Crown Resorts continued to employ an executive hand-picked by James Packer to oversee development of its $2.2 billion Barangaroo casino even though he faced accusations from other staff of workplace bullying and harassment.
As the firm battles to retain the licence to operate the soon-to-be completed Barangaroo casino and hotel on the edge of Sydney's CBD, Crown has confirmed to The Age and The Sydney Morning Herald that its board was briefed on bullying allegations levelled at Todd Nisbet, its executive vice-president of strategy and development.
Crown's James Packer with Todd Nisbet in 2019.Credit: Louise Kennerley
Six serving or former staff who spoke to The Age and the Herald on condition of anonymity because they feared for their jobs or legal reprisals said Mr Nisbet's intimidating behaviour had left some colleagues in tears and prompted complaints to Crown's human resources department.
In a 2016 email obtained by The Age and the Herald, Mr Nisbet attacked a subordinate as being "some f---wit commercial manager". Lee Monfort, Crown's former vice-president of design and construction, urged Crown to stop protecting Mr Nisbet in May 2019 after telling the Melbourne-based company he was resigning due to Mr Nisbet's treatment of staff.
"There is no other business I know of that tolerates this type of behaviour from anyone within their company," Mr Monfort wrote in an email to senior company executives.
Crown has allowed two Melbourne marketing managers facing serious allegations of workplace misconduct to quietly resign, according to company insiders who spoke on the condition of anonymity because they were not authorised to speak. The Age and the Herald have decided not to name the executives for legal reasons.
Crown is the subject of a NSW Independent Liquor and Gaming Authority inquiry into allegations it exposed its casinos to money laundering and organised crime. Crown could lose its NSW gambling licence if it fails to convince the inquiry, led by a former judge, Patricia Bergin, that its board and senior executive are capable of dealing with governance and management failures. The inquiry, which was launched in response to a series of reports by The Age, the Herald and 60 Minutes, this month concluded its public hearings after 60 days of damaging examinations.
The allegations against Mr Nisbet and the two marketing managers were outside Commissioner Bergin's terms of reference. Crown insiders say the company's board remains unwilling to take firm action against executives who engaged in misconduct and poor performance.
Mr Nisbet was hand-picked in 2007 by Mr Packer to oversee Crown's global and Australian projects and earns $2.3 million annually. Mr Monfort, who was the firm's vice-president of design and construction, was one of at least three staff who sources said complained to Crown HR about the way Mr Nisbet "manages his subordinate employees by way of bullying, belittling, name calling and threatening of job security".
On June 13, 2019, Mr Monfort emailed Crown general counsel Joshua Preston and head of human resources Alicia Gleeson requesting an investigation into Mr Nisbet's conduct.
"Todd's behaviour is out of control and all Crown employees that work for him, or for that matter in other departments around him, must know that they can file a complaint with Human Resources in the future without retaliation from Todd."
Todd Nisbet as the design for the Barangaroo casino is unveiled in 2013.Credit: Wolter Peeters
Another Crown employee said he had left the company because of Mr Nisbet, whom he reported to the company's HR department. The employee said the complaint was never followed up, claiming Mr Nisbet "is protected by the top". A serving employee said Mr Nisbet was a "notorious bully and harasser", but he was too scared to report him.
Mr Nisbet denied the allegations and questioned the motives of complainants, suggesting some may be "disgruntled" because they were uncomfortable with accountability in the workplace. He also dismissed claims he was a bully. "That doesn't sound like me ... I'm the furthest thing from a bully," he said.
A Crown spokesperson said the complaints had been taken seriously and Mr Nisbet had been counselled.
"When the whistleblowers' complaint was received, the matter was escalated immediately and an independent external investigation conducted for presentation to the Board. The former chairman and the chair of the board OH&S committee formally addressed Mr Nisbet on the matter, reiterating the high standards expected of all employees, particularly leaders in the organisation."
According to Crown whistleblowers, the company also failed to report a senior Melbourne marketing manager to police after an internal investigation into the potentially unlawful abuse of company property. The investigation was headed by Crown security chief Craig Walsh and examined allegations the manager received undeclared benefits from Crown contractors, one whistleblower said.
The manager was also accused of issuing false invoices to Crown to pay for a weekly haircut. After Mr Walsh caught the manager loading goods into their car, Crown allowed them to depart the firm with a payout once they signed a non-disclosure agreement, according to the whistleblower.
"Crown is bound by its obligations of confidence and is unable to comment," a spokesman said when asked about the allegations.
Three former Crown staff also said another Melbourne marketing manager resigned in late 2017 amid repeated allegations of improper workplace behaviour including harassment of staff. One staff member, who has since left Crown, said the manager was reported to human resources after he instructed his personal assistant, a young woman, to undertake her performance review in a bar.
After encouraging her to drink, the manager then introduced the woman to a male friend in a manner that the staff member said was deeply inappropriate.
A Crown spokesperson said that, during the manager's employment, a matter was raised with Crown which was promptly investigated by HR. In addition, subsequent to the manager's employment, Crown became aware of a further matter. In both cases there was insufficient evidence to substantiate a finding.