Queensland and federal regulators are investigating the anti-money laundering controls of casino operator Star Entertainment.
Attorney-General Shannon Fentiman says a probe has been launched to assess the company's due diligence after Nine media reports earlier this week said alleged criminals were benefiting from Star's lax anti-money laundering controls.
The company operates The Star Gold Coast and Treasury Brisbane and the Star Sydney at Pyrmont.
Ms Fentiman says the Office of Liquor and Gaming Regulation, police and Australian Transaction Reports and Analysis Centre, the federal regulator, are looking into the company.
"These investigations will consider the appropriateness and effectiveness of Star's due diligence processes and how the Star approaches exclusions to ensure people are excluded from all properties where appropriate," she told parliament on Wednesday.
"This is in addition to the further compliance inquiries and activities relating to Queensland casinos that have commenced earlier this year following the Bergin inquiry into Crown Casino in NSW - and this work is continuing.
"I will continue to closely monitor the Finkelstein Inquiry in Victoria and the related inquiries being undertaken in Western Australia and NSW."
Star has said the media reports were misleading, although it could not publicly discuss individual allegations.
The company said it would address the allegations with regulators including Adam Bell SC, who is reviewing controls at The Star Sydney casino for NSW regulators.
Mr Bell was lead senior counsel in a NSW inquiry into Crown Resorts' Sydney casino. That inquiry discovered serious failings in anti-money laundering controls and prompted royal commissions in Victoria and WA.
Mr Bell's review of The Star casino will determine whether the operator is suitable to hold the licence.
Nine's reports allege Star Entertainment had similar failings to rival Crown.
The reports claimed consultants in 2018 told the board the anti-money laundering and terror financing controls were failing. The reports said little had been done since.
Star said it traded in a heavily regulated industry and its operations were often checked and reviewed.
In better news for the group, the Sydney casino has re-opened after coronavirus rules eased in NSW. It had been closed since June 25.
The venue is trading at limited capacity and with virus conditions.
The Queensland casinos, which have continued trading, had capacity limits raised on Friday.
Customers at the Queensland casinos helped Star recently turn a full-year profit after a loss the prior year.