How Shaky is the Star Casino in Sydney?
The Star Casino Sydney is facing major changes after a period of financial trouble and closer government supervision. It recently reported a huge loss of $300 million and is operating under strict review conditions after issues with its gambling licence. Regulators are keeping a close eye on the casino, and fines have been issued as part of efforts to fix past problems.
There have also been big leadership changes, and Star Entertainment’s future ownership is uncertain. Bally’s, a large international casino operator, is in talks to take over and rebuild the business from the ground up. These shifts are happening alongside moves to improve anti-money laundering steps and clean up the casino’s image.
Key Takeaways
- The Star Casino Sydney is under strict regulatory review.
- The casino has suffered significant financial losses.
- Leadership changes and takeover talks are ongoing.
Is The Star Casino Still a Safe Bet in 2025?
Once considered the crown jewel of Sydney’s nightlife, The Star Casino has hit a rough patch—and punters across New South Wales are starting to feel the tremors. From regulatory scandals to leadership shake-ups, the house’s foundation isn’t as solid as it once was.
A Casino in Crisis
The trouble began years ago when the casino faced scrutiny over alleged money laundering and governance failures. Fast forward to today, and we’re still seeing headlines questioning its compliance and long-term viability. The NSW Independent Casino Commission has kept the pressure on, and although The Star is trying to reform, the damage to public confidence is real.
Players Are Noticing
Regulars have reported a more cautious atmosphere, fewer high-stakes games, and an overall sense that the venue is playing defence rather than offence. Combine that with staff turnover, a string of fines, and public distrust, and it’s easy to see why some Sydneysiders are rethinking where to place their bets.
Online Casinos Stepping Up
Enter the digital age. Online platforms like FreeSpinz are stepping into the gap, offering punters a more stable and transparent alternative. With verified payouts, better bonuses, and no dress code, online casinos are no longer the backup plan—they’re the main event.
Noel Cannon’s Take
“Look, I’ve seen a lot in my time — from Vegas high-rollers to backroom bookies in Bangkok — and if there’s one thing I’ve learned, it’s this: when the foundations of a casino start to shake, punters feel it first. With The Star’s recent scandals and trust on the ropes, more and more Aussies are turning to online casinos as a safer bet. Platforms like FreeSpinz offer transparency, better promos, and none of the institutional baggage. Until the dust settles at The Star, the smartest move might just be to log in, not line up.”
The Verdict
While The Star Casino works to rebuild its reputation, players are wise to diversify where they play. With online options getting sharper and more rewarding by the day, the balance of power is shifting. For now, The Star’s future remains uncertain—and in the gambling game, uncertainty is never good odds.
Recent Developments at Star Casino Sydney
Star Casino Sydney has faced significant financial and operational pressure in the past year. Changes to management, licensing, and business conditions have put the future of the casino under a spotlight.
Trading Halt and ASX Announcements
Star Entertainment, the owner of Star Casino Sydney, has recently experienced a trading halt on the ASX. Trading halts can occur when a company is preparing to release major information that could impact its share price.
The halt followed after a $940 million funding deal to secure the company’s future failed. This situation left Star Entertainment scrambling for alternative solutions to stabilise its finances. Many investors were concerned as the casino remained on the brink of collapse, making the stock highly volatile.
Several announcements were made to try and reassure shareholders and stakeholders. However, uncertainty dominated trading as Star continued to negotiate with possible financial backers and review its next steps. These developments have kept the company in the headlines and under close watch by the market and regulators, as reported by 9News.
Changes in Operating Conditions
New rules have been introduced at Star Casino Sydney following pressure from both the NSW Government and the NSW Independent Casino Commission. These recent changes are aimed at addressing concerns over compliance and money management.
Notably, a daily cash limit of $5,000 was introduced in October 2024. All players are now required to use mandatory carded play instead of anonymous cash transactions. This move is part of a broader effort to control money laundering and promote responsible gambling.
Star Entertainment is also pursuing new strategies and operational changes to turn around the business. These adjustments follow findings from the Bell Report and increased regulatory oversight. More details about these measures can be found on The Star’s official transformation page.
Current Status of Casino Licence
The status of Star Casino Sydney’s licence remains uncertain. After months of scrutiny and several inquiries, the NSW Independent Casino Commission continues to monitor Star Entertainment’s progress on remediation.
