The Star casino could be set to make a large range of admissions as it is chased by the financial intelligence agency over alleged breaches of anti-money laundering and counter-terrorism financing laws.
The Sydney-based casino is in negotiations with AUSTRAC to reach a potential settlement in the Federal Court lawsuit, as lawyers nut out precisely how it is that the gaming giant failed in its obligations to protect against criminals using its premises to move their funds.
In a hearing on Friday, The Star's barrister John Sheahan SC said his client would agree to all or substantially all of the facts alleged later this year.
"That will be the position that we have reached, as we expect with as much confidence one can have in this world, by early November,” Mr Sheahan said.
Justice Lee noted the chances the case against The Star would follow the course of a separate lawsuit by AUSTRAC against Crown were "very high”.
Earlier this week, the judge approved a $450 million settlement between Crown and AUSTRAC after the gaming giant admitted having inadequate systems in place to monitor and report criminal activity in its Perth and Melbourne casinos.
On Friday, the Federal Court heard a third lawsuit by AUSTRAC against SkyCity Adelaide over similar money laundering and terrorism financing allegations had been stalled with the casino asking for further details about the claims.
”It doesn't sound like they're going to admit contraventions if they're asking questions like that," Justice Lee said.
AUSTRAC's barrister Michael Hodge KC tempered the judge's view by saying SkyCity had not gone through the same "searing experience" as Crown and The Star by having their dirty laundry aired out in prior investigations.
The way the Adelaide casino conducted itself and the extent of its co-operation would be something considered at trial and when working out any potential penalties, Mr Hodge said.
Representing SkyCity, barrister Matthew Darke SC acknowledged discussions about agreed facts had not progressed far but said further conferral and a mediation between the parties would be efficient and effective.
"We’re not trying to be difficult or obstructive," he told the court.
