Staff stole televisions and even beds from vacant hotel rooms.
Security guards, who were key players in the scam, would disable security
cameras to avoid detection.
Security guards sold drugs to staff.
Staff used the hotel's exclusive suites for regular sex romps during
Staff pocketed hundreds of dollars by short-changing guests on bar tabs
during functions at the hotel.
Rendezvous Hotels chief executive Alan Featherby admitted that there were
major problems at the hotel.
"It's a big hotel and it turns out a lot of money so one has to assume . . .
there is opportunity for money to be skimmed," Mr Featherby said.
"We're saying enough is enough. We're trying to get in a really good
professional management team."
The admission came as the police Commercial Agents Unit revealed it had an
ongoing investigation into Triden International Security, the WA company
that was contracted to do the hotel's external security.
Sen-Sgt John Robertson said at least four of the sacked security personnel
were Coffin Cheaters associates and that Triden was controlled by the
"They are certainly well known to police. We have an ongoing operation into
the company," he said.
Triden managing director Mark Quaid denied any involvement with the hotel
scandal or the Coffin Cheaters, saying his company had been contracted to do
only external security and had no access to the hotel's rooms, security
cameras or alcohol stores.
A maintenance worker employed at Rendezvous Observation City for more than
five years said staff and managers used to "run amok".
"They'd wheel dozens of cartons of beer and wine, TVs and even beds straight
out the door," said the employee, who asked not to be named.
"You could do whatever you wanted. On some shifts you'd go up to the
executive suite, order a few cheese platters and a six-pack, and watch TV.
Some blokes would take girls up there and go for it in the spa."
Another long-term hotel worker, who also asked not to be named, claimed
security staff ran the scam.
"If you were in with security you had no worries," he said.
"It was the whole culture of the place. It was open slather."
An employee who was sacked last week admitted that parties with drugs,
stolen alcohol and prostitutes were regularly organised by security.
"I had some coke (cocaine) with them a few times," he said.