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Australian gambling giant Star Entertainment Group has been fined A$100 million ($62 million, £55 million) for failing to stop money laundering at Sydney casinos.
The group’s license to operate the casino has also been suspended.
The star vowed to “do everything in his power” to regain his license and community trust.
Australian casino operators are under intense pressure to reform their gambling operations following reports of widespread criminal activity.
The record-breaking sanctions were announced in response to an exculpatory investigation in New South Wales (NSW) earlier this year.
He heard that the star had allowed money laundering and organized crime to infiltrate his Sydney casino, taking a “cautious” management approach and sometimes taking deliberate steps to cover their tracks.
Chief regulatory officer Philip Crawford said at the time: “This company’s institutional arrogance is stunning.”
The fine announced Monday is the maximum fine allowed, but the NSW Independent Casino Commission has yet to fully revoke the Star license that protects thousands of jobs.
Under the terms of the suspension, the casino will continue to operate under a manager appointed by the regulator.
As of Friday, Zvezda will no longer be able to run its own casino until it “reclaims” its license, Crawford said.
A spokesperson for The Star said the company was committed to “finding a path back to fitness.”
It previously promised to increase security personnel, increase surveillance, end high-risk international VIP travel known as “tours” and make management changes.
The scandal has led to the resignation of executives, including former CEO Matt Bekier.
The sentence was announced on the first day of his successor Robbie Cook.
Mr. Crawford said the company’s “cultural woes” would take time to overcome but there were signs it could be reformed under Mr. Cook.
The star halted trading on Monday morning, which is expected to continue through Wednesday.
Earlier this month, following a similar investigation in Queensland, The Star was also declared unfit to operate its three casinos in the state.
Media investigations have raised allegations of misconduct at various casinos in Australia in recent years, including those owned by the country’s largest gaming and entertainment group, Crown Resorts.
He was fined $80 million by Victorian gambling authorities earlier this year for failing to stop criminal activity.
