Sheldon Adelson’s Venetian Macau took legal action in a Hong Kong court this week to recover approximately $4.5m (£2.8m), against two of its former high roller customers from China.
In one lawsuit, filed on Wednesday with Hong Kong’s high court, the Venetian is trying to recover $3m from Zou Yunyu, who once featured on lists of China’s richest people and has an estimated $220m fortune from her company, the Shanghai Gaoyuan Property Group.
In the second case, the Venetian is pursuing $1.5m from Xie Xiaoqing, a businessman and deputy to the provincial legislature in Hubei province, according to Hong Kong media.
The Venetian is one of four casinos owned by the Chinese arm of Adelson’s Las Vegas Sands Corp. Adelson’s fortune is valued at over $20bn and his interests span gaming empires in Nevada and Asia, the Israeli newspaper market and Republican politics in the US. In the 2012 elections, he and his wife, Miriam, donated $95m to Republican candidates, including a massive late surge of $33m to pro-Romney political committees.
Macau’s rise to the top of the casino market has been powered by wealthy mainland Chinese gamblers, but the lawsuits highlight the difficulties in collecting debts if they return to the mainland, where gambling is illegal and debts aren’t recognised by courts. Both Macau and nearby Hong Kong have separate legal systems from mainland China.
January 25, 2013
Nevada casinos post combined loss of $1.2 billion
Nevada’s largest casinos suffered a combined loss of $1.2 billion in 2012, even though revenues saw an increase.
The annual “Gaming Abstract” released yesterday by the state Gaming Control Board analyzes the financial information of casinos that gross $1 million or more in casino revenues.
There were 265 Nevada casinos that fell into that category during the 2012 fiscal year that ended 30th June 2012.
Casinos reported total revenues of nearly $23 billion, up from $22 billion the previous year.
The 2012 report marks the fourth straight year of losses for Nevada’s largest casinos. But it also marks a big improvement over last year, when the resorts had a combined loss of nearly $4 billion.
The annual “Gaming Abstract” released yesterday by the state Gaming Control Board analyzes the financial information of casinos that gross $1 million or more in casino revenues.
There were 265 Nevada casinos that fell into that category during the 2012 fiscal year that ended 30th June 2012.
Casinos reported total revenues of nearly $23 billion, up from $22 billion the previous year.
The 2012 report marks the fourth straight year of losses for Nevada’s largest casinos. But it also marks a big improvement over last year, when the resorts had a combined loss of nearly $4 billion.
January 24, 2013
Greece monopoly ruled illegal
OPAP’s gambling monopoly in Greece is close to the end of the road after the Court of Justice for the European Union (CJEU) ruled it illegal. The monopoly contravenes European Union (EU) law as it grants exclusive rights without serving the public interest by limiting the amount of betting opportunities, according to a court ruling this morning. The current case was one filed by Stanleybet, William Hill and Sportingbet, with the result sending OPAP’s share price sliding downwards on the Stoxx Europe 600 Index – 11 percent to €6.27 at the last check.
There is still breathing room for Greece and if they implement stricter controls to ensure consumer protection they will be allowed to preserve it. If that doesn’t happen then Greece will have to open up the market to allow firms from other EU countries to operate.
Immediate reaction to the ruling came from Sigrid Ligné, secretary general of the European Gaming and Betting Association, who stated: Given the factual setup of OPAP’s monopoly which clearly fails to meet the CJEU test we hardly expect effective control to be implemented in the future. Therefore, Greece should follow the Court’s clear advice to liberalise the market. The ruling is highly relevant and gives the EC yet more jurisprudence to put an end to non-compliant gambling policies across the EU.”
Ligne is hopeful this ruling will give way to more cases being investigated by the EU regarding other member states that contravene EU law.
“At this stage only the EC, as the Guardian of the Treaties, can restore legal security by acting directly on the many complaints it has received, not only against Greece, but also against many other Member States. The EC can now take firm action on all pending infringement cases in order to ensure all Member States are in full compliance,” she added.
There is still breathing room for Greece and if they implement stricter controls to ensure consumer protection they will be allowed to preserve it. If that doesn’t happen then Greece will have to open up the market to allow firms from other EU countries to operate.
