Regulators will conduct a thorough review of whether Crown Limited (ASX:CWN) should be allowed to own more than the current 10 per cent ownership cap placed on Echo Entertainment Group Limited (ASX:EGP).
According to a report by The Age, Queensland’s Office of Liquor and Gaming Regulation says a decision won’t be possible before the March 24 state election. The regulator says that although Crown is involved in other casino operations, a thorough investigation still needs to take place.
The NSW Independent Liquor and Gaming Authority will also conduct its own review, says the paper. The authority is currently investigating the circumstances surrounding the departure of former Managing Director of The Star, formerly Star City Casino, Sid Vaikunta. Echo says Mr Vaikunta’s employment was ended after his behaviour in a social setting.
Crown reported a net profit of $274 million for the half year to December, 2011.
