.
- A suitability assessment under section 31 of the Casino Control Act would still follow within 12 to 18 months.
- A Federal Court ruling on AUSTRAC’s AU$400 million penalty claim is also expected around the end of September.
The Star Sydney could get its casino license back on a conditional basis by the end of September. The license has been suspended since October 2022.
NSW Independent Casino Commission Chief Commissioner Philip Crawford shared the update. He spoke at a state parliamentary budget estimates hearing on August 26.
Crawford’s comments appear in an uncorrected transcript published by the New South Wales Parliament. The license is currently held by government-appointed manager Nick Weeks.
Weeks’ term as manager runs until the end of September. That timeline lines up with the proposed return of the license.
Conditional License Framework
The NICC is working with The Star on a new framework. It would avoid another government appointment of a manager.
Instead, control of the license would go back to the company. The return would come with added conditions and regulatory directions.
Crawford said The Star would get its license back, but only under strict rules set by the regulator. The company’s performance would keep being monitored.
After that monitoring period, the NICC plans to run another suitability assessment. This falls under section 31 of the Casino Control Act.
Crawford said this review could happen in 12 or 18 months. The exact timing has not been set yet.
Weeks is highly likely to stay involved with the casino. But his role would change from manager to monitor.
The Star will pay the cost of this arrangement. Taxpayers will not cover the expense, according to Crawford.
Suitability Assessment And Financial Position
Crawford said The Star’s new management and ownership are cooperating with the regulator. Still, the company’s financial troubles have not been fully sorted out.
A separate legal matter is also moving forward. AUSTRAC, the financial crime regulator, is seeking an AU$400 million penalty from The Star in the Federal Court.
Crawford said a decision in that case is expected around the end of September too. That means two major developments could land at the same time.
The Star Sydney’s license was suspended after the first Bell inquiry in October 2022. That inquiry found the operator unfit to hold a casino license.
The license has stayed suspended since then. A government-appointed manager has run operations during that time.
The proposed conditional license would let The Star resume some control. It would still operate under regulatory oversight through the monitor arrangement.
The suitability assessment under section 31 has not gone away. It will happen after the license returns to the company on a conditional basis.
Both the license decision and the AUSTRAC court ruling are expected around the same time this month. The Star’s license status and financial position remain under regulatory review as these two processes play out.
