Crown Resorts, Star Entertainment Group, and SkyCity Entertainment have been notified of "potentially serious non-compliance" by the Australian Anti-Money Laundering Agency.
Australian Center for Transaction Reporting and Analysis wrote to each casino operator after identifying a potential non-compliance with the Australian Anti-Money Laundering Program and the Counter-Terrorism Financing Act 2006 and the Anti-Money Laundering and Counter-Terrorism Regulation 2006 instrument.
Local media reports that fines are the most likely result of ongoing investigations, and it remains to be seen what complications this could add to the star's ongoing aspirations to merge with her pressurized counterpart Crown Resorts.
The battle to take over Crown is due to the group being deemed unfit to handle $ 2.2 billion Crown Sydney Hotel Resort after investigation Independent Liquor and Gaming Authority New South Wales which highlighted weak corporate governance, flawed risk management structures and processes, and culture.
Consequently, further investigations have been launched in the states of Victoria and Western Australia, where the organization is also active.
AUSTRAC enforcement actions that relate to Crown Perth, SkyCity Adelaide, and The Star Sydney treating customer management as "identified as high risk and politically exposed".
Each organization concerned notes that AUSTRAC has made it clear that it has not taken a decision on an appropriate regulatory response that may be applicable, adding that it will "fully cooperate with any investigation".
Last month, Crown Resorts unanimously rejected the Blackstone Group acquisition proposal, deeming the offer to be undervalued and "not in the best interests" of its shareholders.
This seemed to give an advantage to Star Entertainment Group, which was asked to provide "some information that would allow Korona's management to better understand the various preliminary matters" after submitting the merger offer earlier this month.
Star believes the merger of the two companies will generate cost synergies between $09m and $200 annually, with an estimated net worth of $ 2 billion.