There have been formal warnings and threats of possible licence suspension or revocation. The casino’s ability to keep its doors open largely depends on whether it can prove its commitment to following strict regulatory conditions.
Star Entertainment has been selling assets, such as its Sydney event centre, to raise cash and meet regulatory requirements as part of its ongoing remediation efforts, according to News.com.au. The future of the licence will depend on the company’s compliance with these enforced standards and successful ongoing reforms.
Regulatory Environment and Government Oversight
The Star Casino Sydney faces strict oversight from the New South Wales (NSW) Independent Casino Commission and other regulatory bodies. Recent events have highlighted problems with compliance, board management, and anti-money laundering controls.
NSW Independent Casino Commission’s Role
The NSW Independent Casino Commission (NICC) leads regulation of casinos in the state. NICC’s main jobs include monitoring compliance, investigating breaches, and making decisions about licences.
After an inquiry led by Adam Bell SC, NICC suspended The Star’s casino licence. This suspension will stay in place until at least September 2025. The NICC appointed a regulator-approved manager to oversee day-to-day operations in the meantime.
NICC also imposed a $15 million fine on The Star Casino Sydney because of failures to meet compliance standards. NICC continues to demand board changes, regular financial updates, and strict remedial action to lift the current suspension NICC inquiry and fine details.
Queensland and Federal Oversight
Star Entertainment operates in both New South Wales and Queensland. The Queensland government also monitors compliance and casino activities using its own casino regulatory authorities.
On the federal level, the corporate watchdog ASIC and financial crime agency AUSTRAC play important roles. AUSTRAC investigates and enforces action against money laundering risks. ASIC monitors corporate governance and board duties.
Sometimes, the actions of these agencies overlap. AUSTRAC is particularly focused on anti-money laundering and counter-terrorism financing, and has ongoing reviews of The Star’s compliance history. Any failures in these areas can trigger serious penalties and force the company to make immediate changes.
Recent Compliance Breaches
Over the last year, Star Casino Sydney has faced repeated compliance problems. These breaches include failing to identify and report suspicious activities and not following rules on money laundering prevention.
Due to these serious failures, regulators ordered The Star to overhaul its board and executive leadership team. The casino has been forced to provide frequent financial updates and work on a remediation plan.
In addition to the $15 million fine, a government-appointed manager remains in charge of operations until March 2025. Strict anti-money laundering checks are now in place, and additional oversight by regulatory bodies is ongoing to prevent further breaches Star Sydney licence suspension.
Financial Performance and Market Impact
The Star Entertainment Group in Sydney has faced serious financial difficulties lately. Falling profits, liquidity stresses, and doubts about ongoing operations have impacted shareholders and the casino’s market standing.
Profitability and Financial Results
The Star Casino Sydney posted a significant statutory loss of around $300 million in the half-year ending early 2025. This result came amid delays in reporting and ongoing investigations into the company’s business practices. Its normalised revenue for the same period was about $650 million, but this figure was not enough to support profitability. The casino also reported a negative EBITDA, indicating that even excluding special items, the company lost money during this time.
Several factors have led to these losses. They include higher regulatory costs, increased scrutiny, and declining daily average revenue, especially following the COVID-19 pandemic. The overall effect has been a sharp drop in the casino’s ability to generate profit, making it challenging to regain market share. For more details, see the Star’s significant loss report.
Liquidity and Financial Collapse Risk
Liquidity became a critical concern for The Star, with growing fears of financial collapse. In early 2025, the company narrowly avoided insolvency after securing a $300 million strategic investment. Without this bailout, the group would likely have struggled to pay debts and cover day-to-day operations. Debt levels have stayed high, and the company’s cash reserves remain under pressure.
Ongoing uncertainty around regulatory approvals and fines continues to stress liquidity. The company’s management must closely monitor all spending and keep tight controls on cash flow. Its future depends on successful restructuring and potentially more outside investment if problems persist. Details about this rescue can be found in the report on the Star’s financial collapse risk.
Impact on Shareholders
Shareholders have faced steep declines in the value of their investment as The Star’s share price dropped after the financial results were made public. The group’s repeated losses and risk of collapse have led to uncertainty and shaken investor confidence. Some shareholder activists have started to push for leadership changes and more transparency.