Immediate reaction to the ruling came from Sigrid Ligné, secretary general of the European Gaming and Betting Association, who stated: Given the factual setup of OPAP’s monopoly which clearly fails to meet the CJEU test we hardly expect effective control to be implemented in the future. Therefore, Greece should follow the Court’s clear advice to liberalise the market. The ruling is highly relevant and gives the EC yet more jurisprudence to put an end to non-compliant gambling policies across the EU.”
Ligne is hopeful this ruling will give way to more cases being investigated by the EU regarding other member states that contravene EU law.
“At this stage only the EC, as the Guardian of the Treaties, can restore legal security by acting directly on the many complaints it has received, not only against Greece, but also against many other Member States. The EC can now take firm action on all pending infringement cases in order to ensure all Member States are in full compliance,” she added.
January 21, 2013
PokerStars signs Olympique Lyonnais sponsorship deal
In France, online poker operator PokerStars has announced that it has replaced rival BetClic after signing an official sponsorship deal with football club Olympique Lyonnais.
The agreement began at last weekend’s match against Evian Thonon Gaillard and sees video branding for one of the world’s largest online poker brands appear on screens inside the club’s 40,000-seat Stade De Gerland.
In addition, the PokerStars.fr website is to run a series of special tournaments giving fans of ‘Les Gones’ the chance to win prizes including shirts, scarves and tickets along with trips to meet the players while Olympique Lyonnais is to display offers for the online poker brand via its own domain.
“Digital is a major focus of development for the club,” said Vincent-Baptiste Closon, Marketing Director for the seven-time domestic champion.
“PokerStars is a major player in the digital arena so it is natural for us to associate with this site.”
The agreement began at last weekend’s match against Evian Thonon Gaillard and sees video branding for one of the world’s largest online poker brands appear on screens inside the club’s 40,000-seat Stade De Gerland.
In addition, the PokerStars.fr website is to run a series of special tournaments giving fans of ‘Les Gones’ the chance to win prizes including shirts, scarves and tickets along with trips to meet the players while Olympique Lyonnais is to display offers for the online poker brand via its own domain.
“Digital is a major focus of development for the club,” said Vincent-Baptiste Closon, Marketing Director for the seven-time domestic champion.
“PokerStars is a major player in the digital arena so it is natural for us to associate with this site.”
January 18, 2013
Dutch regulators invite online operators to consultation
Dutch regulators have invited operators to a consultation on the 28th January where proposals for a new liberal regulatory system will be discussed.This will be the first formal meeting between the Dutch Gaming Authority (DGA) and operators interested in acquiring a license under new gaming laws.
New proposals will be published at the end of March and regulation is expected to come into effect sometime in 2014.
Gaming regulation has been a hot potato in Dutch politics over the last few years as politicians clashed over the extent to which online gambling should be liberalized.
Under the existing Dutch Betting and Gaming Act, the operation of online poker is illegal in the Netherlands. The regulation ignores all forms of remote or online gambling.
But recent elections brought a new coalition government into power, and its leader Mark Rutte has taken on the issue. He is determined to create a legal online gaming structure to “exploit” the tax raising opportunities that regulation will provide.
Earlier suggestions that the new laws should only legalize online poker have fallen away and the new likelihood is that licenses will be awarded for casino and sportsbook betting too.
New proposals will be published at the end of March and regulation is expected to come into effect sometime in 2014.
Gaming regulation has been a hot potato in Dutch politics over the last few years as politicians clashed over the extent to which online gambling should be liberalized.
Under the existing Dutch Betting and Gaming Act, the operation of online poker is illegal in the Netherlands. The regulation ignores all forms of remote or online gambling.
But recent elections brought a new coalition government into power, and its leader Mark Rutte has taken on the issue. He is determined to create a legal online gaming structure to “exploit” the tax raising opportunities that regulation will provide.
Earlier suggestions that the new laws should only legalize online poker have fallen away and the new likelihood is that licenses will be awarded for casino and sportsbook betting too.
