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postimage CrownResortsLimitedsDealWithLasVegasComestoNothing casinolights 348x215 - Crown Resorts Limited’s Deal With Las Vegas Comes to Nothing

Crown Resorts Limited’s Deal With Las Vegas Comes to Nothing

Recently, talk about the deal between James Packer, the owner of Crown Resorts Limited, and the Las Vegas gambling Giant, Wynn Resorts, was all around the place. However, it was …

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Gambling Venue Manager Prosecuted for Failing to Identify Problem Gambler

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Since the signing into law of the Gambling Act, the Department of Internal Affairs in New Zealand has not taken any action.

However, just recently, they’ve finally made their first move when a gambling venue manager was not able to fulfil their responsibility and failed to identify a problem gambler.

Penalty for Failing to Identify Problem Gambling

This may sound too much for others, this event is actually considered to be a criminal act and the gambling venue is now penalized for $5000 and given a criminal conviction.

While the government organization did not agree to disclose the name of the gambling venue, it was confirmed that the offender isn’t connected to a casino, but rather a pub or bar.

The First Case

There are many gambling crimes happening around the world, but this is particularly worth noting since it’s the first case where a gambling venue has failed to identify a problem gambler.

The spokesperson of the government organization stated that it’s the responsibility of gambling venues to identify such gamblers as they are responsible for providing the services considered to be the underlying cause of the problem.

postimage GamblingVenueManagerProsecutedforFailingtoIdentifyProblemGambler gamblingtable - Gambling Venue Manager Prosecuted for Failing to Identify Problem Gambler

What is Problem Gambling?

Problem gambling is when a gambler cannot stop gambling regardless of whether his/her actions are bringing negative effects to their lives. This is often noticeable with the gambler’s behaviour and it’s particularly easy to identify one problem gambler.

This is precisely why the Department of Internal Affairs has no reason to pass off such incidents where gambling venues fail to identify problem gamblers.

No Excuses for the Failure

Gambling operators don’t have any excuses for their failure of identifying a problem gambler, since they have the proper procedure and policies of identifying such problems, and they’re even trained to do so.

It’s stated that the majority of New Zealand residents agree to this move stating that it’s only reasonable to prosecute those who fail to fulfil this responsibility, despite having the ability to do so.

“It should be the obligations of gambling facilities to take the steps necessary to identify and reform a problem gambler receiving their services.”

The Department of Internal Affairs also stated that they won’t allow any gambling venue to continue operating unless they are knowledgeable about this underlying problem of the gambling community.

What Does the Gambling Act Say?

Under the Gambling Act, the staff of gambling venues are required to take the steps necessary to identify such cases and once they do, it should be clear that they should offer help.

This responsibility of gambling facilities is legal and failing to fulfil it is considered as an illegal act. Being found guilty of such criminal act can lead to a penalty of $5000.

It may even result in a criminal conviction, which may result in the barring of that certain person from being involved in the gambling business.

There are cases where problem gambling can’t be stopped, in which case it’s no longer an illegal act.

However, it would be when the gambling venue ignores problem gamblers as it’s believed to be an act done only when the gambling facility does not care about the players and instead prioritizes profits above anything else.

Sky City Online Casino Announcement

paper - Sky City Online Casino Announcement

SkyCity Entertainment Group Announce Online Casino

The gambling community in New Zealand has been rocked as SkyCity announce that they are infact going forward with the launching the SkyCity Online Casino.

SkyCity Entertainment group announced a partnership between a Maltese subsidiary and GIG. GIG is a casino software provider that builds and manages casino websites for online casino operators. They sure that the websites function correctly, integrate with various game providers, provide support services, regulatory assistance and banking integration.

Online Casino Rumours

The rumours had been swirling for close to a year before Graeme Stephens made it clear that SkyCity were investigating the possibility of launching their own online casino. The news first broke on the BestNewZealandCasinos.com website before other national newspapers and websites picked up on the story.

Worries surrounding legalities

The biggest hurdle that SkyCity had to overcome to setup an online casino was the fact that according to the Department of Internal Affairs website, it is illegal for a New Zealand business to offer online gambling products to New Zealand residents. The full stance of the DIA can be found on their website.

The work around to this problem was for SkyCity to create a Maltese subsidiary that would be the actual online casino operator. Due to the fact that this subsidiary was based outside of New Zealand, it would be completely legal for it to provide online gambling services in New Zealand.

The prohibition is on remote interactive gambling in New Zealand and therefore does not prohibit gambling conducted overseas. For example, it is not illegal for someone in New Zealand to participate in gambling over the Internet if that website is based overseas.

