Counsel assisting the inquiry Naomi Sharp,SC,has also taken James Packer to a report that raises concerns about organised crime and junket operators.
Sharp reads from the report:The Australian Federal Police had advised that junkets present an opportunity for the injection of tainted funds at various entry points,including junket participants,the junket operators and a source in Australia.
Sharp: And do you agree or disagree with that observation?
Packer says he has to agree.
Sharp then asks:Junket operations in Australian casinos are vulnerable to organised crime to launder money. Do you agree or disagree with that.
Packer:I thought we had better compliance than we did.
Sharp:Did you understand that that risks of infiltrated by organised crime was always there?
Packer:Yes,Ms Sharp.
Sharp then takes Packer to an article that quote Martin Purbrick,the former chief of security at the Hong Kong Jockey Club.
Sharp:And he's recorded as saying … if they have no idea that Macau casino junkets have a background in organised crime and have allegations of money laundering,then they clearly haven't looked at the internet or the news for about 20 years. Do you agree with that observation?
Packer:No.
Sharp:Since the earliest times of your involvement with Melco Crown,have you understood that a number of Macau casino junkets have links with organised crime?
Packer:I’ve understood that there were rumours.
Sharp:And you have been aware of those rumours the entire time you’ve had involvement in Melco Crown.
Packer:Yes.