Two Sydney casino operators have been fined after a 16-year-old boy was able to enter their venues and gamble, according to the NSW Independent Casino Commission (NICC).

The regulator reported on Wednesday, 19 August, that Crown Sydney had been fined A$1.75 million (US$1.25 million) for allowing a minor to enter the casino and gamble on at least 19 separate occasions. The NICC said the same minor made at least three trips to The Star Sydney, where he also gambled. The Star Sydney was fined A$500,000.

What the regulator found

According to the report, the teenager reportedly bypassed security using fake identification. During his visits to Crown Sydney, he reached Silver Tier status in the Crown Rewards program, which requires 10,000 casino points. He was also served complimentary alcohol.

The NICC said both casinos accepted responsibility for the failures. NICC Chief Commissioner Philip Crawford said the regulator acknowledged that both had accepted responsibility "for the significant failures in their identity verification and customer onboarding processes" that allowed the minor to enter their venues repeatedly and over a significant period.

"The breakdown in safeguards that allowed a vulnerable young person to repeatedly access casino gaming areas and suffer actual harm is unacceptable." – Dimitri Argeres, executive director of regulatory operations, Liquor and Gaming NSW

The NICC also said effective identity verification is essential not only to keep minors out of casinos but also to detect and prevent criminal activity.

The company response

Crown Sydney said it self-reported the minor's access after determining that fraudulent identification had been used. A spokesperson told the Australian Broadcasting Corporation that the casino takes its obligations on minors and false identification "extremely seriously", notified the regulator after becoming aware the individual was underage, and has co-operated with the investigation. That statement is the company's own account. The source material does not include a comment from The Star Sydney.

What is not clear

The source does not say how much the teenager gambled at either venue. It states that it is not clear how much he wagered at Crown Sydney to reach Silver Tier. Silver is one level above the entry-level Member tier, and the Crown Rewards program has five tiers, from Member to Black. Crown Sydney says points on table games are earned based on the game, average bet and time played. The venue has table games only and no slot machines.

The material also does not specify how the minor was detected, over what period the visits took place, or whether alcohol or rewards membership were issues at The Star Sydney. The reported details of alcohol service and rewards enrolment relate to Crown Sydney.

Wider regulatory context

The case comes as Australia's two major casino groups, Crown Resorts and Star Entertainment, continue to face scrutiny. According to Casino.org, several government inquiries in recent years resulted in more than A$100 million in fines against the casinos. Those findings were that they failed to prevent their properties being used by criminal organisations to launder money and had serious shortcomings in protecting against problem gambling.

Online casino services are prohibited in Australia under the Interactive Gambling Act 2001. This case concerns licensed, land-based casinos in NSW, where operators are responsible for verifying the age and identity of patrons at entry and on enrolment in rewards programs.

People affected by gambling harm can contact Gambling Help Online on 1800 858 858.