Coalition and Labor oppose federal inquiry into Crown allegations
The Turnbull government and Labor have expressed their opposition to a crossbench push for a Senate inquiry into casinos after whistleblowers’ explosive allegations of wrongdoing by Crown Resorts.
Earlier on Thursday the Greens rounded on Labor, noting its support would be sufficient to set up the inquiry and accusing the opposition of protecting casino bosses.
On Wednesday the independent MP Andrew Wilkie and senator Nick Xenophon tabled video evidence in parliament from whistleblowers alleging the Crown casino in Melbourne deliberately tampered with poker machines and avoided money laundering rules.
The Greens, Xenophon and the independent Jacqui Lambie planned to move a Senate motion for the inquiry late on Thursday morning but postponed it until the next sitting week, starting 13 November, to build pressure on the major parties.
Asked at a press conference in Canberra about Labor’s position, Bill Shorten said he thought the allegations were “very serious” but police and the gambling regulator in Victoria were “best positioned to deal with state laws”.
On Thursday the communications minister, Mitch Fifield, told Radio National that Austrac, the financial intelligence agency, would investigate claims of wrongdoing relating to money laundering.
But he said casinos and venue based poker machines are “matters that fall squarely within the jurisdictions of the states”.
“There are state regulatory bodies, there are state law enforcement agencies, they have the responsibility in this area,” he said. “They have the power, they have the legislative authority, they are the people who can move swiftly in this area.”
At a press conference in Canberra, Wilkie said Labor and the government’s opposition to an inquiry was “scandalous” because “any true leader on hearing yesterday’s allegations would have moved very quickly” to investigate claims of systemic problems.
Earlier, Xenophon told ABC News Breakfast that the whistleblowers alleged they went to the Victorian regulator and “didn’t get a satisfactory response”.
“If that is the case, it is appropriate someone else look at the allegations,” he said, calling for the whistleblowers to give evidence under privilege at a Senate inquiry hearing.
Wilkie echoed the point, arguing it was not sufficient for the Victorian gambling regulator to investigate because whistleblowers had accused it of “complicity or incompetence”. Both Wilkie and Xenophon said state governments were “conflicted” because of large revenues from poker machine taxes.
At a doorstop in Canberra, the Greens MP Adam Bandt said the numbers for an inquiry would be there if Labor supported the push.
“The only thing protecting the casino bosses from a full inquiry into these allegations of misconduct is the Labor party,” he said. “The Labor party now needs to decide whether honesty is more important than money.”
The proposed terms of the inquiry are to examine “fraudulent misleading and exploitative practices” in the Australian casino industry, including the integrity of gambling systems, transparency and whistleblower protections, whether fit and proper persons are providing gambling services, national security, consumer harm and whether casinos contribute a net economic benefit.
Crown is well-connected to both sides of politics, having hired the former Labor national secretary Karl Bitar as a lobbyist in 2011 and with the former communications minister Helen Coonan sitting on its board.
In 2015-16 Crown donated more than $60,000 to the Labor party, including $11,000 to the Victorian branch. Crown also donated $108,306 to the Liberal party nationally, including $30,360 to its Victorian division.
At a press conference the Greens leader, Richard Di Natale, said it was “remarkable” that Labor and the Coalition had opposed an inquiry and attributed it “to the big donations they get from the gambling industry”.
“Today the gambling industry hit the jackpot, it’s payday, they’ve managed to call in those massive donations ... that’s why we’ve seen no response from the government.”
Asked whether the public could have full confidence that Labor and the government would be tough on Crown, given the extent of their influence and donations, Shorten said it was “a ridiculous statement”.
“This is not a question about investigating the allegations. It’s a question who is best placed to investigate them,” he said. “You don’t send the Senate to do a job that the police have got to do or that the state regulator’s got to do.”
In a statement to the ASX on Thursday, Crown Resorts Ltd rejected the allegations made by Wilkie concerning the improper manipulation of poker machines and other illegal or improper conduct at Melbourne’ Crown casino.
“Crown calls on Mr Wilkie to immediately provide to the relevant authorities all information relating to the matters alleged,” it said.