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Crown admits failures ahead of WA hearings

Michael RamseyAAP
Crown is facing a West Australian royal commission into its suitability to hold a casino licence.
Camera IconCrown is facing a West Australian royal commission into its suitability to hold a casino licence. Credit: AAP

Crown has accepted responsibility for its "failures" as it prepares to face a West Australian royal commission, days after being told it could lose its Melbourne casino licence.

The WA inquiry resumed on Monday with opening statements before the second phase of evidence.

These hearings will focus on the suitability of Crown Perth to hold the state's casino licence, with the inquiry having previously examined WA's regulatory settings.

Former Crown director and prominent Perth businessman John Poynton will be the first witness called when he fronts the inquiry on Wednesday.

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Counsel assisting the commission Patricia Cahill SC told the inquiry the hearings would cover allegations of money laundering, junket operations, Crown's reporting of suspicious transactions and its management of problem gambling.

A Victorian royal commission was last week told Crown was not suitable to hold a licence for its Melbourne casino.

Kanaga Dharmananda SC, representing Crown, told the WA royal commission on Monday the company was addressing deficiencies aired in the NSW Bergin report and subsequent inquiries.

"Crown accepts responsibility for its failures and is working earnestly to change," he told the inquiry.

"It is not adopting a posture of defiance."

Mr Dharmananda noted the recent turnover of directors on Crown's board, claiming the "ways of old have been set aside" and work had been done in the monitoring of transactions, regulatory reporting and corporate culture.

Peter Ward, representing Mr Poynton, said his client had no knowledge about a bank account allegedly used to facilitate money laundering at Crown Perth.

He said it should be noted that the Bergin inquiry had made no adverse findings concerning his conduct.

Mr Poynton resigned from Crown's board in March, claiming he had been placed under "significant pressure" to do so by Crown chair Helen Coonan and the NSW regulator.

"That resignation should in no way be taken to be an admission that he had cause to resign," Mr Ward said.

"To the contrary, Mr Poynton considered it to be in the best interests of Crown that he ... could quite properly help guide the company out of those difficulties and to address the cultural issues that have since attracted so much criticism.

"Unfortunately, he was not afforded that opportunity."

Mr Poynton also denied through his lawyer that he was putting together a possible bid for the Perth casino in the event that Crown was forced to divest itself.

The inquiry had been due to present its final report in mid-November but that timeline has been extended to March 4, 2022.

Premier Mark McGowan said this would allow full consideration of the findings of the Victorian royal commission, which will not report until October 15.

An interim report by the WA commissioners has been handed to the McGowan government and is expected to be tabled when parliament resumes next month.

The findings will deal substantially with the adequacy of existing casino regulations.

Ms Coonan is expected to give evidence next month.

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