The NSW Independent Liquor and Gaming Authority said it will investigate allegations that Star Entertainment allowed money laundering and infiltration by organised crime figures at its Sydney and Gold Coast casinos as investors wiped nearly a billion off its market value.

Gaming authority chairman Philip Crawford said ILGA would investigate the new allegations against Star in private - in contrast to the spectacular public inquiry into similar allegations against rival operator Crown Resorts - as part of a scheduled probe into the casino operator that could put its licence at risk if the evidence stacks up.