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A recent court ruling has found that the former CEO of Star, a prominent casino operator, failed his corporate responsibilities by nurturing a “dysfunctional and unethical” environment. This atmosphere was marked by the concealment of critical information regarding potential criminal activities.
Incidents cited in the court’s findings include scenarios where cash was discretely transported in blue cooler bags to the service desk, and junket staff would go so far as to hide under blankets to evade CCTV surveillance.
The presiding judge remarked, “The warning signals were flashing, the alarm bells were ringing.” There was an expectation that Mr. Bekier should have ensured the board was fully informed of all matters concerning Suncity.
Moreover, it was revealed that a Star email to NAB and China UnionPay deceptively stated that credit cards were being used strictly for “non-gambling purposes.”
A Star email to NAB and China UnionPay falsely claimed the cards were being used for “non-gambling purposes” only.
“The ‘culture’ that prevailed (at Star) was so dysfunctional and unethical that senior management was tardy in preventing junket operators from behaving inappropriately and lied to its bankers to secure an ongoing commercial advantage,” Justice Lee said.
Both Bekier and Star’s former company secretary and general counsel Paula Martin breached corporation law by failing to disclose the Suncity and China UnionPay risks to the board, the judge found.
The decision marks a partial win for the Australian Securities and Investments Commission, which brought the lawsuit against Bekier, Martin and nine other executive and non-executive directors in 2022.
Former chief casino officer Greg Hawkins settled the case in February 2025, agreeing that he failed to pass on information about Suncity’s conduct.
He paid $180,000 in penalties, $65,000 in ASIC’s legal costs and was banned from managing corporations for 18 months.
At the same time, former chief financial officer Harry Theodore agreed to pay a penalty of $60,000 and was banned from managing corporations for nine months.
Today, Justice Lee dismissed ASIC’s case against ex-Star board members John O’Neill, Wallace Sheppard, Kathleen Lahey, Gerard Bradley, Sally Pitkin, Benjamin Heap and Zlatko Todorcevski.
The law did not require board members to have omniscience in knowing everything management was doing, the judge said.
A hearing on penalties and banning orders for Bekier and Martin will occur on a later date.
A spokesperson for Star declined to comment.
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