SkyCity Adelaide review delayed to May 2025 as further litigation talk grows

A review of SkyCity’s suitability to continue to operate its casino in Adelaide will no longer be finished by the end of the year. Photo / Supplied

A review of SkyCity’s suitability to continue to operate its casino in Adelaide will no longer be finished by the end of the year.

In an announcement to the New Zealand Exchange (NZX) SkyCity said the review would now be completed by the end of May.

Former South Australia Supreme Court Judge Brian Martin’s review of SkyCity’s Adelaide operations had previously been expected to be finished by December 31, but SkyCity said Martin had now been given an extension to the end of May 2025 to complete his review.

“As previously flagged to the market on 31 October 2024, it is possible that Mr Martin’s findings may be unfavourable,” SkyCity said in its statement.

“However, prior to any final report being provided by Mr Martin, it is not possible to determine the outcome of the independent review and what regulatory action, if any, might be applied to SkyCity Adelaide and SkyCity.”

Martin has been commissioned by the South Australian Liquor and Gambling Commissioner to conduct a review into whether SkyCity Adelaide and SkyCity Entertainment Group are suitable casino licence holders.

Litigation talk grows

Earlier this month The Australian reported Litigation Capital Management was also advertising for SkyCity shareholders to join a legal claim it was planning to launch against SkyCity’s former directors and officers that related to the company’s failures at its Adelaide casino.

The Australian Transaction Reports and Analysis Centre (Austrac) — which monitors anti-money laundering compliance in Australia — launched a civil case against SkyCity in 2022.

Martin’s review was paused while the court case took place, but then resumed after the case was settled.

SkyCity settled the case by agreeing to pay a A$67 million (NZ$73.92m) civil penalty.

At SkyCity’s AGM in October, SkyCity chairman Julian Cook said resolving regulatory issues and improving the company’s compliance with regulations would be a key focus for the group.

“Our regulators, shareholders, customers and wider stakeholders need to have confidence that we fully understand the causes of these historical failings, that we have a coherent plan to address these, and that our culture will put compliance ahead of short-term profits.”

At the same AGM, SkyCity CEO Jason Walbridge said he believed being “open and transparent” with regulators was the best approach.

“My message to SkyCity’s regulators has been that they will know as soon as we know.”

SkyCity reported a total net loss of $143.3m in its most recent full-year results, a significant change from last year’s profit of $8m.