Brian Martin KC’s investigation into SkyCity Adelaide’s suitability to hold a casino licence has resumed, days after the gambling company was given a $67 million fine in a federal money laundering probe.

Martin’s investigation was placed on hold in February last year while AUSTRAC action against the company was ongoing, after he advised that he could not determine questions of SkyCity’s suitability “reliably” until the Federal Court proceedings were resolved.

Last Friday, the court found SkyCity Adelaide’s anti-money laundering and counter-terrorism financing programs failed to meet the legislation’s requirements and ordered the company pay a $67 million penalty, which was proposed to the court after an agreement with the federal financial crime regulator.

With the AUSTRAC proceedings now concluded, Acting Liquor and Gambling Commissioner Fraser Stroud wrote to Martin requesting he restart his investigation.

Martin has been given until 31 December 2024 to make a determination on SkyCity’s suitability to hold the Adelaide casino licence.

In a statement to shareholders, SkyCity said it would “continue to cooperate with Consumer and Business Services and the Acting Commissioner in relation to the independent review”.

Acting Liquor and Gambling Commissioner Fraser Stroud said Martin would take into consideration work done by advisory firm Kroll Australia, which was appointed to oversee SkyCity Adelaide’s work in addressing deficiencies in its anti-money laundering and counter-terrorism financing obligations after the local investigation was put on hold.

“Given the AUSTRAC proceedings have now been finalised, I have determined that Mr Martin’s review should recommence,” Stroud said.

“Given his knowledge and understanding of the subject matter and the considerable work he had done prior to the AUSTRAC proceedings beginning, resuming this work will be the most effective way to determine the suitability of the casino licensee.”

Consumer and Business Affairs Minister Andrea Michaels said the “serious and systemic issues raised in the AUSTRAC proceedings simply cannot be ignored”.

“They are unacceptable and do not meet our expectations of how the holder of South Australia’s only casino licence should be acting,” she said.

“This independent investigation will be crucial in determining the regulator’s next steps.”

Earlier this year, Michaels introduced a Bill to State Parliament that would increase maximum fines faced by Adelaide’s casino operator from $100,000 to $75 million.

If passed, it would be the first time the legislation has been updated since it was introduced in 1997, with Michaels saying the huge increase to fines available to the SA Liquor and Gambling Commissioner was made to bring South Australia in line with penalties interstate.

At the time, the minister said the proposed update to the Casino Act (1997) was retrospective, and noted that being the state’s only casino licence holder was a “privilege”.

“The community has certain expectations about the behaviour of our casino licence holder,” she said at the time.

“What we want to see is a greater level of accountability and we’ll see that through these increased fines.”