The February 2021 report of the NSW inquiry into Crown Resorts found that the company was unfit to hold a casino license for its new $2+ billion development at Barangaroo Wharf at Sydney’s Darling Harbour. Among other issues, the inquiry determined that Crown, mainly through its flagship Melbourne casino, facilitated money laundering – despite warnings, allowed special bank accounts to be used by patrons for deposits for gambling; film was shown of bags of cash being exchanged for gambling chips; they failed to protect employees and in fact encouraged them to behave illegally by promoting illegal gambling junkets from China; and even though he was not a director, albeit a 36% shareholder, passed daily and weekly information on the finances of the casino to James Packer. Subsequent royal commissions have opened in Western Australia and Victoria. Since the initial hearings, senior executives have left and the board changed. Finally, the entire company is now the subject of a takeover.

Required

Discuss these events in the light of the ASX recommended principles on corporate governance.

Answer rating: 100% (QA)

The ASX suggested standards on corporate administration considering the above occasion 1Management o... View the full answer