Novas regras

out21

Provisions included in the future gaming law revision draft proposal concerning profit distribution and capital held by resident shareholders intends to assure gaming operators focus their activities in Macau and contribute to the local economic diversification, a Gaming Inspection and Co-ordination Bureau (DICJ) representative said in one of the last sessions of the public consultation for the new gaming law. https://www.macaubusiness.com/gaming-operators-dividend-distribution-control-set-to-assure-local-economic-diversification-dicj/

out21

Nº licenças

Hoi Song U, chefe da Divisão Jurídica da Direcção de Inspecção e Coordenação de Jogos (DICJ), afirmou que, na fixação do número de licenças de jogo, o Governo vai valorizar mais a “qualidade” do que a “quantidade”. Frisou ainda que restringir o número das licenças de jogo não significa enfraquecer a competitividade do sector. Hoi disse ter esperança de que se possa manter a estabilidade da dimensão do sector, podendo permitir ao Governo cativar a entrada de grupos com alto potencial de desenvolvimento e fortes capacidades financeiras no mercado local, por forma a elevar a competitividade internacional de Macau. https://jtm.com.mo/local/numero-prazo-das-licencas-em-foco-na-consulta-sobre-lei-jogo/

Out21

definition of a non-gaming element

Saturday’s public consultation ran for around 70 minutes and attracted eight questions from members of the public on various topics including family facilities in IRs, competition from other regions, developing local talent, CSR (corporate social responsibility), harm minimization, pollution of the environment, capitalization of the concessionaires and the definition of non-gaming elements. On the latter point, DICJ Subdirector Lio said, “There is no concrete definition of a non-gaming element yet. We want more opinions, to see how we should define non-gaming elements.” https://www.asgam.com/index.php/2021/10/24/dicj-tells-public-consultation-that-government-representative-will-not-impact-concessionaire-operations/

out21
government representative: The possible appointment of a government representative to each of Macau’s casino concessionaires will not affect their operations, the DICJ has confirmed. In response, Subdirector Lio referred to the government’s consultation document and added, “This is not a new concept in Macau. The purpose of the government representative is to ensure the healthy development and supervision of the concessionaires. “But whether we send a government representative or don’t send a government representative will not affect the operations of concessionaires.” The comments, from DICJ subdirector Lio Chi Chong, were made in response to questions from a member of the public during the second of four public consultation sessions to be hosted by the Macao SAR Government. https://www.asgam.com/index.php/2021/10/24/dicj-tells-public-consultation-that-government-representative-will-not-impact-concessionaire-operations/

Macau’s Gaming Inspection and Coordination Bureau (DICJ) told senior representatives of the city’s gaming industry on Monday that it will consider both Macau’s employment market and ROI for investors in determining the length of licenses to be issued under the upcoming re-tendering process for Macau’s gaming concessionaires. The update formed one of the few pieces of new information provided by the government during a face-to-face consultation with Macau’s casino and junket operators, held yesterday on the fifth floor of the DICJ offices at the World Trade Center on the Macau peninsula as part of the 45-day public consultation process announced last week to consider proposed amendments to the gaming law. The DICJ also confirmed its intention to scrap the city’s sub-concession system, warning that it could create instability by noting such a system could in theory lead to the issuance of any number of sub-concessions or even sub-sub concessions. https://www.asgam.com/index.php/2021/09/21/dicj-holds-concessionaire-junket-consultation-on-re-licensing-a-whos-who-of-macaus-big-guns-in-the-room/

need to approve dividend distribution to shareholders 

 The Macau government has suggested a need to approve dividend distribution to shareholders by the city’s casino operators. The proposal is included in a government document regarding the revision of the city’s gaming law, published on Tuesday and put for public consultation starting on Wednesday (September 15). In the document, the government proposes to include a provision in the city’s gaming law stating that the distribution of dividends to shareholders by the city’s casino concessionaires – either in cash or shares – “cannot be done unless it fulfils specific requirements” yet to be disclosed, and “obtains prior authorisation from the Macau government.” The document says the move aims to ensure that profits from gaming operations are “properly applied in promoting the sustainable development of Macau,” including the city’s economic diversification. https://www.ggrasia.com/govt-nod-needed-for-macau-ops-to-pay-dividends-proposal/

to end the system of “sub-concessions” The Macau government seeks, under proposed changes to the city’s gaming law framework, to end the system of “sub-concessions” that enabled three extra Macau licensees to be created from what had been envisaged as a three-concession system at the advent of market liberalisation at the start of the century. https://www.ggrasia.com/macau-may-end-casino-sub-concessions-directly-monitor-ops/

There are also plans for government-appointed “delegates” to oversee how gaming operators fulfil their concession duties. The moves are mentioned in a document outlining a public consultation on the future of the industry, including the revision of the city’s gaming law. https://www.ggrasia.com/macau-may-end-casino-sub-concessions-directly-monitor-ops/

the number of concessions it proposes revising the number of concessions and abandoning the current system of sub-concessions. The government is also considering changes to the length of the concession period and measures to protect local employment. The document doesn’t suggest a number for how many concessions should be issued, or any proposals on their maturity, although it does suggest a 20-year term may be too long. LINK “The government has no specific prerequisite on the number of gaming licenses although it needs to maintain a certain scale to ensure tax revenue,” “But it (the number of gaming concessions) should not expand without limitation.” https://www.asgam.com/index.php/2021/09/15/sub-concessions-axed-license-terms-amended-as-macau-government-reveals-draft-revisions-to-gaming-law/

JUNKETS Macau’s junket industry will contract even further under proposed changes to the gaming law, analysts say. The latter of those looms large for junkets, with the government looking to clamp down on the practice of VIP rooms accepting player deposits and to hold concessionaires more accountable for the actions of junkets operating under their roof. “During the daily operation, it is common that players will deposit certain money they win as deposit with the casino (direct VIP) and junkets,” wrote Credit Suisse analysts in a Tuesday note. “The regulation against such practice may not only shrink the working capital pool of the players, but also increase the transactional costs of the high end players as they would have to transfer money to Macau for gambling every time.” https://www.asgam.com/index.php/2021/09/15/draft-gaming-law-suggests-further-contraction-of-macau-junket-industry-analysts/ The act of a patron leaving their deposits with a Macau casino, via the respective VIP host or a junket, should still be legitimate as long as the deposit funds involved are used only for gambling, according to both the current rules and the government-drafted new rule against the so-called illicit deposit taking activities, say lawyers and a scholar spoken to by GGRAsia. “Casino gaming is a cash-based business, after all. I believe that bona fide patrons would still be able to place their chips and cash for gaming purposes in their non-interest-bearing membership accounts, adhering to the regulatory and record-keeping requirements,” Macao Polytechnic Institute gaming scholar Ryan Ho Hong Wai remarked to GGRAsia. https://www.ggrasia.com/player-deposits-ok-under-macau-gaming-law-update-experts/ The Macau government’s suggested further regulation of the city’s junket operators, as part of plans to revise Macau’s gaming law, is not designed to “drive out” junkets from the local market, asserts Alvin Chau Cheok Wa (pictured in a file photo), boss of privately-held VIP junket business Suncity Group. Mr Chau said the Macau government’s aim was to “differentiate” capital used for gambling purposes from any capital that might be used for any form of illegitimate purpose. Several experts spoken to last week by GGRAsia made the same distinction. “It is not to completely bar the patrons’ capital from coming here: if the patrons don’t pay us, how are we to purchase gaming chips on their behalf?” Mr Chau told the Hong Kong Economic Journal. https://www.ggrasia.com/macau-law-proposals-will-not-drive-out-junkets-chau/