Star Entertainment ex-CEO and chair spied on manager of Sydney casino, plotted to sue him

The new inquiry into Sydney’s Star Casino has heard bombshell evidence in the latest blow for the gambling giant which has been plagued by scandals.

The former chief executive and current chair of embattled gaming giant Star Entertainment spied on the government-appointed manager tasked with overseeing the clean-up of operations at its flagship Sydney casino, and plotted to establish a shareholder class action against him.

The explosive evidence was tendered in the first day of a fresh 15-week inquiry, established by the NSW Independent Casino Commission (NICC), amid concerns from the regulator that Star had failed to move swiftly enough to act upon the findings of an earlier inquiry held in 2022.

The original inquiry found that Star was unfit to retain the licence at its Pyrmont-based casino, with special casino manager Nicholas Weeks installed in October of that year to monitor the company’s operations.

The Star Casino in Sydney was hit with a $100m fine in 2022 following a damning report into its conduct. Picture: NCA NewsWire / Damian Shaw

In correspondence between Star Entertainment’s then-chief Robbie Cooke, who sensationally quit in March, and current chair David Foster, the pair discuss information gleaned from Mr Weeks’ diary, including the date and timing of a meeting he had with representatives from the NICC and a number of lawyers on February 1 this year.

“Just sent a message, two law firms attending planning session with NICC in our boardroom,” Mr Foster wrote.

“They are up to something,” Mr Cooke replied, with the pair then identifying attendees from the meeting.

Later, another message sent by Mr Foster to Mr Cooke reads: “They are prepping for war, we better do the same.”

In response to a question from counsel assisting Caspar Conde, Mr Weeks said it was “extraordinary” that Star employees had allegedly accessed his diary.

“To suggest they want to go to war with the regulator and me in circumstances where their licence is suspended is extraordinary,” Mr Weeks said.

Former Star Entertainment chief executive Robbie Cooke. Picture: Supplied

According to evidence tendered to the inquiry, the pair also plotted to establish a shareholder class action against Mr Weeks, planning to run the proposal past the ASX-listed gaming giants lawyers.

“It’s difficult to reconcile everything that the company has told me and everything it tells the market and the regulator in relation to its motivations to reform,” Mr Weeks told the inquiry.

“I find it extraordinary that the chairman of a listed company and a CEO exchanging messages contemplating a class action from shareholders against me personally and the NICC in circumstances where their public position … is that they’re working cooperatively.”

After an unfavourable report was handed to The Star’s management by Mr Weeks regarding its performance and need of further reforms, Mr Foster told Mr Cooke the company’s response could be the “catalyst to get rid of Weeks”.

The final report for the second inquiry is due on May 31 with Mr Foster and Mr Cooke slated to appear in coming weeks.