Monthly Archives: January 2015

Will Nevada SB40 Be the End of Staking in Poker Tournaments?

Amid the California online poker legislation talk and the return of Andy Beal to the Bellagio, a small story with the potential for huge industry-wide ramifications has quietly been gaining steam: Nevada Senate Bill SB40.

SB 40 is designed to prevent sports betting proxies from placing bets (either for a fee or a share of the proceeds) without being properly licensed in the state, but based on its current language the bill would ostensibly make staking in poker tournaments a felony in the state, and this has some poker players extremely nervous.

SB 40 was pre-filed on behalf of the Nevada Gaming Control Board on December 20 but just came to light this past week.

What does SB 40 do?

Top Gambling City Leads World Economically

Tourists celebrate the Chinese New Year in Macau on Feb. 1, 2014.

Tourists celebrate the Chinese New Year in Macau on Feb. 1, 2014. (Vincent Yu, The Associated Press)

WASHINGTON — Macau, the Chinese territory known for casino gambling, outperformed the rest of the world’s major cities economically last year, according to a report Thursday.

Cities in the developing world, especially China, dominated the top of the annual economic rankings of 300 cities worldwide by the Brookings Institution and JPMorgan Chase. One exception: Bangkok, Thailand, came in last, its economy wrecked by political strife.

Macau has enjoyed a tourism boom, with gamblers coming to bet at more than 30 casinos.

Cities in wealthy, developed countries tended to lag behind. Although most of the cities surveyed around the world have recovered from the Great Recession, 65 percent of European and 57 percent of North American cities have not, according to the study, which ranks cities by growth in employment and in economic output per person.

Three U.S. cities — Houston and Austin, Texas, and Raleigh, N.C. — cracked the top 50.

Calls Grow for Gaming Deregulation

bwin-shuts-down-facebook-game-scientific-games-deals-with-mecca-bingoGrowing numbers of advocates for looser gambling controls are pushing the case for a less restricted, and a more rational approach to cash gaming across the US. In Washington, Kentucky, Mississippi and Florida, politicians have been making energetic cases for greater freedom for the industry on the grounds of rationality, economic prosperity and regional regeneration. Together they make for a powerful argument.

In Louisville Kentucky former Supreme Court Justice Will T. Scott launched his campaign for governor by arguing that expanded gambling is a way to raise money to meet Kentucky’s public pension obligations. In Mississippi, State Representative Bobby Moak has launched his fourth attempt to introduce legislation of online poker within the state. In New York State, approval has just been granted for a new round of bidding to develop a multi-million dollar casino complex in the Southern Tier district, after the region was initially deemed unviable. The move has drawn complaints from other deprived areas insisting that they too should be able to benefit from the economic stimulus that such a project might bring with it. In Florida, disputes over the exclusivity of the tribal right of the Seminole tribe to host casino-style gambling are leading towards a more liberal distribution of gaming licenses.

 

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Wisconsin Governor Blocks Indian Casino

Gov. Scott Walker on Friday denied a request by the Menominee Indian Tribe of Wisconsin for permission to build an off-reservation casino in Kenosha.

The Menominee have been pushing for a casino at Kenosha’s former Dairyland Greyhound Park dog track for years, hoping the facility would lure gamblers from Milwaukee and Chicago and help pull the northeastern Wisconsin tribe out of poverty. The tribe has claimed the project would create more than 10,000 jobs.

The federal government gave the tribe the go-ahead in 2013, leaving the final say to Walker.

 

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Galaxy Entertainment to spend another $7b expanding Galaxy Macau

Casino operator Galaxy Entertainment Group says Phase 2 of its Galaxy Macau resort will officially open to the public on May 27. At a Hong Kong press conference on Friday, Galaxy chairman Lui Che Woo (pictured) also vowed to spend another $7.4b developing Phases 3 and 4, representing a total outlay of $12.9b in Galaxy Macau.

Phase 2’s launch will coincide with the reopening of the Grand Waldo Entertainment Center across the street. Galaxy acquired the Waldo property in May 2013 for $419m. Rechristened Broadway at Galaxy Macau, the property aims to recreate New York’s theater district and will be connected to Galaxy Macau by an air-conditioned ‘sky bridge.’

Lui Che Woo noted that Galaxy owned the biggest plot of land on Macau’s Cotai strip, giving it definite advantages over other operators. Phase 2’s launch will still leave half of Galaxy’s land bank untouched and ready for future development.

Galaxy deputy chairman (and son of the boss) Francis Lui said Phase 2 had the capacity to host up to 500 gaming tables and 1k slots, although the company is still talking to the government about the number of tables the property will be allotted. The former Waldo venue hosted 45 tables, but how many the new Broadway venue will boast is equally unknown.

