Allen & Overy Consulting (AOC), a third-party firm hired by Australia’s Star Entertainment to assist and direct remediation efforts as the company looks to get back within the good graces of regulators across the country, is saying that the operator’s “Renewal Program” is now ready to move forward, but indicated that the process may be more intensive than first anticipated.
The firm, which was hired by Star back in August, is not the same as the independent monitor who was recently appointed by regulators in New South Wales (NSW) to oversee the operations of The Star Sydney after its license was suspended earlier this month. Rather, that monitor is Nicholas Weeks, the director of Wexted Advisors.
Additionally, another outside monitor is expected to be appointed to oversee the company’s two casinos in Queensland—those being Treasury Brisbane and Star Gold Coast—after the operator was also found to be unsuitable for licensure in that state as well.
In a report published by AOC October 24, the firm asserted that Star’s efforts have “sufficiently developed for the Board to consider commencing the execution phase.”
Given that the company has been reprimanded by multiple states, it was important that arrangements be made for each, including the appointment of region-specific executives in efforts to decentralize command.
AOC now feels that such accommodations have been made, but the firm also questioned whether or not timelines and performance measures should be adjusted in order to ensure completion and sustainability moving forward.
The firm said in its report that these questions “do not preclude (Star) from moving into execution phase,” but instead, they should “inform the iteration of planning documents to ensure the Program delivers sustainable change.”
That said, AOC concluded that after having conversations with multiple Star executives, including Executive Chairman Ben Heap, the firm believes that the company “recognizes the degree of challenge it faces in remediating the root causes and restoring trust, and has shown an intention to do so.”
