Casino group boss cashes in his chips after 18 months

Troubled casino group Star Entertainment is searching for a new chief executive after its current boss chose to leave after less than 18 months in the job.

Steve McCann will leave the struggling company with immediate effect following the suspension of its licenses and a $400 million fine imposed by financial watchdog AUSTRAC over money laundering failures.

Star chairman Bruce Mathieson Jnr will act as executive chairman in the meantime until a permanent CEO replacement is found.

The shift comes just weeks after regulators signed off on a $300 million bailout of US-based gambling giant Bally’s Corp and pub baron Bruce Mathieson’s Investment Holdings.

Mr McCann said Bally’s strategic investment provided the opportunity to take Star in a new direction.

“Now is the right time to bring in new leadership with the experience and passion to build on this momentum and move Star forward,” he said in a statement Tuesday.

“I would like to thank our 8,000-strong workforce for their commitment and resilience during a challenging period.”

Mr Mathieson Jnr thanked him for his leadership.

“On behalf of the board, I would like to thank Steve for his strong leadership and hard work during one of The Star’s most complex and challenging periods,” he said.

“Steve joined The Star at a time of crisis and helped deliver a critical financial reset for the business and successfully progressed our Recovery Plan, which laid the foundations for The Star’s long-term future success.”

Mr McCann will assist the group with government and regulatory matters during the takeover period until 8 July.

The Star has yet to recover from the money laundering scandal revealed by Nine newspaper and 60 Minutes in 2021; This led regulators to impose strict limits on the game to deter high-stakes players.

Investors welcomed the news, sending Star shares up 2.4 percent (10.5 cents) in the first hour of trading.