Sydney's Star Casino complex.
Source: Reuters
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  • Star Entertainment (SGR) CEO and Managing Director Matt Bekier resigns from his roles amid an investigation over possible breaches of anti-money laundering and counter-terrorism laws at its casinos
  • He says that as MD and CEO, he is “accountable for the effectiveness and adequacy of the company’s processes, policies, people and culture,” adding that the right thing to do is for him to take responsibility
  • The decision follows issues raised at the public hearings in connection with the ongoing review of the Star Sydney hotel and casino, Australia’s second largest casino
  • Mr Bekier, who was previously the Chief Financial Officer of Star, will work with the board to transition his executive responsibilities and has not set a departure date yet
  • SGR shares are up 0.31 per cent at market close, trading at $3.24 per share

Star Entertainment (SGR) CEO and Managing Director Matt Bekier has resigned from his roles effective immediately.

The news comes amid an investigation over possible breaches of anti-money laundering (AML) and counter-terrorism laws at the group’s casinos.

Bekier informed the board that as managing director and CEO, he is “accountable for the effectiveness and adequacy of the company’s processes, policies, people and culture,” adding that the right thing to do was for him to take responsibility, the company statement said.

Bekier’s decision to step down followed issues raised at the public hearings in connection with the ongoing review of the Star Sydney hotel and casino, Australia’s second largest casino, the company added.

In June last year, the Australian Transaction Reports and Analysis Centre (AUSTRAC) launched a probe into Star’s casino in Sydney amid concerns over ongoing customer due diligence and compliance with laws.

Star also faced a class action lawsuit from its shareholders last October and it was alleged that the company had mismanaged money laundering and counter-terrorism financing (CTF) risks.

The company denied the claims and pushed back on claims that it ignored reports prepared by KPMG in 2018 on AML and CTF issues.

This is not the first crackdown, with Crown Resorts, Star’s biggest competitor being found unfit for a gambling licence in Western Australia state, but stopped short of revoking it.

Mr Bekier, who was also previously the Chief Financial Officer of Star, will work with the board to transition his executive responsibilities, the company added.

His final departure date is yet to be determined.

SGR shares were up 0.31 per cent at market close, trading at $3.25 per share.

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