An independent review into the operations of the SkyCity Adelaide Casino by retired Supreme Court Judge, the Hon Brian Martin AO KC, has found that SkyCity Adelaide is suitable to hold South Australia’s only casino licence and that SkyCity Entertainment Group is suitable to be a close associate of SkyCity Adelaide.
Liquor and Gambling Commissioner Brett Humphrey today released Mr Martin’s report.
While Mr Martin’s report highlighted significant failings of SkyCity Adelaide’s casino management, found in both his and the investigations undertaken by financial regulator AUSTRAC (the Australian Transaction Reports and Analysis Centre), it also noted SkyCity Adelaide’s substantial commitment to addressing those failings.
“If I had been asked to determine the suitability of the licensee and SCEG (SkyCity Entertainment Group) at the end of October 2021, the inevitable answer would have been that neither were suitable,” Mr Martin wrote.
“Since then, the situation has changed.”
Later in his report, Mr Martin said:
“The significance of past failures needs to be considered in the context of the licensee’s subsequent behaviour, changes in personnel and the licensee’s current corporate culture and governance.
“I am satisfied that, today, the licensee is a suitable person to hold the licence and operate the casino.”
Liquor and Gambling Commissioner Brett Humphrey thanked Mr Martin for his extensive and carefully considered report.
“This is an extremely thorough consideration of SkyCity Adelaide’s conduct prior to both Mr Martin’s investigation and the AUSTRAC civil proceedings, its attitude whilst being investigated, and the changes that have been made since the AUSTRAC proceedings concluded,” Mr Humphrey said.
“I accept Mr Martin’s findings that SkyCity Adelaide is suitable to hold and operate the casino licence and SkyCity Entertainment Group is suitable to be SkyCity Adelaide’s close associate.
“But let me be clear, this is by no means a clean bill of health for SkyCity Adelaide.
“Even though many of the issues raised have either been addressed or are being addressed through a program of work being supervised by the independent monitor since August 2023, the deficiencies and breaches uncovered are deeply concerning.
“I am considering Mr Martin’s findings as well as ongoing work by Consumer and Business Services to determine what enforcement action I may take in light of these breaches.
“I will also be looking at what measures may be required for the ongoing future operations of the licence.
“In the interests of transparency, I have formed the view that Mr Martin’s report should be made public while I continue to consider the next steps.
“Confidentiality provisions of the Gambling Administration Act 2019 prevented disclosure of the report previously and it is only with SkyCity’s consent that it can now be released.
“Portions of the report still remain redacted to protect personal and commercial concerns.
“However, after discussions are had with relevant stakeholders, some of those redactions may be removed in the coming months.
“As this is still very much a live matter from my perspective, I am unable to comment further on Mr Martin’s findings, or pre-empt any action that I may choose to take in response.”
Mr Martin’s review began in mid-2022, building on extensive investigations already being progressed by Consumer and Business Services.
The review was put on hold between February 2023 and June 2024, while AUSTRAC took civil action against SkyCity Adelaide in the Federal Court of Australia for breaching the national Anti-Money Laundering and Counter-Terrorism Financing Act 2006.
Mr Martin’s report to the Liquor and Gambling Commissioner is now available at https://www.agd.sa.gov.au/law-and-justice/investigation.
