Star Entertainment Group, one of the biggest operators of land-based casinos in Australia, has received even more bad news after the recent troubles as the company faces a class action lawsuit in Victoria.
The claim was filed by the Maurice Blackburn law firm and it alleges that between 2016 and 2022 Star Entertainment made numerous misleading representations of its actual situation and policies. The law firm also alleges that the company failed to disclose relevant information regarding its anti-money laundering and counter-terrorism financing obligations and that overall it conducted its affairs “contrary to the interests of the members of Star as a whole.”
The bottom line is that the group of plaintiffs ended up paying more for shares of Star Entertainment than would have been the case if the company had complied with its legal obligations. Moreover, some investors might not have purchased Star shares in the first place.
Star shareholders can opt out of the group proceedings, but if they proceed then some might receive compensation if the lawsuit is successful. The company has issued a brief statement in which it announced that it intends to defend itself in these proceedings.
Top casinos in Australia
