Mark Speakman, the Attorney General for New South Wales, has triumphed in his legal appeal to compel Melco Resorts and Entertainment Limited to hand over certain confidential company documents.
The Sydney Morning Herald newspaper reported that the New South Wales Independent Liquor and Gaming Authority has the Hong Kong-based firm under investigation as part of a far-reaching assessment into whether local partner Crown Resorts Limited should retain their gambling license for the soon-to-be-launched Crown Sydney venue.
Crown under the microscope
This inquiry was set off by an announcement by Crown Resorts Limited, detailing their plans to have Melco Resorts and Entertainment Limited purchase an almost 20% shareholding in its business. Even after the subsequent halving of this acquisition, the regulator is still set on investigating any possible ties between organized crime groups and Chairman and Chief Executive Officer, Lawrence Ho Yau Lung. The investigation will also determine whether either operator has ever utilized corrupt individuals as part of efforts to attract foreign customers to their venues.
Vital facts
The Sydney Morning Herald reported that Melco Resorts and Entertainment Limited found temporary relief when they won an action before the Supreme Court of New South Wales in January to restrict the investigation’s access to documents the firm claimed were legally privileged. The argument presented by Melco was that they could not be required to produce these papers as the investigation did not possess the necessary powers to compel them to do so.
Turning tables
The newspaper went on to report that Speakman temporarily halted the inquiry late last month to allow his office to table a petition before the New South Wales Court of Appeal. The court eventually ruled on behalf of the politician, stating that Melco Resorts and Entertainment Limited have to surrender the requested information to the New South Wales Independent Liquor and Gaming Authority.
From the source
Below is an excerpt from the court’s ruling
“The court held that the primary judge erred in concluding that the Royal Commission Act did not confer a ‘power or authority’ on a commissioner, with that section extending the general power to compel the production of documents to include the power to compel the production of legally privileged documents.”
High stakes
The Sydney Morning Herald’s report went on to say that the inquiry into Melbourne-based Crown Resorts Limited is being headed by former New South Wales Supreme Court Judge Patricia Bergin and is imbued with the power to restrict the firm from offering gambling at the $1.5 billion Crown Sydney. The venue was set to open later in the year, capping over 50 months of construction. The New South Wales Court of Appeal’s turnabout could mean that the inquiry may have to resume as early as next week although Melco Resorts and Entertainment Limited will be taking advantage of their approved right to appeal.
