Crown Resorts Shareholder Group Proceeding (Class Action)

Group proceeding (class action) brought on behalf of persons who acquired or held shares in Crown Resorts Limited (Crown Resorts) during the period between 11 December 2014 and 18 October 2020 (inclusive).

The claim alleges that the defendant made misleading or deceptive statements relating to its compliance with the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 (Cth) and associated instruments (AML/CTF Laws). It is alleged that Crown made misleading representations during the relevant period about its systems and processes for compliance with anti-money laundering obligations under the AML/CTF Laws (including in its 2014-2020 annual reports and statements to the ASX), in particular in relation to its ‘VIP International Business’ and the ‘Crown Junket Program’. The alleged non-disclosures are also claimed to be breaches of continuous disclosure obligations, and to be oppressive as contrary to the interests of group members as a whole.

The claim follows the fall in the price of Crown Resorts shares following its announcement to the market on 19 October 2020 that AUSTRAC had initiated a formal enforcement investigation into Crown Melbourne’s compliance with the AML/CTF Laws.