Australia’s Star Entertainment Group has announced further upheaval within its senior leadership, with the company confirming the departure of two top executives as it continues to restructure following heavy financial losses and regulatory pressure. The changes arrive shortly after the casino operator finalized the appointment of Bruce Mathieson Jnr as its new chief executive officer.

The company said Chief Financial Officer Frank Krile resigned and left the business effective immediately, ending a one-year tenure marked by efforts to stabilize the group’s finances. At the same time, Group Chief Operating Officer Jeannie Mok also stepped down and is scheduled to leave the organization at the end of January 2026. Star stated it has begun the process of identifying a new CFO and will provide updates to the market as the search progresses.

Leadership turnover during a fragile recovery

The exits come during a volatile period for Star, which operates major casinos in Sydney, Brisbane, and the Gold Coast. The company has faced sustained scrutiny from regulators over governance failures and compliance breaches, prompting a remediation plan aimed at restoring confidence among authorities and investors.

Mathieson Jnr, whose appointment was confirmed earlier this month, publicly acknowledged the contributions of the departing executives. “I would like to thank Frank and Jeannie for their significant contribution to the business and particularly their assistance in progressing our remediation plan,” he said according to Reuters.

Mathieson Jnr replaced Steve McCann, who left the company after less than two years in the role. McCann’s departure followed a period in which Star recorded a loss of $427.9 million in the most recent financial year, a result that contributed to a steep fall in the company’s share price. Over the calendar year, Star shares dropped by about 45 percent, hitting lows near 10 Australian cents.

The company’s stock again showed weakness following the latest announcement, sliding as much as 3.9 percent to A$0.125 in trading after the resignations were disclosed.

Shareholders and executive reshuffling

Star’s leadership changes are closely tied to a broader rescue effort backed by its largest shareholders. U.S.-based Bally’s Corporation and the Mathieson family together hold controlling stakes of 38 percent and 23 percent respectively. Both played central roles in supporting a $300 million rescue package approved in November, which helped the casino group avoid collapse.

The funding agreement triggered significant boardroom movement. Initially, Mathieson Jnr was placed into the role of executive chairman, a position he held briefly before Bally’s chairman Soo Kim assumed that role. Mathieson Jnr then transitioned into the chief executive position, becoming Star’s fourth CEO in three years.

Soo Kim was appointed chairman earlier this month, and Bally’s president George Papanier also joined the board as a director. The board has confirmed Mathieson Jnr’s role as CEO and managing director, pending regulatory and ministerial approvals in New South Wales and Queensland.

Pay details and regulatory risks

Under his contract, Mathieson Jnr will receive an annual base package of A$800,000. The agreement also includes performance-based incentives, with short-term bonuses linked to results and longer-term incentives vesting over three years through 2028. His contract contains a 12-month non-compete clause and requires a year’s notice in the event of termination.

While Star works to reset its leadership, financial risks remain significant. The company is still awaiting the outcome of enforcement action by Australia’s financial crimes watchdog over historical breaches of counter-terrorism financing and anti-money laundering laws. Regulators could impose a fine of up to $400 million.

Star has warned that even penalties far below that level would place severe strain on its finances, though the timing and size of any fine have yet to be finalized.

As the casino group navigates executive departures, shareholder influence, and regulatory uncertainty, the coming months are expected to test whether its revamped leadership can deliver stability after years of disruption.