Damages for SkyCity's AML CTF 
The deal calls for five days of closure at SkyCity Auckland this year. Although the exact date of this is unclear, confirmation was given that the closure will end the case involving the licence suspension. 

An ex-customer of SkyCity Auckland's lodged a complaint with the DIA in February 2022, which is relevant to the licence suspension application. Between August 2017 and February 2021, the casino was in violation of responsible gaming regulations. 

After reviewing the matter, the secretary of internal affairs sought to provisionally revoke the casino licence of SCML, a SkyCity affiliate. There were worries about being able to detect nonstop gambling at the casino, it added then. The request to suspend was submitted in September 2023. 

The closure is anticipated to have a negative impact on the firm's underlying group EBITDA in FY2025 results, amounting to around NZ$5.0m (£2.3m.€2.8m/$3.0m) in total. 

Since this is the case, SkyCity has revised its FY2025 projection, saying that underlying group EBITDA will be between $245.0m and $265.0m. Prior estimates ranged from NZ$250.0m to NZ$270.0m, therefore this is a decrease. 

The SkyCity settlement: what's in it? 
As part of the settlement, SkyCity and SCML admitted they were in violation of responsible gambling regulations and stated that the particular failure of continuous play was caused by a design flaw in their technological system, which has since been fixed. 

Additionally, SCML acknowledged that it was unable to detect continuous play using its technological method in conjunction with staff observation and intervention. Also, the secretary of internal affairs was formally apologised to for the situation. 

The DIA commended SkyCity for its "swift" response and system improvements in its own response to the matter. 

"The work SkyCity has done to lift its performance in this area and its public commitment to continue to improve," the DIA added, expressing encouragement. 

Improving risk management is a priority for SkyCity. 
According to SkyCity chair Julian Cook, the closure will put an end to the topic, and the company has implemented new procedures to prevent similar problems in the future. 

He stated that there is still a lot of work that has to be done to improve the risk mechanisms, particularly in regards to how we deal with financial crime and problem gambling. 

Focus, resources, and investment have all been areas where SkyCity has consistently failed to meet expectations. We are dedicated to properly resolving this as it is incompatible with our regulatory responsibilities and our broader social license. 

To improve its risk management across the board, SkyCity began a multi-year transformation effort in 2021. Among these measures is the formation of a specialised risk and compliance committee and the appointment of additional directors with extensive expertise in this area. Additionally, SkyCity has established a group chief risk officer and enhanced its internal and external auditing capabilities. 

Not only that, but all of SkyCity's New Zealand casinos will be subject to forced cardied play. Midway through 2025, this will transpire, and by the year's end, its casino will be up and running in Adelaide, Australia. 

On the other hand, SkyCity named seasoned gambling executive Jason Walbridge CEO starting in July, an announcement that was made in April. Michael Ahearne has departed the organisation, and Walbridge is taking his place. 

"We are dedicated to making sure that our employees and customers are safe and that we operate in a responsible manner," stated SkyCity COO Callum Mallett. "Our cooperative and constructive engagement with our regulators will continue."