Victorian Commission for Gambling and Liquor Regulation to probe James Packer’s Crown share sale

Victoria’s gambling watchdog has launched an investigation of Melco Resorts and Entertainment, the Hong Kong casino giant that is buying almost half of James Packer’s stake in Crown casino.

Victoria’s gambling watchdog is investigating the Hong Kong casino giant which is buying almost half of James Packer’s stake in Crown casino.

Mr Packer struck the $1.76 billion deal in May to make Melco Resorts and Entertainment a part-owner of Crown.

But the Victorian Commission for Gambling and Liquor Regulation must approve of anyone taking a financial interest in Crown, and has the power to order police and financial checks to ensure its owners are “suitable”.

A similar probe was launched this week in New South Wales, where Melco chief Lawrence Ho’s father Stanley Ho is already banned from doing business with Crown because of alleged links to organised crime.

Melco chief executive Lawrence Ho and James Packer. Picture: Jonathan Ng

Documents tabled in the New South Wales parliament this week revealed Stanley Ho’s three daughters were also on a banned list, along with dozens of companies linked to him.

VCGLR chief Catherine Myers said the regulator “must be satisfied that the casino operator and its associates are suitable to conduct a casino business”.

She said that meant considering whether those involved were “persons of good repute, having regard to character, honesty and integrity and other matters”.

“If it is not so satisfied, the commission must take such actions as it considers appropriate,” Ms Myers said.

She said the commission would work closely with its New South Wales counterpart to scrutinise the ownership change.

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A former Supreme Court judge will conduct the New South Wales probe, which will have similar powers to a royal commission and is expected to hold public hearings.

Crown is facing a separate government-ordered probe by the VCGLR into alarming allegations of money laundering and organised crime links with its junkets for Chinese high-rollers.

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