Star Entertainment chief stands down as inquiry into casino behaviour continues
Star Entertainment chief executive Matt Bekier will immediately stand down from his director duties, but will remain in a management position until a replacement is found.
Bekier will remove himself from Star after an inquiry labelled the entertainment group as deficient in its ability and intent to combat fraud and money laundering throughout the casino.
In a statement to the ASX, Star said Mr Bekier will stay on in an operational role to “transition his executive responsibilities in an orderly manner”.
Last week the inquiry heard Bekier had slammed an independent KPMG report into Star – which exposed “fundamental deficiencies” in the group’s anti-money laundering program.
Bekier also came under fire for allowing Chinese junket operator Suncity to repeatedly flout money-laundering controls.
When asked about links to organised crime Bekier replied: “Why not?”
Suncity is reported to have links to Chinese triads running “a casino within a casino”, and breaking state laws by swapping backpacks of cash for chips in a VIP gaming salon.
At the Bell inquiry last week, the company’s former chief risk officer, Paul McWilliams, told that Mr Bekier attended a “tense” audit committee meeting on 23 May, 2018, where the KPMG review was discussed.
Mr Bekier said the report contained multiple errors and that KPMG didn’t know what they were doing.
A further meeting saw Bekier not at his best and according to McWilliams in “a sulk”.
Star issued Suncity with two warning letters in 2018 for breaking money laundering laws, however instead of issuing a third strike its agreement with Suncity was renewed.
The relationship was finally terminated in August 2019 with regard to the exclusive use of gaming salon 95.
“What in fact happened is Suncity simply moved its operations to salon 82,” counsel assisting the inquiry Naomi Sharp SC said.
Sharp said the new salon contained no Suncity branding.
“When asked … why the Star was still using Suncity (Star chief executive) Matt Bekier replied
‘Why not?’.”
Bekier’s resignation was accepted by Stars’ board.
“Mr Bekier’s decision follows issues raised in the public hearings in connection with the review of The Star Sydney being undertaken by Mr Adam Bell SC,” the board said.
“While the review remains ongoing, Mr Bekier informed the board that as managing director and CEO he is accountable for the effectiveness and adequacy of the company’s processes, policies, people and culture.
“Mr Bekier said the right thing to do was for him to take responsibility. Mr Bekier will step down from the board immediately and will work with the board to transition his executive responsibilities in an orderly manner.
“Mr Bekier’s final departure date is yet to be determined.
“The Star will make a further announcement once these arrangements have been finalised.
Irit Jackson, 29th March 2022
