Crown announced last night that it had terminated a services agreement with major shareholder James Packer’s Consolidated Press Holdings.
The agreements have been in place since October 2018 and allowed Mr Packer to be privy to confidential information as a major shareholder. They have been heavily criticised by the NSW Independent Liquor and Gaming Commission .
The Crown board is meeting today – the first since the inquiry.
Crown Casino shares fell 8.1 per cent to $8.26 on Monday after Crown revealed that it is under investigation by anti-money laundering agency AUSTRAC for potential “non-compliance”.
AUSTRAC will investigate whether Chinese VIP junket operators, based in Macau and Hong Kong and with links to organised crime, used Crown Casino in Melbourne for money laundering and other criminal activities.
This action is in addition to the New South Wales inquiry that last week saw Crown Resorts director Andrew Demetriou accused of being dishonest as he read notes while giving evidence to the inquiry. Mr Demetriou denied that he was doing so despite video evidence suggesting the contrary.
At the inquiry in Sydney yesterday, Chair Helen Coonan admitted the company facilitated money laundering at its Melbourne casino but denied it was “turning a blind eye” to criminal activity. She blamed organisational “ineptitude” instead, suggesting that she wants to “stay the course” to drive the reform required for Crown to hang on to its Sydney casino licence.
It is expected that Ms Coonan will address the outcomes of today’s board meeting this evening.
