Shareholders File Lawsuit Against Crown Resort Limited
A month after delaying opening a new development facility, Crown Sydney Resorts, an Australian development, and casino operator has come under law attacks from a lawsuit filed by a group of stakeholders.
An Asian gaming source reported from a Sydney morning paper that investors who were unhappy filed the legal suit with the Victorian Supreme Court claiming that the new development facility and partnership had significant effects on the value of their associated investments. They lamented that their stocks had significantly plummeted due to decisions made by the company’s senior management.
The source also detailed that the complaint was issued by a local law firm known as Maurice Blackburn Lawyers, which sought to obtain an order to compel Crown Resorts Limited to redeem its pledge to the aggrieved shareholders by issuing a share buyback initiative.
Crown Resorts Limited had been rumoured to begin the process of welcoming gamblers to its new facility worth over 1.5 billion dollars. They put the welcome event on hold due to the new order released by the New South Wales independent liquor and gaming authority. This gaming authority gave the command to await the final judgment from the official lawsuit filed against Crown Resorts. The decision was to be delivered by a supreme court judge who had formerly worked for New South Wales, Judge Patricia Bergin. She was also entrusted with confirming the suitability of the license given to Crown Resorts Limited.
The shareholders whose names are withheld for security reasons alleged that Crown Resorts Limited senior leadership’s action had negatively impacted them and affected a significant percentage of their profits. The shareholders explained that the company’s leadership had been cheating them for six years, explaining that the gambling company that was listed in Sydney assured them that they would utilise the best anti-money-laundering protocols in carrying out their transactions.
This trust was seemingly broken by the leadership, which exposed itself to criminal activities on its platform and bank accounts.