Sydney's The Star casino is being hauled before the courts for allegedly breaching laws designed to combat problem gambling.
The Office of Liquor, Gaming and Racing (OLGR) claims The Star handed out thousands of dollars in cash prizes in its high rollers room.
The prosecution follows an investigation into a promotional lottery to mark Chinese New Year, which ran from February 1 to March 13.
The lottery was open to casino patrons who turned over $30,000 or more in the casino's high rollers room, an OLGR spokesman said on Friday.
It's alleged participants were given the chance to win $5000 in preliminary prize draws, with an overall winner given a one-in-50 chance of winning $1 million or a consolation prize of $20,000.
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OLGR says The Star casino awarded 18 prize payments of $5000 in cash.
The spokesman said the Star breached a trade promotion lottery permit condition prohibiting cash payments between 10pm and 8am.
It also breached requirements for the balance of any prize above $2000 to be paid either by crossed cheque or electronic funds transfer.
The Star has been issued with 18 court attendance notices for breaches of the Lotteries and Art Unions Act, with a maximum penalty for each offence of $5500.
The matters have been listed before the Downing Centre Local Court on August 27, OLGR said.
Comment was being sought from The Star.
