Queensland gamblers used credit cards to wager, but Star ends up paying the price
Multi-billion dollar casino operator Star Entertainment has been fined $140,000 for illegally helping patrons use credit cards to gamble.
The embattled casino operator pleaded guilty to 11 charges in Brisbane Magistrates Court on Wednesday.
Seven charges related to sections of Queensland’s casino legislation that prohibit the purchase of gambling chips with a credit card.
A number of people were able to obtain chips on credit at Brisbane’s Treasury Casino and the Star Gold Coast in 2017, 2018 and 2022, the court was told.
The amount of money in chips they were able to purchase was “quite significant” with one receiving $20,000 worth.
The other charges related to casino promotional material being sent to excluded patrons in February 2022.
Overall four people – including two self-excluded patrons believed to be problem gamblers – were mistakenly sent the promotional material, the court heard.
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Star launched an internal audit of their operations after the promotional material mistake and, as a result, discovered the credit card gambling chip purchases.
Star faced a maximum fine of more than $1 million after self-reporting the offences.
Magistrate Shane Elliott said there were elements of human error in relation to all the charges.
“It’s not a situation where there is systemic problems with the casino or flagrant breaches of the act (Queensland’s Casino Control Act),” he said.
He said a significant mitigating factor in sentencing was that all offences were self-reported.
“I accept that there is a possibility that the contraventions would not have been picked up but for that self-report,” he said.
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He noted Star had completed its own thorough investigations since the offences and amended all procedures to ensure they didn’t occur again.
“These weren’t intentional breaches, they were oversights of staff,” he said.
Star was also ordered to pay $3250 in legal costs.
No conviction was recorded.
Treasury Casino interim chief operating officer Justine Russell was in court but did not speak to media.
Wednesday’s fine comes months after the operator was hit harder in the pocket.
NSW’s gaming regulator suspended Star’s Sydney licence in October 2022, slapping a record $100 million fine on the company after an inquiry found the casino had allowed money laundering to take place inside private rooms and identified numerous compliance failures.
A similar review in Queensland also fined Star $100 million in December last year, finding it unfit to hold the two casino licences in the state.
An inquiry found Star neglected its anti-money laundering and responsible gaming duties, and deliberately misled the regulator in pursuit of profit.
Corporate integrity expert Nick Weeks and senior public servant Terri Hamilton were appointed special managers to overhaul operations at the Star Gold Coast and Treasury casinos.
The Queensland attorney-general said last December that Star had 12 months to “get their house in order” or both its licences would be suspended for three months.
Star’s $3.6 billion Queens Wharf casino in Brisbane is expected to open in April 2024.
Shareholders have separately launched a class action against Star over its failure to disclose money laundering links to organised crime.
