Crown Resorts Ltd (CWN) shareholders can register online to recover compensation after the listed company’s share price plunged on the back of revelations in October 2016 that several Crown employees were detained in China on suspicion of engaging in illegal marketing of its gambling services.
Update – Proposed Settlement
On 29 October 2021, the parties to the Crown (China Arrests) Class Action announced that they had reached an agreement to settle the class action. The proposed settlement is for $125 million (inclusive of interest and costs) and remains subject to Court approval.
A case management hearing is scheduled for 23 November 2021. At this case management hearing, the Court will likely set a date for the settlement approval hearing, as well as a deadline for group members to register to participate in the proposed settlement.
For further information about the settlement, please see the media release here.
Update 14 December 2020:
Maurice Blackburn files second class action against Crown Resorts over money laundering risk allegations:
If you are a group member in the Crown (China Arrests) Class Action, you are a class member in the Crown Money Laundering Risk Class Action (Crown Resorts II Class Action) filed on 11 December 2020, but you will need to register separately for both cases.
Please click here for information about the Crown Resorts II Class Action.
Maurice Blackburn has filed a class action against Crown Resorts Ltd (ASX: CWN) on behalf of shareholders after the listed company’s share price fell dramatically on the back of revelations in October 2016 that 19 Crown employees were detained in China on suspicion of engaging in illegal marketing of its gambling services.
Crown shares fell nearly 14 per cent in a day, on 17 October 2016, following confirmations of the detention of Crown staff in China, reportedly for activities designed to court Chinese VIP gamblers. Following their initial detention, the 19 Crown employees pleaded guilty to the commission of gambling offences contrary to the Criminal Law of the People’s Republic of China, and were convicted by the Baoshan District Court in June 2017.
The class action alleges contraventions of the ASIC Act and the Corporations Act, in seeking to establish that Crown engaged in misleading or deceptive conduct and/or breached its continuous disclosure obligations with respect to its operations in China.
The proceeding alleges that Crown knew or should have known of the risks it was incurring through its illegal operations in China, and the resultant risks posed to the company’s revenue streams. The Applicant alleges that the ASX and shareholders should have been informed of those risks by Crown in accordance with their legal obligations.
Shareholders that purchased Crown shares in the period 6 February 2015 to 16 October 2016 can register to participate in the class action.
T: 1800 228 665
Crown Class Action Team
Level 21, 380 La Trobe Street
Melbourne VIC 3000