NSW Regulator Hits The Star Sydney With A$10m Fines Package

The New South Wales Independent Casino Commission (NICC) has imposed A$10m in fines on The Star Sydney and ordered the operator to reserve an additional A$5m for compliance improvements.

These penalties relate to four disciplinary matters investigated by Liquor and Gaming NSW during 2025 before being referred to the NICC for enforcement action.

The most serious issue involved deficiencies in its financial crime risk management systems. Regulators identified weaknesses in the casino’s Customer Risk Rating Model and Enhanced Customer Due Diligence processes, resulting in failures to properly assess if customers posed money laundering or terrorism financing risks.

As a result, the NICC issued its largest individual penalty of A$5m, covering what it described as systemic failures in financial crime operations between July 2023 and September 2025.

Loyalty Scheme Breach Draws Additional Fine

A separate A$3m penalty relates to The Star’s loyalty programme practices. According to the NICC, at least 1,898 patrons converted casino reward points into cash-equivalent benefits between December 2018 and November 2023.

This allowed customers to use comp dollars to reimburse expenses such as flights and other travel costs. The latest sanctions come less than a year after The Star was fined A$15m over findings linked to the second Bell Inquiry into the operator’s suitability to hold a casino licence.

Patron Protection Controls Under Scrutiny

Two other penalties are focused on patron welfare and exclusion failures.

The Star received a A$1.5m fine after regulators found patrons were allowed to exceed mandatory break requirements between May 2024 and April 2025. In some cases, customers were able to gamble continuously for more than 36 hours.

A further A$500,000 penalty was imposed after an excluded patron gained access to the casino on nine occasions between February and May 2024.

New Leadership Earns Regulatory Recognition

Despite the penalties, NICC Chief Commissioner Philip Crawford said the regulator had observed significant improvement under The Star’s current leadership team.

He noted that many of the breaches occurred before recent technology upgrades, including the introduction of mandatory carded play. Crawford also highlighted the enforceable undertaking as the first issued by the commission since 2022’s legislative reforms.

The Star remains under supervision following the suspension of its Sydney casino licence after the 2022 Bell Inquiry uncovered extensive AML failures. But Nick Weeks is still in charge of casino operations under NICC appointment.

Earlier this year, Bally’s Corporation received approval to proceed with a A$300m investment alongside Investment Holdings, securing a controlling 56.7% stake in The Star Entertainment Group.

Over the first half of 2026, The Star suffered a heavy net loss of $75m. However, the NICC has cited Bally’s involvement and the company’s management changes as positive developments during the remediation process.

Meanwhile, the Australian Securities and Investments Commission continues legal action against former Star Entertainment Group CEO Matt Bekier. The authority seeks a A$1.3m penalty and a ban from the gambling industry.

The Star Sydney is still under regulatory scrutiny following a latest barrage of fines worth $10m. Its penalties involve failures around financial crime risk management, loyalty programmes, patron welfare, and exclusion. The company must now prioritise technology upgrades and new ownership structure to ensure a successful remediation compliance.