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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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SkyCity Warns of Casino Closures

closed 735x400 - SkyCity Warns of Casino Closures

Skycity which is a Casino Company based in Australia and New Zealand has stated they will be closing their venues because of the Covid-19 Virus as a precaution to protect their Employees and Workers from being exposed to the Virus. Skycity officials have seen a significant decrease in the number of players who usually came in to play but based on all the Covid-19 cases being discovered and tested many areas around the world are shut down including Casinos. Skycity has raised their awareness of this deadly Virus and has taken these measures of locking down the Casino at first but now has issued to have their Casinos shut down temperately during this time. Many of their Players and Visitors have been from areas that are highly affected by the Covid-19 Virus and some of their Employees and Workers might have been exposed to this deadly Virus but haven’t been tested yet. Skycity has also been instructed to follow the Social Distancing rule which came into effect a few weeks ago, many of their Players and Visitors have not engaged fully in this idea of Social Distancing which is one of the reasons why Skycity Casinos has decided to Temporarily Closed for now.

Other Casinos within the area of Skycity has also taken a huge hit with this dangerous Virus being the cause, some casinos have even taken precautions to allow their Players to engage online and play casino games online with their Casino Websites. They’re also placing their Employees and Workers on temporary leave but with extended leave, payments to compensate for the Closing of the Skycity Casino and Temporary leave for their Employees. This Casino doesn’t mind the decrease in their money situation at the moment which has gone down to 80 Million which is significantly less than last years profit, but if this means we can tackle this deadly Virus by Shutting Down for a little while then that’s what we’ll have to do. Due to this Covid-19 Virus many other their Players and Visitors do not have the Clearance to even Travel into Australia mainly because they live in other Countries and their Countries might have Travel restrictions and Entry Restrictions. Stephens the Co-Owner of Skycity Casinos has stated there might be other ways around this Virus to keep the Casino opened but still have the Rule of Social Distancing in effect but this also lays in the hands of the Players, if they’re sick stay home, wash your hands and stay 6 feet from each other.

While these Casinos are closed, Owners have hired a small group of cleaners to deep clean the Casino, the Flooring, the Slot Machines, the Table Games and any Fine Dining Areas. These precautions and extended cleaning efforts will hopefully get rid of this dangerous Virus and allow us to open back up in a few weeks. Studies show this deadly Virus needs to be contained and sterilized for at least 15 days for this Virus to disappear and make the Casino Area safe to be opened to the public again. These precautional measures are made for the whole Country not just Casinos but Food Industries, Shopping Malls, Grocery Stores and much more are also affected by these extreme measures and have also been required to close temporarily. The hope and plan for these Closures are to hopefully see a decrease in these Covid-19 cases which are still being found today, with closing everything Temporarily this will help decrease the spread of this Virus. Many Country Officials have stated they would rather have people play online Slot Machines or Casino Games because the Country has restrictions on all types of Social Gatherings, Meetings or Traveling. Skycity Officials strongly advise their Players and usual Customers to play online Casinos to help stop the spread of the Covid-19 Virus and to keep these health concerns to a minimum as much as possible. Many of these decisions are based on the significant decrease of Visitors from other countries such as China, Asia, America, and much more.

These Countries have a high restriction ban in place to restrict any Traveling and allowing outsiders in their Country, the decrease within numbers have significantly affected the Casino’s Revenue but they would rather be safe than sorry and have decided to closed their casinos except for their Online Casino websites. One way the Casino has come up with an idea of how they can continue to make money or save money is by cutting their expenses by half of what they use to spend as well as cutting any non-essential spending down to a minimum, this has shown to help them so far. These decisions are mainly put in effect to help protect others as well as their Company from this deadly Virus known as the Covid-19 Virus. This Virus is known to cause significant damage to the lungs and respiratory system to those who become affected by this Virus. That’s why Casinos and major Companies are taking these precautions to close their Businesses Temporarily to stop the spread and to decrease the number of Virus Cases and the number of those affected by this Virus. The Countries that have a higher rate of Covid-19 Virus Cases have had to close their Main Businesses due to the severity of this Virus and have strongly advised their people to stay home, stay on top of their Hygiene routine and to stop social gatherings and meeting. Skycity knows that this might upset their Customers, Players and Employees but this is to appease their Country and follow these Restrictions and make sure everyone stays healthy.

For those who are affected by this Virus they strongly advised you to go get tested and checked out by your doctor, and do what is needed to help stop the spread of this Virus. All Workers and Employees of Skycity Casinos both in Australia and New Zealand will be paid for Temporary Leave and the payments will continue for as long as needed. Skycity isn’t the only Casino in Australia or New Zealand to experience this hard decision to close their Casinos for Temporary time limit, other surrounding Casinos such as Queenstown and Hamilton have also experienced these closures as well. Even though these Casinos will take a major hit with their Profits, they’re still willing to keep their Casinos closed, spread awareness against this Virus and keep their employees’ jobs. Skycity has stated they highly recommend their Players to continue playing online at their Casino’s Online Gaming Website for now until this Virus and issue is resolved.

Gambling Venue Manager Prosecuted for Failing to Identify Problem Gambler

postimage GamblingVenueManagerProsecutedforFailingtoIdentifyProblemGambler gambling 735x400 - Gambling Venue Manager Prosecuted for Failing to Identify Problem Gambler

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

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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.