Star Entertainment Group Leadership Changes Amidst Inquiry
The board of Star Entertainment Group has undergone a leadership change as an inquiry investigates the company's suitability to operate a casino in New South Wales. David Foster has been replaced by Anne Ward as chairman of the board, effective immediately.
This decision comes after Mr. Foster sent a text message suggesting the state's casino regulator should be abolished. This message surfaced during a second inquiry by the NSW Independent Casino Commission (NICC) into the company's suitability to hold a casino license.
Mr. Foster acknowledged that his words were poorly chosen and did not accurately reflect his intended message. Ms. Ward, returning to give evidence to the inquiry, stated that the board had decided to remove Mr. Foster from his role.
Mr. Foster will remain on the board as a director and continue as CEO for an interim period. Ms. Ward expects him to leave these positions once a new CEO is appointed within the next six to eight weeks.
This leadership change occurs amidst the second inquiry into The Star, led by Adam Bell SC. This inquiry follows an initial investigation by Mr. Bell, which deemed Star Entertainment Group unsuitable to operate a casino in Sydney. The 2022 inquiry revealed allegations of money laundering, organized crime links, and fraud at the casino in Pyrmont.
As a result, the NICC suspended The Star's license indefinitely and imposed a $100 million fine. The regulator appointed Nicholas Weeks as manager to maintain the casino's operation and protect thousands of jobs.