AustraliaABC News & HeadlinesStar Casino fined $260 million for historical money laundering violations
Star Casino has been fined $260 million by the Federal Court for repeated money laundering violations linked to its dealings with Asian gambling junkets.
Australia's financial intelligence agency, AUSTRAC, had sought a much steeper fine that could have forced the casino company into financial collapse.
The Federal Court fined Star Entertainment Group $260 million for historical money laundering breaches that led to its casino licences being suspended in NSW and Queensland.
Justice Moore said hundreds of millions of dollars were funnelled through the casino by a man with known criminal links, describing the conduct as egregious.
The penalty, split $195 million for Sydney and $65 million for Queensland, is to be paid in four instalments over 19 months.
Australia's largest listed casino company, The Star Entertainment Group, has been fined $260 million over historical repeated money laundering violations that led to the suspension of its casino licences in NSW and Queensland.
The penalty handed down by Justice Cameron Moore in the Federal Court today came a day after shareholders gathered for the casino operator's annual meeting in Sydney.
Australia's financial intelligence agency, AUSTRAC, launched legal action against Star in 2022.
It accused the company of not adequately addressing the money laundering risks that arose from Star's dealing with Asian gambling junket Suncity and its funder, as well as continuing to deal with them despite becoming aware of reports of criminal links.
Star, which owns casinos in Sydney and the Gold Coast and runs one in Brisbane, had said a penalty steeper than $100 million could force it into liquidation.
Justice Moore said the $100 million penalty sought by Star was too low, but the $400 million penalty sought by AUSTRAC was too high.
In his judgment he said it was important Star be deterred from putting profit over complying with anti-money laundering (AML) laws, adding it was also necessary to consider the casino's financial position.
"The contraventions are serious, and a significant penalty is warranted," he said.
'Not mere oversights'
The court heard that hundreds of millions of dollars were funnelled through the casino by a man with known criminal links.
Justice Moore said facilitating the movement of money overseas and turning a blind eye to customers who were a money laundering or terrorist financing risk was a "significant part of Star's business".
He described the conduct as "egregious".
"They were not mere oversights from time to time," Justice Moore said.
Justice Moore compared the matter to Crown and Sky City breaches of AML laws, noting significant differences in the cases.
He said the number of contraventions by Star of different parts of the act were "immeasurable" and the maximum penalty was a very large, incalculable amount.
He ordered $195 million of the penalty be attributed to the conduct in Sydney and $65 million to Queensland, to be paid in four instalments over 19 months.
In June, Star's former CEO and lawyer were collectively fined more than $1.1 million for breaches of the Corporations Act, and were disqualified from holding a corporate office for six and seven years respectively.
US gaming giant Bally's Corp and the Mathieson family put forward a $300 million rescue package that saved the business from administration in April 2025.
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