The law that SkyCity are using to skirt “The MAN” is the same law that is going to limit how much the casino is now going to be able to impact the Kiwi economy. The company that is providing the Online Gambling service cannot be a New Zealand company, therefor the many of the support staff that should be hired in New Zealand, helping boost our local economy are going to be based overseas where the money will be used to grow some foreign country’s economy.

This law also means that when players have difficulties with casinos, they have very little recourse locally. Players that have complaints need to lodge these in foreign jurisdictions like Malta where the laws and level of player protection may not line up with what we as Kiwis consider legitimate. Malta itself is not a bad country for this but there are other jurisdictions that issue gambling licenses and offer no player recourse if the casino steals your money and refuses to pay out.

So is this really SkyCity

This is where it starts to get complex. The online casino will be branded with the SkyCity logo, it will likely have various promotions that are linked to the famous Aukland casino but in reality it will be an entirely separate entity. The casino itself will be run out of Malta with input from New Zealand but the companies need to remain separated for various legal reasons.

We hope that with the parent company being a New Zealand business that it will help the New Zealand government understand that online gambling is not as shady an enterprise as it was 20 years ago when many online casinos were just scams looking to steal unsuspecting people’s money.

When will SkyCity be live?

The SkyCity casino website is not yet live but industry insiders tell us that it is only a matter of weeks before the Casino is launched on the New Zealand population.

The face of online gambling is about to change, the owners of these casinos are no longer shady characters hiding in the shadows with Grandma’s pension, they are big local businesses that pay tax, employ hundreds of people and act in a socially responsible manner.

Crown Resorts Limited’s Deal With Las Vegas Comes to Nothing

postimage CrownResortsLimitedsDealWithLasVegasComestoNothing casinolights 735x400 - Crown Resorts Limited’s Deal With Las Vegas Comes to Nothing

Recently, talk about the deal between James Packer, the owner of Crown Resorts Limited, and the Las Vegas gambling Giant, Wynn Resorts, was all around the place.

However, it was recently found that the deal had come to nothing due to issues that there was information leaked to the media.

Wynn Terminated Discussion with Crown Resorts

Wynn Resorts is best known for its operation of hotels in Las Vegas, Macau, and Boston. It was directly mentioned by the Crowns that the discussion between them and Wynn was confidential and it involves a change of control between the two.

The deal particularly involves the selling of the Las Vegas property between the two parties, with Crown having the chance of walking away with $2 billion in Wynn Resorts. However, Crowns decided to reveal this plan of theirs.

postimage CrownResortsLimitedsDealWithLasVegasComestoNothing casinointerior - Crown Resorts Limited’s Deal With Las Vegas Comes to Nothing

As a result, the executive of Wynn Resorts was upset about this move by Crown and terminated any further discussion with Crown Resorts.

The deal was not yet finalized and it’s understood that the discussion is confidential. Wynn executives even stated that they were shocked by Crown’s announcement of the discussion. Even United States gamblers were surprised.

The information about the discussion was announced just weeks after James Packer was listed as one of richest people in The Australian’s The List, taking the 15th place with a net worth of $4.23 billion.

Crown, a Great Addition to Wynn Holdings

Crown is best known for its casino hotels in Perth, London, Melbourne, and Sydney, which is currently under development. Wynn stated that the merging of the company to theirs will bring a significant change in their empire.

postimage CrownResortsLimitedsDealWithLasVegasComestoNothing playingmachines - Crown Resorts Limited’s Deal With Las Vegas Comes to Nothing

Crown’s Chance to Emerge

The past few years was some of the worst moments in Crown’s venture in the gambling industry.

Not only were they forced to stop venturing in Macau and Las Vegas, but their staff in China was also arrested and jailed due to the promotion of gambling, which is supposedly illegal in the country.

The share firms of Crown skyrocketed with the announcement that a merge will be happening in the future. With this unexpected turn of events, it’s expected that this year might be another moment where Crown would have to endure yet again.

While it’s very tempting to brag about their latest achievement, this move only cost them a fortune. Hopefully, they won’t make the same mistake again.

SkyCity at Risk of Profit Loss Due to Offshore Gambling

postimage SkyCityatRiskofProfitLossDuetoOffshoreGambling pokermachines 735x400 - SkyCity at Risk of Profit Loss Due to Offshore Gambling

Several months ago, SkyCity announced that they’re planning on launching and operating their own online casino site in another country. They even mentioned that they’re willing to pay any amount of tax to get the favour of critics regarding the unregulated site.

This is perhaps the reason why they’re brought a challenge by the Government of New Zealand, where they were required to pay an initial tax of $40 million even before their offshore operation starts.

