Crown (ASX:CWN) shares on watch after being found unsuitable to operate Sydney casino

The Crown (ASX:CWN) share price will be on watch on Wednesday after being found unsuitable to operate its Sydney casino…
The post Crown (ASX:CWN) shares on watch after being found unsuitable to operate Sydney casino appeared first on The Motley Fool Australia. –

Casino Bad Hand Poker 16.9

The Crown Resorts Ltd (ASX: CWN) share price will be one to watch when it returns from its trading halt.

This morning the casino and resorts operator requested the halt ahead of the release of the Commissioner’s report in relation to an inquiry into the suitability of Crown Resorts holding the licence for Sydney’s Barangaroo casino.

What has happened?

This afternoon that final report was released and reveals that Commissioner Patricia Bergin has deemed Crown Resorts to be unsuitable to operate its new Sydney casino. This follows a public inquiry which uncovered allegations of money laundering.

According to the ABC, the final report states that Crown Resorts needs to make sweeping cultural changes if it wants to be considered a suitable operator in the future.

Though, it is worth noting that this final report remains a recommendation that requires final approval by the Independent Liquor and Gaming Authority (ILGA). But that is expected to be a formality at this point.

What was said?

According to the AFR, Commissioner Bergin labelled the company as arrogant and “quite unsuitable to hold a casino licence in New South Wales.”

She said: “Any applicant for a casino licence with the attributes of Crown’s stark realities of facilitating money laundering, exposing staff to the risk of detention in a foreign jurisdiction and pursuing commercial relationships with individuals with connections to triads and organised crime groups would not be confident of a positive outcome.”

“It is obvious that such attributes would render an applicant quite unsuitable to hold a casino licence in New South Wales.”

“These facts and the stark realities expressed so baldly may also suggest that it is obvious that the licensee is not suitable to continue to give effect to the Barangaroo Licence and that Crown is not suitable to be a close associate of the licensee,” she added.

All eyes will be on the Crown share price when it returns to trade after this major setback. This could possibly be as soon as Wednesday morning.

Where to invest $1,000 right now

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for more than eight years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes are the five best ASX stocks for investors to buy right now. These stocks are trading at dirt-cheap prices and Scott thinks they are great buys right now.

See The 5 Stocks

*Returns as of June 30th

More reading

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Crown Resorts Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Crown (ASX:CWN) shares on watch after being found unsuitable to operate Sydney casino appeared first on The Motley Fool Australia.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;

To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.

An active and funded account with a positive trading balance is required to continue to have access to the tools;

Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;

Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!