Special investigator to probe Crown’s Melbourne licence two years early
A special investigator has been appointed to probe Crown Resorts’ suitability to operate Melbourne’s casino in a major blow to gaming billionaire James Packer.
A special investigator has been appointed to probe Crown Resorts’ suitability to operate Melbourne’s casino in a major blow to gaming billionaire James Packer.
The Victorian government ordered the review into the Southbank complex late on Wednesday after a series of negative revelations in a NSW probity inquiry. Gaming Minister Melissa Horne said the investigation was prompted by evidence revealed in the NSW inquiry, including that of money laundering, which has delayed the opening of Crown’s new Sydney casino at Barangaroo.
In a dramatic escalation of probity investigations into Mr Packer’s gambling empire, the Andrews government has asked the Victorian Commission for Gambling and Liquor Regulation to bring forward its scheduled 2023 probity review by three years.
“We’re making sure Crown Melbourne conducts its business in a transparent and appropriate manner,” Ms Horne said
“This review is needed given the evidence we’ve seen come out of the NSW inquiry. While we await the findings of that investigation, it’s appropriate to bring forward the next review to ensure Crown Melbourne is suitable to hold a licence in Victoria.”
The Andrews government has been criticised for failing to order an investigation into Crown in the wake of the allegations in NSW.
Mr Packer, who has fronted the NSW inquiry, is the gambling giant’s biggest shareholder with 37 per cent of the company’s stock.
Crown’s Southbank complex turns over billions of dollars a year and is considered the heart of the empire. It employs 10,000 staff, making it Melbourne’s biggest private employer.
Underlining the seriousness of the investigation, the government said a “dedicated commissioner” would be appointed to investigate the suitability of Crown to hold Victoria’s only casino licence.
Under legislation, Victoria’s gaming watchdog must review Crown’s licence every five years. The most recent was held in 2018.
The special investigator hasn’t been identified yet, but the Victorian inquiry will extend beyond the NSW probe, which has a deadline of February to deliver findings.
The Victorian government described the evidence in NSW as “concerning”, saying it “will take any appropriate and necessary action at the conclusion of the investigation”. The NSW Independent Liquor and Gaming Authority has blocked Crown from opening its $2.2bn Barangaroo casino, with its chairman Philip Crawford telling the Sydney inquiry he was “not comfortable” with its operations.
“When we talk about money laundering … we’re talking about potential drugs, child sexual exploitation, people trafficking and financing terrorism … you can see why we have concern,” he said.
Crown will begin opening the non-gaming areas of its Sydney resort from December 28.