Health Lottery boss critical of Camelot, players also angry
Health Lottery owner Richard Desmond has attacked Camelot for doubling the price of the National Lottery to £2. The media mogul used a full-page ad in his Daily Express newspaper to say the move “incredibly unfair and is at the expense of lottery players” and done “so that Camelot can line the pockets of its management and overseas shareholders”. Camelot announced the news this week they were hitching up the price for the first time since 1994. There was also a raft of changes to the prize money being handed out with the prize for matching three numbers rising from £10 to £25, and four numbers now netting a cool £100 instead of £60. Anger from players came from the fact the prize for matching five numbers dropped by a third to £1,000.
Desmond’s words came after the change to a £2 caused a public outcry from customers. Politicians have even got involved, with UKIP deputy leader Paul Nuttall: “This is going to ruin people’s bit of weekend fun. It is nothing more than a tax on the poor to subsidize the rich.”
A spokesman for Acevo, the association of chief executives of voluntary organisations, said: “We understand that this move is projected to increase the amount of lottery income going to charities and community groups, which in these difficult times will be very welcome.”
Desmond’s words came after the change to a £2 caused a public outcry from customers. Politicians have even got involved, with UKIP deputy leader Paul Nuttall: “This is going to ruin people’s bit of weekend fun. It is nothing more than a tax on the poor to subsidize the rich.”
A spokesman for Acevo, the association of chief executives of voluntary organisations, said: “We understand that this move is projected to increase the amount of lottery income going to charities and community groups, which in these difficult times will be very welcome.”
Pennsylvania is now No.2 gambling destination surpassing Atlantic City
Pennsylvania has surpassed Atlantic City as the nation’s No. 2 gaming revenue market. The state’s Gaming Control Board said this week that Pennsylvania casinos took in $3.16 billion from slot machines and table games in 2012, surpassing the $3.05 billion reported for the same year by Atlantic City, which suffered its sixth straight annual revenue decrease.
The state still has a ways to go to catch Las Vegas, the nation’s largest gaming market, which produced $6 billion in gaming revenues in 2011. The 2012 year-end totals for Las Vegas will be released in February. For the first 11 months of the year, Strip gaming revenues were up 1.2% over 2011. In Pennsylvania, there are 11 casinos operating. A 12th casino, in the western part of the state, is expected to open this year.
Six groups, including Wynn Resorts are seeking the state’s 13th license in Philadelphia. The Pennsyvlania data underscore the challenges facing New Jersey Gov. Chris Christie as he looks to reinvigorate the tourism and gambling industries after years of decline and the recent superstorm Sandy.
The state has lost business as New York, Pennsylvania and Maryland expanded their gambling operations. “Pennsylvania is a great growth story,” said Jan Jones, executive vice president for communications and government relations at Caesars Entertainment. which has one casino there and four in New Jersey. “Governor Christie has really been trying to reposition Atlantic City as a resort destination.” Casino revenue in New Jersey has fallen for six straight years since peaking at $5.2 billion in 2006, according to state data.
Pennsylvania ranked third in the nation in casino spending in 2011, behind Nevada and New Jersey, according to the American Gaming Association trade group. New Jersey has 12 casinos after the opening of Revel last year. Pennsylvania has 11. The closely held Parx Casino & Racing, formerly Philadelphia Park Racetrack & Casino, was the state’s largest in revenue with almost $500 million in total, separate reports showed.
The state still has a ways to go to catch Las Vegas, the nation’s largest gaming market, which produced $6 billion in gaming revenues in 2011. The 2012 year-end totals for Las Vegas will be released in February. For the first 11 months of the year, Strip gaming revenues were up 1.2% over 2011. In Pennsylvania, there are 11 casinos operating. A 12th casino, in the western part of the state, is expected to open this year.
Six groups, including Wynn Resorts are seeking the state’s 13th license in Philadelphia. The Pennsyvlania data underscore the challenges facing New Jersey Gov. Chris Christie as he looks to reinvigorate the tourism and gambling industries after years of decline and the recent superstorm Sandy.
The state has lost business as New York, Pennsylvania and Maryland expanded their gambling operations. “Pennsylvania is a great growth story,” said Jan Jones, executive vice president for communications and government relations at Caesars Entertainment. which has one casino there and four in New Jersey. “Governor Christie has really been trying to reposition Atlantic City as a resort destination.” Casino revenue in New Jersey has fallen for six straight years since peaking at $5.2 billion in 2006, according to state data.
