James Packer called to give evidence at Crown deal inquiry
Billionaire James Packer will be called to give evidence before an inquiry into whether the gaming mogul can complete a billion-dollar deal with Hong Kong tycoon Lawrence Ho.
NSW
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Gaming billionaire James Packer will be called to give evidence before an inquiry which will determine whether Crown Resorts keeps its gaming licence at Barangaroo.
Mr Packer will be called to answer questions from the witness stand within weeks before the NSW Independent Liquor and Gaming Authority’s inquiry into Crown and shareholder, Hong Kong gaming tycoon Lawrence Ho.
Counsel Assisting the inquiry Adam Bell, SC told the opening day of hearings today that Mr Ho will also be called to answer questions about his two-part $1.75 billion deal with Mr Packer to buy almost 20 per cent of Crown.
Mr Bell told Commissioner Patricia Bergin, SC the wide-ranging inquiry will delve into money laundering, the role of junket operators who bring VIPs to casinos and their exposure to organised crime, the arrest in 2016 of 19 Crown resorts staff, and the effectiveness of the current gaming regulations.
Commissioner Bergin’s findings will determine whether Crown is suitable to hold a casino licence and whether Mr Ho’s deal with Mr Packer presents any issues.
Commissioner Bergin told the hearings that the risk of organised crime in casinos was a matter for high public interest and she called on the casino operators to co-operate with the inquiry to lessen the cost to the public.
“It is appropriate to observe that the risk of the infiltration of organised crime in casinos is a matter of significant public concern and interest, but also of significant complexity requiring close co-operation between information gathering and regulatory and enforcement agencies and the casino operator,” Ms Bergin said.
Mr Packer has returned to his mansion in Aspen after earlier this month touring the construction site of his first Sydney casino, the $2.4 billion luxury apartment, hotel and gaming tower at Barangaroo.
Mr Packer has previously said he would comply with all the inquiry’s requests.
Mr Packer, estimated to be worth $4.23 billion, remains Crown’s biggest shareholder after pocketing $880 million in June last year on completing the first half of the deal to sell almost 20 per cent of his shares to Mr Ho’s Melco Resorts and Entertainment.
The Bergin inquiry _ and similar pending reviews by gaming authorities in Victoria and Western Australia – will examine Mr Ho’s links to his father. Mr Ho’s father is controversial gaming tycoon Stanley Ho, who United States gaming authorities have found could have links to triad gangs.
The second tranche of Mr Packer’s share sale to Mr Ho will get the green light only if there are no adverse findings against Mr Ho.
The Bergin inquiry will also examine allegations published last year of Crown’s links to organised crime.
Mr Packer for the first time toured the Barangaroo casino construction site two weeks ago with his girlfriend Kylie Lim and his mother Ros. He toured the two floors in the apartment tower he purchased for $60 million in 2017, levels 48 and 49 of the project.
“It is one thing to see things on an iPad but to be here, this is completely different. This is really happening,” he said when touring the site.
Ros Packer said the Crown Sydney project was something “very, very close” to her son’s heart.
Crown has hired former top NSW cop Nick Kaldas to review its money-laundering and counter terrorism compliance.
The hearing resumes on February 24.