Diane Smith-Gander, chair of buy now, pay later company Zip Co and Chancellor of the University of Western Australia, has provided a character reference supporting former Star Casino chief executive Matt Bekier amid a Federal Court penalty hearing. The court is considering sanctions against Bekier and former senior lawyer Paula Martin following findings they breached their duties concerning the casino’s handling of money laundering risks.

Federal Court Judge Michael Lee ruled in March that Bekier failed to address deficiencies identified in a KPMG report detailing weaknesses in Star Casino’s processes for managing money laundering and terrorism financing. The judgment criticized Bekier’s testimony, describing his responses as increasingly evasive and noting limited due diligence on junket operators, with minimal verification of participants' sources of funds. Bekier has acknowledged ultimate accountability for the company’s policies, processes, and culture, but plans to appeal the court’s decision.

Bekier faces a proposed $1.3 million fine and an eight-year ban from managing corporations. He argues these penalties are disproportionate and contends a $250,000 fine and an 18-month disqualification would be more appropriate, drawing comparisons to fines imposed on other former Star executives. Chief financial officer Harry Theodore and chief casino officer Greg Hawkins each settled with the Australian Securities and Investments Commission (ASIC), receiving fines of $180,000 and $60,000, respectively, ahead of a planned 2025 trial.

Smith-Gander, who has known Bekier since 1996 when he was a McKinsey consultant and she worked at Westpac, described him as diligent and ethical. In an affidavit, she highlighted Bekier’s role in promoting female executives during his tenure at Star and praised his contributions to Indigenous employment initiatives in collaboration with non-profit organizations. She stated she had never harbored concerns about his integrity.

Australian art dealer Michael Reid, a longtime friend of Bekier since the early 1990s, also submitted a reference expressing confidence in Bekier’s character. Reid noted the personal toll the proceedings have taken on Bekier and his family, citing the impact of public criticism on his three daughters. He asserted that any of Bekier’s failures were wholly unintentional.

The court is also addressing sanctions against Paula Martin, though details of her penalties remain under consideration. Meanwhile, a broader case brought by ASIC against Star Casino’s seven board members, including chairman John O’Neill, was dismissed by Justice Lee, who found no breach of their duty of care and diligence.

Bekier’s affidavit from May 15 reveals his recognition that the ongoing legal proceedings have greatly diminished his prospects for senior executive roles internationally. He cited consultations with executive recruiters across Australia, the United States, Switzerland, France, and the Middle East as confirming his diminished career opportunities.

As the Federal Court weighs penalty submissions, Justice Lee remarked on Bekier’s apparent belief that he had committed no wrongdoing. Representatives for Smith-Gander, Reid, and Bekier have not responded to requests for comment.