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Star’s ‘appalling’ RG controls draw scrutiny as complaints mount

Our write-up of a story first reported by NEXT.io

Star’s ‘appalling’ RG controls draw scrutiny as complaints mount

Star Entertainment faces fresh scrutiny after leaked internal documents revealed cuts to compliance teams and a growing backlog of player harm checks. The compliance group shrank from 17 to four staff this year, while the risk team dropped from five to two. Headcount in the investigations unit fell by nearly half in the first six months.

Internal correspondence cited by the Sydney Morning Herald points to insufficient staffing to identify customers showing signs of problem gambling. A January memo described the shortfall as a "significant and growing" regulatory risk. Another document warned that Star could no longer meet obligations to regulators in New South Wales and Queensland.

Meanwhile, new CEO Bruce Mathieson Jnr told staff in a May letter to "retain every customer". The message questioned existing self-exclusion practices, time limits and financial crime controls.

The leak includes customer cases: a Brisbane pensioner on A$550 a week lost over A$65,000 in 14 months with assets estimated below A$49,000. Another player earning A$55,000 a year lost A$110,000 over two years using payday loans, but was later removed from monitoring.

As of 31 December, Star had 1,456 outstanding customer reviews and 1,057 delayed licence withdrawals for problem gamblers. Around 270,000 Factiva reports remain unprocessed, with delays reaching 699 days.

The failings follow years of regulatory pressure. Inquiries in NSW and Queensland found Star unfit to hold licences; regulators imposed A$100 million penalties in each state. The Star Sydney licence remains suspended under external oversight. The new scandal may postpone the company's effort to regain control of the casino following the entry of Bally's Corporation and Mathieson as owners last year.

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