Goods and Services Tax

GST or Goods and Services Tax is pretty simple if the provider of the goods and services are present in New Zealand. It clearly states on paper that the tax is payable. However, the matter becomes more complicated when the provider is not within New Zealand’s boundaries.

In SkyCity’s case, their services will be provided online without being present in New Zealand. This is the reason why they’re currently having problems with the tax of $40 million since there are more calculations necessary.

postimage SkyCityatRiskofProfitLossDuetoOffshoreGambling womangamble - SkyCity at Risk of Profit Loss Due to Offshore GamblingWhy did SkyCity do it in the first place?

It is found that the online gambling industry is currently worth $45 billion and this only makes it even more tempting to enter the industry. However, since New Zealand does not allow such activities to happen within their boundaries, SkyCity resorted to using offshore sites instead.

While $40 million is not exactly what got SkyCity on the edge, there are some aspects of the GST problem that made it impossible for the company to decide their next move.

$40 Million isn’t Enough of a Problem

The fact that their services will be delivered mostly to New Zealand Kiwi gamblers through the internet makes it difficult to determine the underlying problem. However, in their case, they found that there are VPN services available on the internet nowadays.

SkyCity is now struggling to find out whether it’s a good move to continue their project without waiting for any changes in New Zealand’s gambling laws.

This is because New Zealand players may use VPN services to connect to another server, making it more complicated for the casino company.

Subsequently, players from around the world besides New Zealand may connect to the country’s server making them seem like residents of New Zealand.

Since the GST is different when the gamblers are playing in or out of New Zealand, both situations will prove to be difficult to find a solution for.

SkyCity’s Solution for the Underlying Problem

For SkyCity, there are many aspects that need to be taken into consideration, such as interest or late GST.

However, they already determined that if they want to solve this problem regarding GST, they’ll need some help from the Government to sign into law some kind of change in their existing gambling legislation.

SkyCity’s move is likely to benefit the whole nation due to the tax rate. This only proves that while companies need to rely on their own nation, countries also need to rely on companies.

SkyCity Unveils Plan for Big Money Online Casino

postimage SkyCityUnveilsPlanforBigMoneyOnlineCasino insideview 735x400 - SkyCity Unveils Plan for Big Money Online Casino

SkyCity is best known for their casino entertainment, and now, they’re trying to pull off one of their biggest projects, a European-based online casino.

Since the law regarding online gambling is still incomplete, such project is irreversible and the Government can’t do anything about it.

SkyCity’s Plan for Receiving Profits

postimage SkyCityUnveilsPlanforBigMoneyOnlineCasino womanplaying - SkyCity Unveils Plan for Big Money Online Casino

According to statistics, there are currently $400 million received by online casino websites from Kiwi gamblers. The SkyCity company’s goal is to get at least $180 million of that large amounts of money.

The company also stated that they have no plans on waiting for the gambling legislation in New Zealand to undergo changes allowing for the operation of offshore Kiwi gambling websites.

While the Government was disappointed that the casino giant is making this kind of move, it only proves how insufficient the law is as of now.

A Change in the Casino Environment

This move of the casino giant is perhaps the result of the increased number of players transitioning from typical poker rooms to live dealers on the internet. This move also represents the inadequacy of the laws by the Government when it comes to tax these kinds of establishments.

SkyCity’s Plan on Bypassing New Zealand’s Gambling Law

While New Zealand does not allow the operation of online gambling facilities within their boundaries, SkyCity revealed that they’re planning on running one in another country, which should have no problems for the New Zealand Government.

postimage SkyCityUnveilsPlanforBigMoneyOnlineCasino casinooutsidesign - SkyCity Unveils Plan for Big Money Online CasinoThe casino company also stated that they’re going to focus on promoting the website to Kiwi gamblers while accepting New Zealand currency.

Council and Government members are now discussing how they should uphold the law in New Zealand since it’s not only SkyCity but also other offshore websites are entering the country without their permission since these establishments don’t need it.

SkyCity’s move of creating the site might receive a lot of criticism due to being unregulated by its own country. However, the casino company stated that they’ll be paying the tax rate straight up if that’s what it takes to start the new venture.

If SkyCity is expecting to get $180 million from Kiwi gamblers, then the tax rate may reach the $30 million mark.

No Law Broken

It was several months ago when Jackpot City, an online casino site, started promoting the website by promoting their so-called “free” gambling site when in reality, it directed to the actual gambling site. This might be a dirty trick, but it’s still allowed by law.

However, SkyCity declared that they won’t be using such tricks and they’re going to ensure that there is no law broken in the project.

With the addition of SkyCity, the competition of online casino sites will become tighter and some sites that are barely getting by may be closed down for good this time around. Hopefully, either the best gambling sites stay open or SkyCity becomes a safe and secure gambling site with the best services.