The South Australian government is gearing up for a significant shake-up in the penalties it can impose on Adelaide Casino's operator, SkyCity. The proposed legislation aims to drastically elevate the maximum penalty that SkyCity could face, soaring from the existing $100,000 to a staggering $75 million in cases of misconduct. This aggressive shift is being driven by a desire to align the regulatory framework more closely with community expectations while deterring improper conduct by the state's sole casino license-holder.
SA's Consumer and Business Affairs Minister, Andrea Michaels, underscored the importance of ensuring that fines are perceived as more than just a cost of doing business. The impending changes are seen as a means to bolster accountability and responsiveness from the casino operator. The decision to reevaluate the penalties was catalyzed by AUSTRAC's accusations of systemic non-compliance by SkyCity with financial laws, sparking ongoing legal proceedings and potential fines amounting to billions of dollars.
The proposed legislation not only includes immense penalties for past and potential future misconduct by SkyCity but also incorporates provisions for the liquor and gambling commissioner to consider existing court-imposed fines while determining additional penalties. This move is seen as a tactical step to introduce a higher level of accountability and responsibility within the gambling sector. While SkyCity has acknowledged the need for the update in penalty structures, the focus remains on cooperating fully with regulatory bodies to maintain its privileged status as the sole casino license-holder in South Australia. The pending outcome of the Federal Court case against SkyCity is expected to have significant repercussions on the ongoing suitability assessment of the casino operator to retain its license.