The Star Entertainment Group has been served with a statement of claim for a securities class action in the Supreme Court of Victoria.
Served by Slater & Gordon, the claim alleges that the Australian operator failed to comply with continuous disclosure requirements and engaged in misleading conduct regarding its systems and operations.
Such allegations refer to the ongoing inquiry from the New South Wales Independent Liquor & Gaming Authority (ILGA), as well as previous media reporting.
A statement from Crown to the ASX, authorised by the company’s board of directors, noted: “The claim alleges The Star failed to comply with continuous disclosure requirements and engaged in misleading or deceptive conduct between 29 March 2016 and 16 March 2022 through various alleged disclosures or non-disclosures about its systems, controls, operations and regulatory risks.”
The operator added that it intends to defend the proceedings.
Earlier this week,
The Star Managing Director and CEO Matt Bekier tendered his resignation
, following issues raised in the public hearings in connection with the review. The group’s board accepted his resignation.
Established under the Casino Control Act 1992, the review was commissioned in October 2021. Last week’s public hearings heard that Bekier reacted angrily to a 2018 report by global audit firm KPMG, which raised concerns about anti-money laundering and counter-terrorism financing laws.
Bekier’s final departure date has yet to be determined, but The Star confirmed he will step down from the board immediately. He will, however, work together with the board to “transition his executive responsibilities in an orderly manner.”
