After months of investigation for the Bell Two inquiry, the NSW Independent Casino Commission (NICC) ruled on Thursday (17 October) that The Star Sydney will be fined and subjected to several new regulations. But its casino license was not revoked, at least for now.
In its release, the NICC said that Star will be fined AU$15 million (US$10 million). It will also be subject to “a suite of directions and license conditions” as a result of the inquiry, which was launched in February.
Trading of Star stock was halted on the ASX shortly after the announcement. The company’s stock, according to Capitol Brief, dropped 40 percent in one day in September after the company failed to report quarterly results. The trading stop is the second in two months and the stock is now worth $0.255, compared to $0.595 cents a year ago.
While the ruling is favorable for Star, the operator may not be out of the woods just yet. The NICC said it would “reassess The Star’s suitability to regain its casino license” at the conclusion of Weeks’ extension, implying that the ruling is not final.
Star will be subject to “additional financial and operational reporting” requirements from now through March. It will also face “more prescriptive requirements around board constitution and key management personnel” and the state’s Casino Control Act (CCA) will be amended with new requirements.
