Star owns and operates The Sydney Star, The Star Gold Coast, and Treasury Brisbane
Phi Finney McDonald (PFM) has filed a class action lawsuit against The Star Entertainment Group Ltd. in the Victoria Supreme Court on behalf of shareholders.
The lawsuit aims to recover losses on behalf of investors who purchased or held shares between 26 March 2016 and 13 June 2022. The shareholders alleged that breaches of continuous disclosure obligations and misleading and deceptive conduct inflated the price during this period.
PFM director Tim Finney said the firm launched the case after an extensive investigation into the proceeding. "We have conducted detailed due diligence into the proceeding, including the Bell Review in NSW, the Gotterson Review in Queensland, the AUSTRAC proceeding against Star and the ASIC proceeding against current and former directors of Star."
Star is an Australian integrated resort company that owns and operates The Sydney Star, The Star Gold Coast, and Treasury Brisbane. The company has also acquired the Sheraton Grand Mirage on the Gold Coast in a joint venture and manages the Gold Coast Convention and Exhibition Centre on behalf of the Queensland Government.
The lawsuit claimed that Star failed to inform investors of systemic non-compliance with anti-money laundering and counter-terrorism law, conduct disguising gambling money as hotel expenses, and other contraventions of the law.
Jowene Pty Ltd., as trustee for Biro Citer Souvenirs Pty Limited Pension Fund, acted as representative plaintiff for the shareholders. Global ESG engagement and litigation finance business Woodsford funded the class action lawsuit.
Woodsford and PFM have previously partnered to bring the ongoing class actions against ANZ, Nuix and Macquarie. They also brought a class action against Westpac, likewise alleging systemic infringements of the anti-money laundering and counter-terrorism obligations.
PFM specialises in complex and large-scale litigation, focusing on shareholder, environmental, and social justice class actions. The firm has offices in Melbourne, Sydney and London.
