High rollers return to Australia after jailed Crown workers freed

THE release in recent months of Crown Resorts employees from a Chinese jail has signalled a return of high-stakes gamblers to Australia, an investment bank says.

Morgan Stanley analyst Monique Rooney says talks with industry contacts have cemented the bank’s view that the number of VIP gamblers – or high rollers – travelling to Australian casinos jumped in the three months to September.

“Specifically, junket operators spoke to a material improvement across both Crown’s Melbourne and The Star’s Sydney properties in recent months versus the VIP volume lows seen in 2017,” she said in report for investors.

Crown’s high roller business was significantly impacted by the arrest last October of staff in China – the top market for its most lucrative VIP customers – amid an anti-corruption crackdown from Beijing.

Sixteen staff were jailed, for terms ranging from nine to 10 months. The last of the Crown employees charged by Chinese authorities for gambling-related offences were released in August.

The arrests hit earnings at the James Packer-backed casino group and the impact also flowed to its rival, Star Entertainment.

Ms Rooney said the lift in junket volumes in Australia could be attributed to renewed interest in gambling here after the release of the detained Crown employees.