Pennsylvania ranked third in the nation in casino spending in 2011, behind Nevada and New Jersey, according to the American Gaming Association trade group. New Jersey has 12 casinos after the opening of Revel last year. Pennsylvania has 11. The closely held Parx Casino & Racing, formerly Philadelphia Park Racetrack & Casino, was the state’s largest in revenue with almost $500 million in total, separate reports showed.
January 16, 2013
PokerStars confirm interest to buy Atlantic City Casino
As previously reported back in December, it has now been confirmed that the Rational Group, the owner of PokerStars and Full Tilt Poker, has offered to buy the Atlantic Club Casino Hotel in Atlantic City, New Jersey for an undisclosed sum.
The move marks the first attempt by the company to gain a foothold in the U.S. market since PokerStars online gaming-related $547 million settlement with the U.S. Department of Justice last year.
The deal will now go before New Jersey regulators. The company said in its application, “Rational US is a willing and enthusiastic prospective purchaser, and it intends to improve the financial viability of the property, and therefore the offerings available in Atlantic City.
“The purchase will improve the overall economic and competitive conditions of Atlantic City and the state of New Jersey, as the current owner of the company has, for a considerable period of time, been marketing the property for sale.”
Michael Frawley, the casino’s chief operating officer, and Eric Hollreiser, PokerStars head of corporate communications, said in a statement, “The acquisition of The Atlantic Club Casino Hotel will secure up to 2,000 jobs and maintain the economic benefits the casino brings to New Jersey.
“During this interim period, the Atlantic Club Casino Hotel will operate as normal under current management, which will be retained following completion of the acquisition.”
The Casino has struggled under the ownership of Resorts International Holdings which is owned by a Los Angeles hedge fund.
With Senator Chris Christie still considering signing into law online poker in the state, PokerStars are hoping it seems to be the first off the blocks to offer interstate online poker back in the US before any of its competitors.
The move marks the first attempt by the company to gain a foothold in the U.S. market since PokerStars online gaming-related $547 million settlement with the U.S. Department of Justice last year.
The deal will now go before New Jersey regulators. The company said in its application, “Rational US is a willing and enthusiastic prospective purchaser, and it intends to improve the financial viability of the property, and therefore the offerings available in Atlantic City.
“The purchase will improve the overall economic and competitive conditions of Atlantic City and the state of New Jersey, as the current owner of the company has, for a considerable period of time, been marketing the property for sale.”
Michael Frawley, the casino’s chief operating officer, and Eric Hollreiser, PokerStars head of corporate communications, said in a statement, “The acquisition of The Atlantic Club Casino Hotel will secure up to 2,000 jobs and maintain the economic benefits the casino brings to New Jersey.
“During this interim period, the Atlantic Club Casino Hotel will operate as normal under current management, which will be retained following completion of the acquisition.”
The Casino has struggled under the ownership of Resorts International Holdings which is owned by a Los Angeles hedge fund.
With Senator Chris Christie still considering signing into law online poker in the state, PokerStars are hoping it seems to be the first off the blocks to offer interstate online poker back in the US before any of its competitors.
January 10, 2013
Rank considers fate of Blue Square
The Rank Group said it is undertaking a review of its lossmaking Blue Square Bet business, which operates solely in the online channel of the highly competitive sports betting market. The announcement is no surprise to observers whom have seen Blue Square plummet in appeal, since the growth of other sportsbetting sites like Paddy Power, Betfred, Bet365 and William Hill.
Rank said it intended to focus its resources on further developing Grosvenor Casino and Mecca as multi-channel brands meeting customer needs in gaming-based entertainment via venues, online and through mobile devices.
The announcement seems to point to a sale or closure of the brand and focus solely on online & mobile casino offerings.
Rank said it intended to focus its resources on further developing Grosvenor Casino and Mecca as multi-channel brands meeting customer needs in gaming-based entertainment via venues, online and through mobile devices.