Dividends have been suspended, and many investors remain concerned about the future. There are also risks of diluting shareholder equity if the company requires further capital injections. The Star’s long-term value depends on turning around its financial results and restoring trust. More information on shareholder impacts is outlined in the Star’s half-year report.
Leadership and Corporate Changes
The Star Entertainment Group has brought in new leaders and shaken up its senior management team. This was a direct response to regulatory pressure and ongoing financial problems at the Sydney casino.
Steve McCann’s Role and Executive Changes
Steve McCann was brought in as CEO to help guide the casino operator through a period of crisis. His role has focused on managing risks, fixing cultural issues, and improving compliance. Under his leadership, several top executives have been replaced or removed as part of a wider effort to restore trust and stability within the company.
A major “executive clean out” took place after heavy scrutiny from regulators and multiple reports criticising previous management for failing to address problems like financial crime and weak controls. These leadership changes at Star Entertainment Group are seen as necessary steps for the casino company as it faces lawsuits, penalties, and ongoing uncertainty about its future. For more background, see Bally’s comments on the end of Star “as we knew it” and executive changes at the company at the Australian Financial Review.
Board and Governance Adjustments
The Star board has made significant moves to strengthen governance. Several board members have stepped down while new members with risk management and legal backgrounds have joined. This move reflects continued pressure from gaming regulators, including those led by Angus Hewitt, who highlighted failures in culture and oversight.
The board’s new composition puts extra focus on ethical frameworks, safer gambling, and better monitoring of financial activity. Efforts include new cash limits, stricter card play rules, and improved risk management policies. These changes are designed to show a commitment to long-term reform and to give comfort to regulators and investors. Further details on the board’s actions and governance adjustments are discussed in reports from The Star Entertainment Group and ABC News.
Anti-Money Laundering Measures and Enforcement
The Star Casino Sydney has faced intense regulatory and law enforcement attention over its anti-money laundering responsibilities. Compliance failures have led to legal action, major fines, and calls for changes such as cashless gambling.
AUSTRAC Investigations and Outcomes
AUSTRAC, Australia’s financial crime regulator, began formal legal proceedings against The Star Entertainment Group for serious and widespread breaches of anti-money laundering and counter-terrorism financing (AML/CTF) laws. These breaches include failure to assess and manage money laundering risks, inadequate customer due diligence, and poor systems to monitor suspicious behaviour.
The Federal Court proceedings have highlighted significant gaps in compliance. The casino did not have robust controls to detect and report suspicious activities. This led to concerns that organised crime groups could exploit weaknesses in the system.
In response to these findings, regulators imposed heavy penalties on The Star, including a $15 million fine. There are ongoing assessments regarding its suitability to maintain a casino licence. Details are available through the AUSTRAC official media release and ABC News coverage.
Cashless Gambling Initiatives
In response to compliance breaches and to reduce the risk of money laundering, the introduction of cashless gambling has become a key area of focus. By moving towards carded play and electronic systems, casinos can more accurately track transactions and link them to individual accounts. This makes it easier to identify suspicious financial activity.
Cashless gambling means that all bets and purchases are linked to a verified player profile or player card. That allows authorities and the casino to check for unregistered transactions or patterns hinting at fraud. Cashless systems limit the movement of large sums of cash, which are harder to trace.
Regulators and casino management believe this shift will greatly reduce the shadows for illegal activity by making every dollar traceable.
Fraud and Organised Crime Concerns
The Star Casino Sydney has faced growing concerns regarding fraud and organised crime. Investigations have shown organised groups sought to exploit weak AML controls, laundering large sums of money through gambling operations.
Gaps in oversight enabled complex fraud schemes. These allowed criminals to integrate and move funds undetected through cash transactions and unmonitored high-risk customers. Many of these failures were exposed in official inquiries.
The casino has since strengthened its compliance, invested in staff training, and improved rules for suspicious activity reporting. Tighter monitoring now aims to detect links between players and criminal networks, reduce fraud, and restore oversight.
Gaming Operations and Customer Segments
Star Casino in Sydney earns much of its money from gaming activities targeting a mix of customer types. Its main revenue streams are tied to gaming machines, high-stakes players, and international guests.
