Casino group boss cashes in his chips after 18 months
Adrian Black |
Troubled casino group Star Entertainment is looking for a new chief executive, after its current boss opted to head for the exit after less than 18 months in the role.
Steve McCann will leave the company – which has struggled in the wake of licence suspensions and a $400 million fine imposed by the finance watchdog AUSTRAC over money laundering failures – effective immediately.
Star chair Bruce Mathieson Jnr will step up as executive chair in the meantime until a permanent CEO replacement is found.
The shift comes just a few weeks after regulators signed off on a $300 million rescue package by US-based gambling giant Bally’s Corp and pub baron Bruce Mathieson’s Investment Holdings.
Bally’s strategic investment provided an opportunity for a new direction for Star, Mr McCann said.
“Now is the right time for new leadership to be put in place with the experience and passion to build on that momentum and take The Star forward,” he said in a statement on Tuesday.
“I want to thank our 8000-strong workforce for their commitment and resilience throughout a challenging period.”
Mr Mathieson Jnr thanked him for his leadership.
“On behalf of the board, I want to thank Steve for his strong leadership and hard work during one of the most complex and challenging periods for The Star,” he said.
“Steve joined at a time of crisis for The Star and has helped to deliver a critical financial reset for the business and successfully progressed our Remediation Plan, which have laid the foundations for The Star’s long-term future success.”
Mr McCann will help the group with government and regulator matters during a handover period until July 8.
Star has yet to recover from the money-laundering scandal uncovered by Nine newspapers and 60 Minutes in 2021, which led to regulators imposing strict limits on play that have deterred high rollers.
Investors took the news as a positive, lifting Star shares by 2.4 per cent 10.5 cents in the first hour of trading.
AAP