The announcement seems to point to a sale or closure of the brand and focus solely on online & mobile casino offerings.
Nevada introducing new bill allowing interstate compacts
A bill has been introduced at the Nevada General Assembly, on behalf of the state’s State Gaming Control Board, that would allow for the state governor to enter into interstate gaming compacts with other states. This legislation sets up Nevada to potentially be at the forefront of a compact in which individual states that have passed online gaming bills can work together to offer online gaming without federal legislation.
The bill, titled Assembly Bill 5, would remove language in the previously enacted online gaming bill that stated that an online gaming license does not become effective until a federal law was passed authorizing online gaming or the U.S. Department of Justice (DOJ) provided notice that interactive gaming activities are permissible under federal law. The bill would add language that allows for the governor, on behalf of the state, to enter into agreements with other states.
Assembly Bill 5 has been referred to the Nevada General Assembly Committee on the Judiciary. The upcoming legislative session does not begin until February 4, 2013.
The possibility of gaming compacts became a reality after the DOJ released an opinion in December 2011 stating that the Wire Act applies only to sports betting.
This opinion by DOJ eased fears among state lawmakers that money involved in online gaming could not be sent across state lines without incurring a violation of federal law. With that hurdle removed, the possibility of states entering into online gaming compacts became a reality.
Thus far two states, Delaware and Nevada, have enacted laws legalizing intrastate online gaming. Last month, the New Jersey state legislature passed a law legalizing online gaming and the bill is currently waiting for action to be taken on it by Gov. Chris Christie. Other states have publicly stated that they will consider online gaming legislation in sessions this year.
One potential problem with interstate gaming compacts is the potential for a hodgepodge of different laws and regulations for players and operators. States that lack experience in regulating gambling activities may look to the states that do have such experience, like Nevada and New Jersey, to regulate for them as an alternative to establishing their own regulations for online gaming. Thus far, Nevada is the only state to implement regulations governing online poker.
Nevada may want something in return for helping regulate gaming activities in other states, and it is not clear from the bill what that may be. Compacts like this have the potential to entrust a significant amount of power in a state agency, such as the Nevada Gaming Commission, and it is unclear whether it would be in the best interests of players and operators for that to occur. The concern over one state agency having so much power may serve as an impetus for states that do not currently have regulatory bodies for gaming to decide to establish them.
The bill, titled Assembly Bill 5, would remove language in the previously enacted online gaming bill that stated that an online gaming license does not become effective until a federal law was passed authorizing online gaming or the U.S. Department of Justice (DOJ) provided notice that interactive gaming activities are permissible under federal law. The bill would add language that allows for the governor, on behalf of the state, to enter into agreements with other states.
Assembly Bill 5 has been referred to the Nevada General Assembly Committee on the Judiciary. The upcoming legislative session does not begin until February 4, 2013.
The possibility of gaming compacts became a reality after the DOJ released an opinion in December 2011 stating that the Wire Act applies only to sports betting.
This opinion by DOJ eased fears among state lawmakers that money involved in online gaming could not be sent across state lines without incurring a violation of federal law. With that hurdle removed, the possibility of states entering into online gaming compacts became a reality.
Thus far two states, Delaware and Nevada, have enacted laws legalizing intrastate online gaming. Last month, the New Jersey state legislature passed a law legalizing online gaming and the bill is currently waiting for action to be taken on it by Gov. Chris Christie. Other states have publicly stated that they will consider online gaming legislation in sessions this year.
One potential problem with interstate gaming compacts is the potential for a hodgepodge of different laws and regulations for players and operators. States that lack experience in regulating gambling activities may look to the states that do have such experience, like Nevada and New Jersey, to regulate for them as an alternative to establishing their own regulations for online gaming. Thus far, Nevada is the only state to implement regulations governing online poker.
Nevada may want something in return for helping regulate gaming activities in other states, and it is not clear from the bill what that may be. Compacts like this have the potential to entrust a significant amount of power in a state agency, such as the Nevada Gaming Commission, and it is unclear whether it would be in the best interests of players and operators for that to occur. The concern over one state agency having so much power may serve as an impetus for states that do not currently have regulatory bodies for gaming to decide to establish them.
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