Star Entertainment Loses a Court Case and Will Have to Pay Winnings They Try to Deny

By John Isaac,
Editor at online-gambling.com

John Isaac Editor at online-gambling.com

John Isaac is an editor with many years of experience in the gambling industry. He writes expert articles on card games like blackjack and poker. In addition, he is also well aware of the US gambling laws and the Indian and Dutch gambling markets. You can rely on verified information and insightful details.

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Last updated: August 22, 2022

Star Entertainment has been asked to pay a gambler US$195,909 (AU$285,000) in winnings it denied because of the gambler’s disability and inability to independently operate a gaming machine.

The case began in October 2019. David Joe, who is a Platinum Vantage VIP member, is suffering from motor neuron disease. This disease affects the nervous system and impairs motor movements in some people while rendering it impossible for others. At The Star in Sydney, Joe won a jackpot on a slot machine. But because a friend was operating the machine, the casino did not want to pay. However, a court judge has ordered that they pay.

The Stars Claim Are Rebuffed

The Star claims the man assisting Joe shouldn’t have been in the casino. Although the casino had agreed that a friend could help, Lois Lie was not the intended friend. According to the casino, in 2016, Lie allegedly stopped gambling. He had self-excluded and was therefore not qualified to be on the casino floor. Joe’s jackpot win was invalid as a result.

Joe was unaware that Lie was not welcome. But even if he had known, it wouldn’t have mattered. After the self-excluded gambler requested the block, The Star granted him access to the gaming area more than once. This shows that the casino failed in its obligations.

That argument was just one of the arguments Joe’s legal team presented in court, and it was successful. Additionally, the judge found that Lie was only involved in pushing buttons; he was not involved in making decisions.

The Second Legal Battle Star Has Lost Recently

Star thought it won’t have to pay the jackpot, so it gave the money to a gaming fund. It is not yet clear, though, whether it will be able to ask for reimbursement or whether it can deduct that sum from future payments. This is Star Entertainment’s second recent legal defeat. Some weeks ago, a judge ruled that the company must lift the bans it had imposed on two players it had accused of cheating.

According to reports, the two players worked together to edge-sort decks of cards. They used flaws in the cards to determine what the cards stood for. However, Star still lost the case. The judge believes that Star ought to have given the decks’ quality more attention.

Star Facing Financial Problems

Star regulatory headaches are causing financial problems and according to ex-CEO Matt Bekier, they themselves are to blaim for their headaches. The operator released its most recent financial data, and it revealed a net loss of US$122.9 million (AU$178.1 million) for the 2022 fiscal year.

Through June 30, 2022, the fiscal year’s revenue was US$1.05 billion (AU$1.53 billion), a 1.2% decrease. Star Sydney provided the majority of that, accounting for US$536.93 million (AU$781 million). Revenue for Star Brisbane and Star Gold Coast was US$224 million (AU$326 million) and US$291.41 million (AU$424 million), respectively.

The company made a net profit of US$39.8 million (AU$57.9 million) the year before. In the second half of last year, COVID-19 restrictions were eased down, and Star continued to rebound. But it was weighed down by a goodwill impairment of US$111.07 million (AU$162.5 million).