Monthly Archives: August 2017

US casino lobby seeks feds’ clarification on marijuana money

The US commercial casino lobby group wants the federal government to clarify its position on whether gaming operators can accept marijuana money at their tables and slots.

On Monday, the American Gaming Association (AGA) wrote a letter to Treasury Secretary Steven Mnuchin in response to the Treasury Department’s request for comments about federal regulations that can be “eliminated, modified or streamlined in order to reduce burdens” on industry.

Among the regulations that the AGA would like to see revised is the threshold for casinos to file Currency Transaction Reports (CTR). The current $10k threshold for cumulative transactions over a 24-hour period was imposed in 1972, and the AGA believes this should be increased to $60k to reflect the rate of inflation.

The AGA says the current threshold is so low that it “effectively captures transactions of little or no value to law enforcement” while noting that the casino industry files an estimated 1m CTRs per year, with each CTR taking about “45 minutes of effort” to compile.

Grand Korea Leisure getting beat up at home and abroad

South Korean casino operator Grand Korea Leisure (GKL) has spent most of 2017 getting beat up by Chinese politicians and domestic competitors.

GKL’s second quarter earnings report was released this week, and it made for grim reading. Revenue in the three months ending June 30 was down 15% to KRW 109.7b (US $97.2m), operating income fell nearly 44% to KRW 17.6b and net income sank nearly 40% to KRW 15.4b.

GKL’s downward trajectory mirrors its Q1 figures, which saw net income fall over one-third. For the year to date, GKL’s revenue is down 11.5% while profits are 37% lower than at the same point last year. Despite the fiscal carnage, GKL announced it would issue an interim dividend this month of KRW 130 per share, for a total payout of KRW 8b.

Like most Korean casino operators, GKL, which operates three foreigner-only Seven Luck gaming venues – two in Seoul and one in Busan – has been battered by Beijing’s decision earlier this year to restrict Chinese group tours to Korea to protest the deployment of a US missile system on Korean soil.

Google Play officially welcomes real-money gambling apps

Online gambling apps are flooding Google’s Android app store after the digital giant officially relaxed its ban on the products.

Last month, UK tech watchers broke the news that Google was preparing to lift its longstanding objections to real-money gambling apps in the Google Play app store. Google has now officially updated its policy center detailing the change and what gambling operators need to do to get their product onto the digital shelves.

For the moment, the gambling apps are only accessible via the Google Play stores in the UK, Ireland and France. Google has apparently chosen these markets as a trial run to determine whether or not their societies implode before rolling out the changes in other gambling-friendly markets.

App applicants will need to meet a number of criteria, including proving they have a valid license to offer gambling services in a market, preventing app use in countries not covered by the license, preventing underage users from gambling, including responsible gambling messages, etc. The apps are also prohibited from using Google payments services, including Google Play In-app Billing.