VIP Market and High Rollers
The VIP market at Star Casino is made up of wealthy players, sometimes called “high rollers,” who bet large amounts at table games.
These VIPs often receive special treatment, such as access to private gaming rooms, personalised service, and higher betting limits. Star Casino also tries to attract international high rollers, especially from Asia, through exclusive events and loyalty programs. However, this segment has become less reliable in recent years. Stricter oversight, regulatory penalties, and concerns over money laundering have kept some high rollers away.
Sydney’s cash limits and the casino’s recent financial problems make it even harder to draw big spenders. Changes in international travel restrictions and tougher Australian laws have also hurt the VIP market’s growth.
Poker Machines and Gaming Machine Net Profit
Poker machines are one of the biggest money-makers at Star Casino. The casino floor has hundreds of machines that are played daily by regular and occasional guests.
Gaming machine net profit—the amount earned after paying out prizes—makes up a significant share of total revenue. These machines have lower risk compared to high-stakes table games, but large numbers of players make them essential to the casino’s bottom line. Recent figures have shown a steady decline in revenue due to fewer visitors and tighter government restrictions. For example, new cash limits, reporting requirements, and reduced opening hours have all affected poker machine use.
Some patrons prefer these machines for the quick play and privacy, especially as high-touch VIP services have become less accessible.
Junkets and Chinese High Rollers
Junkets are organised trips catering to high-stakes foreign gamblers, mostly targeting Chinese high rollers. These junket operators would arrange accommodations, game credit, and even flights.
For many years, they brought in millions through the casino’s VIP rooms. However, Australian regulators have clamped down on junket operations due to concerns about criminal activity and money laundering. As a result, junket partnerships have greatly reduced, and fewer Chinese high rollers visit the Star Casino. Tougher rules and the loss of junket revenue have directly impacted the casino’s overall performance.
Sydney’s Star Casino, like others in Australia, has found it very difficult to replace these lost customers, making it more reliant on local income streams. More detail on junket impacts can be found in this industry report.
Potential Takeover and Corporate Activity
Star Casino Sydney is facing major changes as it deals with new takeover interest and moves by other gaming groups. The casino’s financial troubles have attracted attention from both United States and local industry players.
Bally’s Corporation Interest
Bally’s Corporation, a major American gaming operator, has moved to take a controlling stake in Star Casino Sydney. Bally’s is known for buying casinos that are in financial trouble. It recently made a $250 million bid to buy a 50.1% share in Star Entertainment Group.
One reason for this interest is Star’s ongoing financial struggles. The casino failed to secure a key refinancing deal just weeks before the offer, putting added pressure on management and giving Bally’s an opportunity to step in. Star’s directors accepted the offer in an effort to avoid a financial collapse.
If Bally’s takeover is approved, the company would become the largest single stakeholder in Star. This move is seen as a quick solution to Star’s liquidity problem and could change how the casino is managed in the future. More information is available about the Bally’s Corporation takeover offer.
Other Casino Operators’ Involvement
Other groups have shown interest in Star Casino’s future, but none have announced formal takeover bids as of now. Some industry experts speculated that companies like Crown Resorts could get involved, given their presence in the Australian casino market and past expansion activity.
Star also held talks to sell some of its assets, such as its 50% stake in Brisbane’s Queens Wharf project, to ease financial stress. The negotiations have partly focused on joint venture partners from Hong Kong, though no deal has been finalised. These discussions are seen as strategic moves rather than complete buyouts.
While no other casino operators have made formal bids, the high level of interest underlines Star’s value and the competitive nature of the sector. For more on this asset sale and other operator involvement, visit the Queens Wharf project news.
Wider Impact on the Casino Industry
Star Casino Sydney’s financial troubles and loss of trust have caused concern in the Australian gaming industry. This situation affects not just one location but other properties and projects tied to Star Entertainment and the wider casino sector.
Influence on Other Australian Casinos
Star Entertainment’s problems in Sydney are raising tough questions for other Australian casinos. Casino operators across the country are watching closely as stricter regulations and investigations become likely. Changes to policy or new rules could follow if Sydney’s issues are not resolved.
Jobs are at risk, with unions warning that as many as 9,000 workers could be affected if the Sydney casino fails. Suppliers and hospitality businesses that rely on Star may also face financial difficulties. It is not just a Sydney problem—the entire casino industry in Australia feels the ripple effects as confidence in casino operations drops.
