Star Entertainment's incoming chair has admitted describing leadership at the embattled gaming company as dysfunctional but claims there have been improvements.
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The NSW Independent Casino Commission inquiry is examining casino operations two years after a probe found damning anti-money laundering and counter-terrorism failings.
The current probe, recently opened to the public, has heard of ongoing systems failures at the venue and internal messages about "war" with the regulator.
Star director Anne Ward, announced as chair of the board on Monday, was taken to an email from her to board colleagues in mid-2023 critical of company leadership.
"Would you accept, having refreshed your memory Ms Ward, that you did in July 2023 consider that the leadership team was fairly dysfunctional and siloed?" Caspar Conde, counsel assisting the inquiry, asked.
"Yes, that's what I said at that time," Ms Ward replied.
She said her "current thoughts" were that "there has been improvement in functionality" at the casino since July, 2023, when she made the comments.
The inquiry has previously heard Mr Foster sent ex-CEO Robbie Cooke a message "they are prepping for war.
We better do the same" in reference to a meeting the casino's independent manager planned with law firms on the future of the licence.
The Star's board ousted Mr Foster as chairman over the weekend.
When quizzed by Adam Bell, SC, who is heading the inquiry, Ms Ward said she agreed with testimony of Mr Foster that the casino was not presently suitable to hold a licence.
"I believe that with the right leadership The Star can be transformed and possibly within six months," she said.
On what a "transformed Star" looked like, Ms Ward said her vision was a legally compliant company with strong leadership at all levels.
Present leadership was in a similar position to 2022, the inquiry was told, with Star needing a new permanent CEO, CFO, chief legal officer, chief transformation officer, chief customer and product officer, and chief of staff.
Corporate transformation also meant an "open and honest and constructive relationship with the relevant regulators", Ms Ward said.
The commission suspended the casino's licence in October, 2022, and issued a $100 million fine after inquiry revelations of a gang-linked junket operator running an illicit cage and Chinese debit-card transactions disguised as hotel expenses.
Australian Associated Press