Casino case likely to spark inquiry, by Jason Dowling and Kate Lahey - The Age - 22nd May 2009

Victoria's gambling authority is expected to investigate the explosive case of a property developer who is suing Crown Casino.

Gaming Minister Tony Robinson said yesterday he was concerned about claims made in court.

Harry Kakavas, 42, is suing Crown, its chief executive Rowen Craigie and chief operating officer John Williams for about $35 million.

He claims they knew of his gambling addiction but lured him to the casino with incentives, including the use of a private jet and boxes of $30,000 to $50,000 in cash.

"Any gaming minister in Victoria would be concerned with those claims," Mr Robinson said. "We take those very seriously. However at this stage they are claims and I note there are also counter-claims."

Crown is counter-suing Mr Kakavas for $1 million and argues he did not have a pathological addiction when he asked to return to the casino after a long exclusion, then turned over almost $1.5 billion in 15 months, ultimately losing $20 million.

Mr Robinson said he expected the Victorian Commission for Gaming Regulation to use its wide powers to investigate and act if necessary.

The commission, which has the power to revoke Crown's licence, has not yet said if it will launch a formal investigation. In its most recent review of the casino's licence, it said it would "closely monitor" the Kakavas case.

Yesterday, the Supreme Court heard claims that Crown used different bank accounts to allow heavy gamblers to disguise their betting habits.

Mr Kakavas said he borrowed millions of dollars from friends to support his gambling addiction, and their cheques were made payable to Southbank Investments.

PBL Finance was also used to disguise the funds, the court heard. "Southbank Investments is another company the casino uses so players are able to camouflage the funds," Mr Kakavas said.

Mr Robinson would not say whether the Government intended to chase the $700 million Mr Kakavas won at Crown during the 15 months he was an "interstate excluded person" whose winnings should have been forfeited.

Opposition gaming spokesman Michael O'Brien said Victorian taxpayers were missing out on the $700 million because Premier John Brumby was "asleep at the wheel".

The trial continues next week. (Credit: The Age)

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