Some experts suggest that the era of easy casino profits may be coming to an end. Falling revenue and fewer customers have hurt the industry, and at least one union has argued that a collapse of Star Casino would hurt the wider economy.
Queens Wharf Development and Gold Coast Operations
The future of the Queens Wharf development in Brisbane depends heavily on Star’s overall stability. This large project is meant to change the face of the Brisbane CBD, with hotels, apartments, and entertainment areas planned as part of the new Queens Wharf precinct.
Doubts over Star’s performance in Sydney have led many to question if they can manage such a large-scale investment. Potential delays or changes could affect property values and jobs in the region. Investors and local businesses are paying close attention to updates on the project.
Gold Coast operations are also under review. Star’s challenges in Sydney put pressure on its other venues to perform better and avoid similar pit falls. The health of the Queensland gaming sector, including Brisbane and the Gold Coast, is now more linked to the outcomes in Sydney than ever before.
Community, Political, and Social Responses
The Star Casino in Sydney is facing heavy public scrutiny, with a range of opinions from locals, politicians, and business groups. There are serious concerns about its business practices, role in the community, and the way governments and unions have responded.
Stakeholder and Community Reactions
Many members of the public and advocacy groups have called for stronger action after reports of misconduct at The Star. Local residents have shown frustration about casino activities affecting neighbourhood safety and public trust.
Media outlets such as Crikey have criticised The Star for its handling of regulations and its attitude towards compliance. Some business groups and investors, including Morningstar, have voiced uncertainty about the casino’s future and whether it can rebuild a positive reputation.
Casino staff have faced stress and job insecurity. There are worries about job cuts and uncertain futures for hundreds of workers. Community groups continue to question whether the casino is acting in the public interest.
Political Involvement in Oversight
The New South Wales government and key political figures have played a major role in deciding how The Star is managed. Premier Chris Minns and his party have been linked to tough decisions and deals affecting the casino’s future, especially regarding regulation and tax issues.
Liberal leader David Crisafulli has also made public comments, focusing on transparency and making sure the process remains fair. The government’s refusal to provide financial support to The Star shows a tough stance.
An independent inquiry led by Adam Bell SC under the New South Wales Casino Control Act has played a big part in shaping political and public responses. Many see this move as necessary to restore trust in the system and ensure proper oversight.
Frequently Asked Questions
Recent challenges with regulations, leadership, and ownership have put the Star Casino Sydney in the spotlight. Operational updates and new developments are impacting both Sydney and Brisbane locations.
Why is the Star Casino in Sydney reportedly losing money?
The Star Casino in Sydney has faced regulatory investigations and increased oversight. These issues have made it harder for the business to attract high-value customers. Poor market performance and tighter government restrictions have also affected its financial results.
What are the latest developments in the Star Casino takeover?
Star Entertainment has struggled with leadership changes and uncertainty around its casino licence. Recent reports show that both the Queensland and NSW governments have allowed the company time to fix failures, which is seen as a lifeline for the business. For more on this topic, see the update from Star Entertainment shares following casino licence decision.
Who are the current owners of the Star Casino in Sydney?
The Star Casino Sydney is owned and operated by Star Entertainment Group. It is a publicly listed company on the ASX (Australian Securities Exchange). The business is controlled by its shareholders and governed by a board of directors.
Is the Star Casino in Sydney still open for gambling activities?
The Star Casino Sydney is still open for gambling and other activities. There have been no official announcements confirming its closure, and current information shows that visitors can still access the casino’s gambling, accommodation, and dining options. For details on services, visit The Star Sydney.
What are the latest updates from the Star Entertainment Group?
Star Entertainment Group continues to work on meeting government requirements to maintain its licence. Leadership changes and continuing reviews have affected its business situation. Updates and contact options are available on the company’s contact page.
Has there been any recent news about significant changes at the Star Casino in Brisbane?
Recent news shows that Star Entertainment, which runs both the Sydney and Brisbane casinos, is under review in both cities. The company is being given time to address failures identified by authorities, and the casino licence in Queensland is also under scrutiny. More information can be found in the article on Star Entertainment shares and casino licence decisions.
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