Casino Star Sydney Corrects Its Actions
In a significant turn of events, Star Entertainment's Sydney Casino is facing a money laundering scandal that has resulted in a series of changes to ensure compliance with regulations moving forward.
The scandal, which came to light in 2024, revealed that the casino had been disguising money laundered as hotel expenses. The amount involved is estimated to be approximately $582 million.
The Australian casino has allowed Sunset, a junket operator based in Macau, to have a money-for-chips desk. Chinese nationals were found to be involved in the money laundering scheme.
In response to the scandal, Star Entertainment's management team and staff members involved in the illegal activities have been replaced. Additional monitoring staff has been added to monitor the actions of staff and the operations of junkets in the casino.
The casino's operations are undergoing changes to prevent future illegal activities. The management team at Star's Sydney Casino has also been replaced.
The Australian financial intelligence agency AUSTRAC investigated Star Entertainment for breaches of anti-money laundering (AML) regulations linked to its Sydney Casino operations. The investigation revealed failures in the casino’s monitoring and reporting of suspicious transactions, leading to potential fines.
By mid-2025, Star Entertainment was facing the prospect of substantial fines from AUSTRAC amounting up to $400 million for these AML breaches, a penalty severe enough to threaten the company’s financial viability.
The financial strain from the AML investigation, looming massive fines, cost overruns on development projects, and failed asset sales have placed Star Entertainment in a precarious position in 2025, emphasizing the destructive impact of the money laundering scandal on the company’s broader business and financial stability.
While the detailed public timeline of AML breaches at the Sydney Casino itself is limited, the significant developments evident are the regulatory investigation starting before 2025 and the unfolding consequences throughout 2025, revealing a critical period in Star Entertainment’s ongoing scandal and financial crisis.
Despite the challenges, the casino is committed to rectifying the wrongdoings that have been discovered and playing by the rules moving forward. Several board members have left Star Entertainment, with their replacements imminent.
The casino's management is taking action to address the illegal activities that have been uncovered, and it is expected that these changes will take several years to fully rectify. The timeline of the money laundering scandal related to Star Entertainment’s Sydney Casino centers around investigations and regulatory actions that have intensified particularly in 2024-2025.
- The Australian casino, Star Entertainment's Sydney Casino, was found to have allowed Sunset, a Macau-based junket operator, to operate a money-for-chips desk, which was allegedly used for casino-games and casino-culture associated with money laundering activities.
- In an attempt to rectify the wrongdoings and comply with regulations, changes have been implemented in the casino-culture of Star Entertainment's Sydney Casino, including the replacement of management, addition of monitoring staff, and ongoing investigations by the Australian financial intelligence agency AUSTRAC, which may result in significant fines related to casino-and-gambling breaches.
