Crown says too early to know impact of China arrests

Crown says it’s too early to know the material effect on the firm of the arrest of China staff, who are yet to be charged.

Crown chairman Rob Rankin.

Crown Resorts chairman Rob Rankin has warned it is too early to determine the material impact the arrest of its China staff will have on the casino company.

Mr Rankin, fronting shareholders at Crown’s annual general meeting in Perth today, said given the current lack of information available it was not possible for anyone to be able to provide any informed commentary on the detentions.

“Likewise, any assessment at this time as to any material impact on our business is both premature and speculative,” he said, in his first comments on the controversy.

The James Packer-backed Crown Resorts (CWN) has been under investor pressure following last week’s arrest of 18 of its staff in China, including three Australians. It is believed the arrests are linked to the marketing of the Australian casinos to Chinese high rollers, which is illegal in the economic powerhouse.

Mr Rankin said no formal charges had yet been laid against Crown’s staff and the investigation continued, adding that the staff were entitled to a presumption of innocence.

“While I know we all have many questions, we must be very cautious and measured in our commentary at this sensitive time in the process,” he said.

Mr Rankin told shareholders at the Perth meeting that he wanted to start the event by first addressing the issue of Crown’s staff detained in China.

“For the board, management team and staff, our major shareholder, James Packer, and myself, our immediate concern is the welfare and safety of our colleagues,” he said.

“Our number one priority is to provide them and their families with all the support we can at this difficult time.”

Mr Rankin said the company continued to work closely with the Department of Foreign Affairs, Australian and Malaysian consular officials and Crown’s legal representatives in China to obtain more information, understand the reasons for the detention and, he said, ultimately, resolve the situation.

“I acknowledge that the detention of our employees has occurred in a foreign country and we are therefore subject to its legal system,” he said.

“We accept their jurisdiction and we respect their laws.”