Crown has confirmed a requirement under its Casino Management Agreement to sub-lease its Melbourne casino complex to a new casino if its licence is revoked.
The company argues this would also have the potential to trigger events of default.
In the casino's submissions, Crown has confirmed that, as per its Casino Management Agreement, the state may require Crown to grant a sub-lease of the “Melbourne Casino” to any new casino operator.
This refers to “those areas of the Melbourne Casino Complex which constitute a casino and includes the areas in which money counting, surveillance, storage and other activities related to the conduct and playing of games are carried on,” it says.
Crown argues “cancellation of the licence followed by a requirement to sub-lease would not be in the public interest, for the reasons referred to in Crown’s Closing Submissions, and would also have the very real potential to trigger events of default under Crown’s debt facilities.”
The Victorian Royal Commission is expected to report its findings and any recommendations by 15 October 2021.
Elsewhere, a gambling addict who was asked to be banned from Melbourne’s Crown Casino due to extensive debt is now suing the casino for more than AU$4.5m (US$3.30m), after the Crown continued to encourage betting.