Macau has long insisted it will stick to its plan to cap table growth at 3% per year until 2022, when the last of Macau’s six casino concessionaires’ licenses expire. The official number of tables in operation in Q4 2014 was 5,711, of which 3% is just 171. And Melco Crown Entertainment will want a few hundred new tables of its own when it opens its new Studio City resort later this year.

However, Macau officials have occasionally suggested the 3% cap had a little flexibility, particularly for operators who devote a significant portion of their new properties to non-gaming elements. Galaxy’s new venues have non-gaming in spades, including a 3k-seat theater, 120 bars and restaurants plus 1.5k new hotel rooms. Lui Che Woo said the goal was to make things “more diverse, from entertainment, leisure, culture and art … to meet the requests from [Beijing] and Macau.”

Galaxy CFO Robert Drake told the press that the company was “quite confident we will get a sufficient amount of tables to generate the returns we have been forecasting.” The new properties will require Galaxy to add an additional 8k employees in 2015.

Slot machines coming to Hawaii’s airports if local pol gets her way

Slot machines are coming to Hawaii‘s airports if a local politician gets her way. State Rep. Cindy Evans has introduced a bill to allow passengers flying out of Hawaii the option of spinning a few reels after their planes are delayed.

HB 91 authorizes “the implementation of amusement concessions to provide slot machines at state airports for departing passengers.” Basically, duty-free slots. To play, you have to provide evidence that you’re over 21 years of age and scheduled to fly beyond US borders within the next 12 hours.

Interested operators have to apply for an ‘amusement concession’ license for an as yet undetermined fee. The state gets an 86% chunk of net revenue – gross revenue minus taxes, winnings, salaries, airport fees and rent – or a minimal annual guarantee, whichever’s bigger. The state’s cut would go into an airport improvement fund.

The bill expressly does not authorize online gambling, electronic bingo or other forms of gambling. Slots it is and these slots will be limited to secure areas of the airport. No slots can be visible to airport passers-by and operators aren’t allowed to advertise their wares in Hawaii by any means. Presumably the designated area will be labeled as such on airport maps.

If passed (doubtful), the act would take effect on July 1. Hawaii and Utah are the last bastions of non-gambling in the United States but Evans said this was a “very unique and different” way to help the state’s aging airports, an “out of the box” proposal.

The Hawaii Tourism Authority (HTA) has already said it won’t support any gambling measure. The HTA issued a statement saying gambling “would not enhance our destination brand, but rather dilute it and distract from” the state’s traditional charms.

Evans has voted against previous gambling proposals but said this plan mainly targeted departing tourists and was therefore “not about gambling in Hawaii.” Evans told HawaiiNewsNow her bill would allow visitors to Hawaii “in their last few hours, spend their money in Hawaii and leave their money in Hawaii.”

Vietnam bust online gambling rings linked to 12Bet, South Korea

Online gambling was a hot topic in Vietnam this week as Ho Chi Minh City police shut down an illegal gambling ring linked to online betting operator 12Bet. On Friday, police detained 10 people, including To Cong Hung, the owner of the Vietnamese version of gay lifestyle magazine Attitude.

Police say the ring operated a website that connected local gamblers with the Philippine-based 12Bet. Hung reportedly ran the website, while his sister and other agents controlled bank accounts through which money was collected from and distributed to gamblers. Police had monitored the site for months, during which time the operators handled over VND 1t (US $46.8m) in wagers.

Friday also saw police commence legal proceedings against 36 individuals arrested in July as part of the 2014 FIFA World Cup betting crackdown. This ring was linked to another Philippines-based site, M88.com, considered one of the predominant sites catering to Vietnamese punters. Before police swooped in, the site handled over VND 1.4t in wagers.

Also on Friday, police in Ba Ria Vung Tau province deported six South Korean nationals for operating an illegal betting site out of a rented villa in Vung Tau City. The operation catered not to locals but to gamblers in South Korea, who set up around 4k accounts with the site and wagered over KRW 20b ($18.6m) before police moved in on Wednesday.

Thanh Nien News reported that local police detected signs of illegality in the villa then took their findings to South Korean police, who confirmed the interaction with local gamblers. The arrested individuals claimed they had been dispatched to Vietnam by another Korean named Choi Hojun. Vietnam deported 33 other South Koreans for much the same activity last July.

Skubick: Internet Lottery Sales Quietly Taking Off

The state lottery has quietly launched Internet lottery sales which means instead of going to your local store for tickets, you can purchase off your personal computer. Until 6 News Capitol correspondent Tim Skubick started looking into this story, the lottery director was not releasing any of the sales data, but now he is.

Wyoming Lottery Has Its First BIG Winner

Winner! Winner! A Mega Millions ticket worth a whopping $25,000 was sold in Fort Bridger, making it the largest win in Wyoming yet. In the Tues., Jan. 20, Mega Millions drawing, a very lucky WyoLotto player found out that it pays to buy the Megaplier, turning their initial $5,000 winnings into what currently is the largest winning ticket in Wyoming Lottery history of $25,000.