An internal investigation into the actions of Crown Resorts CEO Ciaran Carruthers has concluded that he did not contravene any regulations or laws when he readmitted two previously ejected patrons into the Crown Melbourne casino. This examination came on the heels of a whistleblower’s allegations as reported by The Australian Financial Review.
Seemingly in contravention of established protocol, Ciaran Carruthers reinstated one patron who had been previously expelled and imposed with a year-long ban for introducing a minor onto the casino gaming floor. In a separate incident, Carruthers intervened to permit a patron, who had been deemed inebriated by security personnel and was requested to vacate the premises, to remain within the casino’s enclosure.
Such incidents come in the wake of the ownership transition of Crown Resorts to the American private equity firm Blackstone, which secured the organization formerly under the influential helm of James Packer in 2022. This strategic move by Blackstone was necessitated by a series of regulatory probes, one of which culminated in the forfeiture of Crown’s license in New South Wales due to malpractices including money laundering and questionable affiliations with junket operators with purported ties to organized crime groups. These investigations did not spare Packer, who was criticized for negatively influencing the governance framework of the enterprise.
While the operating license for the flagship Crown Melbourne remains under review, Blackstone sought to steer the company into calmer waters with the appointment of Carruthers and his ilk, esteemed executives with extensive experience within the casino industry. The probe into Carruthers’ conduct underscored the magnitude with which Crown Resorts took the allegations, enlisting the expertise of two distinguished law firms to ensure an impartial and thorough review process which ultimately vindicated the CEO.
As the company breaches this critical juncture, Crown’s chairman Bill McBeath circulated a memorandum elucidating the board’s resolve to undertake a holistic evaluation of the entity’s operational policies and protocols. McBeath’s ambition to nurture an environment conducive to the expression of workplace concerns indicates a pivotal shift in Crown’s corporate culture.
All eyes are now on the Victorian Gambling and Casino Control Commission (VGCCC) which, having taken note of the internal investigation’s outcomes, will soon pronounce its verdict on Crown’s operational warrant for the Melbourne casino.
Before leading the charge at Crown Resorts, Carruthers applied his expertise as COO of Wynn Macau, subsequent to fulfilling his role as Senior VP and Director of the Venetian and Plaza Operations at Sands China.
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