The Victorian Gambling and Casino Control Commission (VGCCC) will conduct a separate investigation over the conduct of Crown Resorts CEO, Ciarán Carruthers, as the Australian operator carries out an internal investigation on the executive for allegedly overruling the casino’s security officers over banning intoxicated customers.
Recently the Australian Financial Review revealed that the gaming operator owned by private equity firm Blackstone revealed it was investigating its chief executive, over allegations he intervened to allow patrons back into its casinos even after security had removed them.
Carruthers was hired by Blackstone after the fund acquired Crown, which had been controlled by the Packer family, last year, with the executive previously holding positions as chief operating officer at Venetian Macau and Wynn Macau.
The investigation was instigated by the company board and is expected to run for at least another week.
Shortly after the report, the VGCCC announced it would review the outcome of Crown’s investigation into its CEO before determining ‘what, if any, regulatory action may be taken’.
In November, Crown had already been fined AU$120 million ($77.75 million) by the VGCCC in two fines due to ‘failing its Responsible Service of Gambling obligations’.
In the fallout of investigations into its conduct, Crown Resorts was acquired by the Blackstone investment group for AU$8.9 billion ($6.3 billion) in June, the group’s ‘largest transaction to date in Asia Pacific’.
The buyout comprises the group’s resort and casino properties in Melbourne, Perth and Sydney.
