A former executive at Crown Resorts has failed in her attempt to recover years of accrued interest on a gambling debt from a Chinese billionaire, labeled as the “largest and fastest” loss ever recorded at an Australian casino.
In a rapid series of bets at Crown Perth’s VIP baccarat tables in late February 2015, businessman Huang Youlong reportedly lost AU$60 million (approximately US$41.7 million), as outlined in court documents.
Crown’s marketing vice president, Chua Eh Fong, claimed in a civil lawsuit that she personally entered into verbal credit agreements with Huang, which allowed her to impose 24% annual interest after he defaulted on repayment.
Denied Credit Facilities
Huang – the former spouse of actress Zhao Wei and a businessman with ties to Alibaba founder Jack Ma – was denied direct gaming credit by Crown due to outstanding debts elsewhere, as per court records.
Instead, Chua facilitated credit through the now-defunct junket operator Suncity, which provided the bankroll for Huang’s gambling. Investors related to the junket, including some of Chua’s family members, had secured funds to guarantee this credit.
Huang initially lost AU$40 million in gaming chips within two days and subsequently borrowed an additional AU$20 million in a failed attempt to offset his losses.
In a ruling dated June 30, Hong Kong’s Court of First Instance dismissed Chua’s claim, determining that the money owed was to the now-defunct Macau junket Suncity, not to her personally.
Deputy High Court Judge Alan Kwong concluded that the credit was extended by Suncity, establishing the junket as the legal creditor. The judge found no proof of the oral credit agreements Chua referenced in her complaint.
He characterized her claims as “afterthoughts” that lacked alignment with “basic commercial logic and common sense.”
According to legal documents, Huang eventually settled the entire debt directly with Suncity between February 2016 and November 2019.
Insight into the Junket System
This case provides insights into the operational dynamics of the VIP junket system that once supported Australia’s casino sector, prior to Crown’s severing of ties with junket operators amid extensive regulatory scrutiny.
Instead of offering credit directly to high-risk gamblers, Crown depended on junket operators like Suncity to shoulder the financial burden.
These relationships later prompted royal commission-style investigations in New South Wales, Victoria, and Western Australia, leading to findings that deemed Crown unsuitable for casino licenses due to failures related to money laundering, junket affiliations, and corporate governance.
Suncity, once the preeminent junket operator in Macau, collapsed after its CEO, Alvin Chau, received an 18-year prison sentence on charges of fraud, illegal gambling, and organized crime in January 2023.