The infamous Article 56 of the new law to regulate casino activities, also called the “junkets bill,” has been dropped from the bill’s final version by the second standing committee of the Legislative Assembly (AL).
The article had sparked polemic among lawmakers and the public because it called for collaboration between those entities providing information to the government regarding the activities of the casinos, gaming promoters (junkets) and management entities, among others.
According to the president of the committee, lawmaker Chan Chak Mo, Article 56 has been completely erased from the latest version of the bill, after the committee finalized its review yesterday. The duty of providing the necessary documentation to the concessionaires has been added to Article 5.
Responding to a media inquiry, Chan said that after the previous discussion and the concerns expressed, “the government decided that the scope of the former Article 56 was too broad and, because it could eventually be imposed on any person or entity, it was too subjective. We also thought that this could create a problem and now the government has decided to remove it completely.”
To ensure that junkets, and management companies or entities behave responsibly, the requirements were added to a new Article 5. Chan said that in order “to ensure the reputation and the financial capacity of the companies, the concessionaires must provide the necessary documentation to the Gaming Inspection, and Coordination Bureau (DICJ).”
Explaining the difference, Chan noted that the requirement now stipulates that the concessionaires have the responsibility to provide enough information to DICJ.
Asked whether this solution finally solves the potential problems raised in the past over the breaching of the duty of professional confidentiality by lawyers or legal advisors as well as accountants and auditors, Chan said that it is now clear that the DICJ will not request information from any entity except the concessionaires.
“If there is a need to provide a document or a certificate that is in the possession of the lawyers or accountants, it is the concessionaire that should ask for it and then present it to the DICJ,” he clarified.
He added that, “according to the new version of Article 5, especially section 2, if the concessions cannot provide the documents, it’s presumed that the entity or company lacks the reputation or financial capacity,” Chan said.
Committee asked govít to set a date
Lawmakers on the second committee of the AL are concerned the government has not clearly stated a precise date for the law to be enforced.
Lawmakers want the government to set a date and to clarify whether it will be January 1, 2023, like the new gaming law to which it is related, or a different date.
The government explained it decided to stated the law will come into force from the date of the new gaming concession contracts because the government cannot ensure all gaming concession contracts will be signed and come into force on the same day.
But lawmakers still think that, to avoid confusion and misinterpretation, the government should find a way of establishing a precise date.
ID card for junkets staff
This last meeting of the second standing committee of the AL also questioned how patrons and authorities would be able to determine whether a staff member working on the gaming floor is part of the concessionaire, or from a junket.
Lawmakers proposed that all junket staff members wear a uniform identification card, approved by the DICJ, so they may be easily distinguished from other concessionaire workers.
Responding to the call of the lawmakers, Chan said the government would consider the matter and see if there is a need for an identification card as well as a uniform model for all the promotors.
New law to regulate credit for gaming not crucial
One article of the bill mentions the need for it to relate to the regulation on the attribution of credit for gaming.
As the bill notes, and as the president of the second standing committee of the AL also mentioned, this regulation will be separate from both the gaming law and the law for the operation of casino games, being a separate and autonomous bill.
Acknowledging that the amendments to this law have not yet been presented by the government to the AL, lawmakers also questioned the government statement that, although there is an intention to update this regulation soon, the current law, which dates from 2019, is still sufficient to handle most cases, and that this is the reason the government is not rushing to present a new bill.
The same government officials added that this law can enter into force in combination with the current law of credit for gaming activities, noting that it is not crucial to amend it before the new gaming laws come into force.
