James Packer, a billionaire with interests in the casino industry, had a tumultuous relationship with the South Asian nation of Sri Lanka. In 2015, the Sri Lankan government revoked tax breaks for a $350 million casino project led by Packer, prompting him to withdraw from the venture. This led to then prime minister Ranil Wickremesinghe declaring Packer persona non grata. Despite this setback, Packer’s departure opened the door for Hong Kong-based Melco Resorts to announce plans for a $1 billion casino project in Colombo, known as Field of Dreams.
Melco Resort’s involvement in the casino industry is not new. In 2019, the company, led by Laurence Ho, agreed to purchase a 19.9% stake in Crown, a casino company previously owned by Packer, for $1.7 billion. However, an investigation into potential links to organized crime involving Stanley Ho, the father of Laurence Ho, prompted Melco to sell their stake to Blackstone at a significant loss. Ultimately, Blackstone acquired control of Crown when Packer decided to exit the gambling industry altogether.
Political lobbyists in Australia are gearing up for the annual budget week in Canberra, with many former Labor Party members taking on prominent roles. While the ALP currently holds power federally and in most states, Liberal-aligned lobbyists are facing a challenging environment. Notable lobbyist Christopher Pyne has successfully transitioned into a career working for the military industrial complex, while lobbying firm Barton Deakin, associated with former Prime Minister John Howard’s chief of staff Grahame Morris, has seen a decline in clients and closed its Canberra office in the past year.
Despite the challenges facing Liberal-aligned lobbying firms, Barton Deakin remains optimistic about its future prospects. The firm, which exclusively works with the Coalition, is part of the WPP group, which also owns Labor-aligned Hawker Britton. The current downturn in business is seen as a reflection of the political cycle, with hopes for increased activity in Queensland following the upcoming election. Additionally, the success of conservative leader Christopher Luxon in New Zealand has provided some encouragement for Barton Deakin as they navigate the changing political landscape.
Overall, James Packer’s exit from the Sri Lankan casino project and the subsequent involvement of Melco Resorts, along with the challenges facing political lobbyists in Australia, reflect the complex interactions between business, politics, and the gambling industry. As the landscape continues to evolve, stakeholders must adapt to new circumstances and opportunities, while navigating the intricacies of regulatory scrutiny and shifting political dynamics. The coming months will likely bring further changes and developments in these interconnected sectors, shaping the future of gaming and lobbying in Australia and beyond.
