Star Entertainment Group CEO Jessica Mellor Resigns Amid Ongoing Inquiry

Jessica Mellor, the CEO of The Star Gold Coast and the first female to hold the position, has announced her resignation effective May 24, 2024. Mellor's departure comes as the Star Entertainment Group faces a second inquiry into the suitability of its Sydney casino to hold a license, with revelations about a lack of leadership to drive necessary cultural change across the organization.

Mellor, who was also the youngest CEO in the company's history, had been instrumental in developing the $2 billion masterplan for The Star Gold Coast and navigating the challenges posed by the COVID-19 pandemic. Her resignation memo to staff expressed "tremendous pride" in her team and "deep love" for the company.

The Star Entertainment Group has been grappling with the fallout from misconduct allegations and regulatory breaches, leading to the resignations of key executives, including CEO Robbie Cooke and CFO Christina Katsibouba. An expert in cultural transformation, Dr. Attracta Lagan, described Star Entertainment Group's efforts as "paling into insignificance" compared to those of Crown Resorts in rebuilding their organizations.

During the ongoing inquiry, it was revealed that Star Entertainment Group chair David Foster and former CEO Robbie Cooke had plotted to oust special manager Nicholas Weeks. Foster, who commented on Mellor's tenure, has requested a leave of absence from his role as chair at Bendigo and Adelaide Bank.

Why this matters: The Star Entertainment Group's leadership upheaval and the ongoing inquiry into its corporate culture and regulatory compliance have significant implications for the company's ability to retain its casino licenses and maintain public trust. The departure of key executives like Jessica Mellor further underscores the challenges the company faces in implementing meaningful cultural change and meeting regulatory standards.

Ian Brown, the general manager of gaming at The Star Gold Coast, will assume additional duties as acting CEO until a permanent replacement for Mellor is appointed. The Star Entertainment Group acknowledged Mellor's contributions, with Executive Chair David Foster stating, "Jessica has led The Star Gold Coast through challenging times, including the COVID-19 pandemic, and has been instrumental in developing the Gold Coast property into an iconic world-class integrated destination resort."

Key Takeaways

• Jessica Mellor, CEO of The Star Gold Coast, resigns effective May 24, 2024.
• The Star Entertainment Group faces a second inquiry into its Sydney casino's suitability.
• Mellor was the youngest CEO in the company's history and led its $2B masterplan.
• The group faces fallout from misconduct allegations and regulatory breaches, leading to executive resignations.
• Ian Brown, the gaming GM, will serve as acting CEO until a permanent replacement is found.