The Melco Resorts and Entertainment (MRE) the well-known Casino operator, had gone ahead and filed an Appeal to Australian gambling regulatory authority to decide whether Melco is a qualified investor in Crown Resorts, an Aussie casino operator.
Last Wednesday, a report from the Australian stated that the MRE had gone ahead and filed an appeal with New South Wales Independent Liquor and Gaming Authority (ILGA), disputing that the regulatory is overstepping its authority through its inquiry towards MRE’s plans to purchase 20 percent shares in Crown. MRE’s hearing will be taken on Thursday, in the NSW Supreme Court.
Filing from MRE alleges that the organization is not under compulsion to surrender specific documents, which MRE acknowledges that would breach the attorney-client privilege. Further, MRE alleges that the depth of this Crown inquiry would allow the ILGA to use sections of the Australian law, which will permit the regulator towards violating this privilege.
Last May, Lawrence Ho, MRE boss, made a deal with James Packer, Crown’s largest shareholder, to buy 20 percent of the Australian Casino operator. In August, that deal was put on hold; when only half of the crown shares had been changed ownership to “allow more time for the relevant Australian regulatory processes to be completed.”
James Parker and Lawrence Ho are former associates in the Melco Crown Entertainment, which was a joint venture that operated casinos across Macau and Manila. Nonetheless, Crown started to sell its MCE share in 2016 and the following year, the balance holdings were sold completely. This was done to focus more attention on their domestic operations, which included the latest new Crown Sydney project.
In January, yet another attack was faced by Crown at the time when a 20 percent share taking over the deal was announced by Melco. In 2014, when the company got approval for its gaming license, one of the provisions in the agreement was, Crown will not do business either with Stanley Ho, Melco Boss, or any of the 60 companies or individuals from those companies.
