The Star is not fit to regain the licence for its lucrative Sydney casino despite suggestions it could be allowed to operate with conditions attached, an inquiry has heard.

The firm’s management has argued it should be allowed to operate under its currently suspended licence with potential conditions imposed or the continuation of an appointed independent manager.

But a second inquiry examining the company’s suitability to manage its Sydney casino was on Wednesday told the licence should not be restored even with potential conditions.

“A person cannot be unsuitable but rendered suitable by licence conditions or the appointment of a manager,” counsel assisting Caspar Conde said in submissions.