https://www.theaustralian.com.au/business/companies/qld-state-gov...

https://www.theaustralian.com.au/business/companies/qld-state-government-under-pressure-to-approve-queens-wharf-sale-to-save-star/news-story/480a8edb4377ee54c052eef077890bfb

5:00amMarch 10, 2025.

Updated 4:37pmMarch 10, 2025

The Queensland government is expected to green light Star Entertainment’s sale of its stake in the $3.9bn Queen’s Wharf casino precinct to its Hong Kong partners despite lingering probity concerns about one venture partner’s alleged association with Chinese organised crime.

Chow Tai Fook and Far East Consortium have promised to retain 2700 jobs at Queen’s Wharf that had been under threat if the cash-starved Star collapsed.

The partners own a combined 50 per cent share in the hotel, retail and gaming precinct on the Brisbane River, with Star owning the remaining stake.

A spokesman for Queensland Attorney-General Deb Frecklington reiterated on Sunday the government had not received any formal submission in relation to a change to the ownership of Queen’s Wharf. But it is understood Star has kept the government informed of developments which escalated late on Friday when terms with the HK partners were formally agreed.

Chow Tai Fook and Far East Consortium are expected to hold discussions with the Queensland government in the coming weeks to gain the necessary approval for the transaction.

A report into Chow Tai Fook Enterprises was ordered by the state government in 2022.

After a 16-month probe by the state’s gaming regulator, Queensland’s Labor government declared Chow Tai Fook a suitable casino operator, with then Attorney-General Yvette D’Ath saying there was “insufficient evidence” the company was unsuitable. Last year after the election of the Coalition, Deputy Premier Jarrod Bleijie said the government was “absolutely” committed to releasing the state’s probity report into Chow Tai Fook, which has never been made public.

Star has been mired in its own probity controversies. Regulatory inquiries in both Queensland and NSW have found Star unsuitable to hold gaming licences because of failures to enforce anti-money laundering controls and other misdeeds. Its casinos in Brisbane, Gold Coast and Sydney remain under the control of government-appointed manager Nicholas Weeks.

The government will be under pressure to approve the $53m sale deal given the Hong Kong partners have promised to save thousands of jobs and there is understanding they will not be running the casino.

Star has agreed to continue to manage the casino operations for a monthly fee of $5m until March when a new casino operator will need to be found. Crown and SkyCity have been mentioned as possible replacements.

Star Entertainment’s exit from the Brisbane market will give it at least a few months of breathing space while it finalises a long-term debt restructuring plan for its remaining operations on the Gold Coast and Sydney.