Crown to retain Melbourne casino licence

Blackstone-owned (BX.N), opens new tab Crown Resorts can keep its licence to operate its flagship Melbourne casino, a gambling regulator said on Tuesday, more than two years after the casino was put under government supervision for breaking anti-money laundering laws. The Victorian Gambling and Casino Control Commission (VGCCC) said it was in the public interest that Melbourne casino licence of the Crown Resorts remained in force.

A Victorian royal commission found in 2021 that Crown was "unsuitable" to hold a casino licence after engaging in "illegal, dishonest, unethical and exploitative" conduct.

Victorian Gambling and Casino Control Commission chairwoman Fran Thorn said the commission was satisfied the "systemic failings of Crown Melbourne" were a thing of the past. "We are determined Crown is not and will never be too big to fail," Thorn said. "The significant turnaround by Crown Melbourne does not mean that crown oil will never slip up again. "And when this happens, we will act, and we expect Crown Melbourne to act. Ongoing suitability will be significantly demonstrated by how crown responds to instances of operational failure, not by the total absence."

Thorn said Crown understood the "privilege and obligation" of holding a casino licence.

Crown Melbourne chief executive Mike Volkert said the outcome was "one of the most significant milestones" in its history. "It would not have been possible without the efforts of our team members, who have worked diligently over the past two years to implement meaningful change that has truly transformed our business," he said in a statement.

"What we have achieved must be a continual focus for everyone at Crown Melbourne. We know the work doesn't stop here, and we are committed to delivering the highest industry standards and putting the welfare of our guests at the forefront of decision-making, day in and day out.

"I would also like to acknowledge and recognise the Victorian Special Manager, Stephen O'Bryan KC and the Office of the Special Manager and the VGCCC led by Chair Fran Thorn and CEO Annette Kimmett AM for raising the standards of the entire industry.

"Crown Melbourne is now the safest venue in Victoria for gaming and entertainment, and we look forward to continuing to welcome our guests."

The casino was previously given two years despite a Royal Commission finding it had engaged in "disgraceful" misconduct.

The Royal Commission's findings included grave systemic breaches of the law, tax breaches, bullying, misleading and delaying the regulator, and systemic breaches of responsible gaming obligations, which put vulnerable Victorians at risk.

The Royal Commission was established in February following a New South Wales inquiry that revealed Crown facilitated money laundering and was unfit to operate Sydney's Barangaroo casino.