A few appeals argue that the owners of Parx Casino are not legitimately permitted to operate a casino that is second Philadelphia under state gaming laws.
The Southern Philadelphia casino that was issued a license by the Pennsylvania Gaming Control Board month that is last face a wide range of appeals from competitors, a move which was expected by most observers as soon as the license ended up being granted.
Those appeals are coming both from losing bidders in the licensing process therefore the SugarHouse Casino, which is already running in Philadelphia.
The new license ended up being awarded to the Live Hotel and Casino, a property which will be located in the Sports Complex in South Philly.
Operators Greenwood Gaming and Cordish Cos of Baltimore say that the center would be synergistic utilizing the sports venues there, that could help retain site visitors for numerous day trips to the area.
Appeals Were Expected Regardless of Winner
Also before that license ended up being awarded, it seemed that appeals were likely no matter whom would win. SugarHouse has argued that a second casino in the city will simply take business away from their store without growing the market, while there were certain to be hard feelings from losing bidders.
Within the final end, at the least four appeals had been filed: three from losing bidders and another by SugarHouse. There have been a true number of various arguments brought forward by those submitting the challenges, but they mostly boiled down to two points that were also brought up during the licensing process.
First, there’s the idea that the casino market within the Philadelphia area, and perhaps in the entire region, is currently saturated. This argument is primarily being made by SugarHouse, once the existing casino is usually the one likely to lose out should a second casino be opened in the city.
‘ The addition of another casino shall not grow the market,’ said solicitors representing SugarHouse. ‘rather, it shall result in the cannibalization of profits from existing casinos to the detriment of both the Philadelphia gaming market as an entire, in addition to the commonwealth.’
Eligibility of Ownership Group Questioned
The second argument, which appears to have been brought up in all four appeals in a few type or any other, is that Greenwood Gaming is obviously ineligible to get a casino license within the state of Pennsylvania.
This is as a result of the act that the company already owns and operates the Parx Casino in Bensalem; according to those appealing the choice, providing this second venue to Greenwood violates the state’s gaming laws.
‘Certain people and entities who keep an ownership fascination with Stadium also maintain an ownership interest in Parx, which exceed the thresholds stated in the Gaming Act,’ said Frank Keel, a representative of Bart Blatstein, who proposed building the Provence casino in Philadelphia’s Center City. ‘The Gaming Act prohibits entities which have category one licenses, that is racetracks, to even make an application for a category two ladbrokes casino slots permit, which is slots, and Parx owns a competition track in Bensalem.’
A similar appeal ended up being additionally filed in behalf of Market8, another proposed Center City Casino. The third losing applicant, PHL Local Gaming, has also appealed the casino on the lands that the Greenwood-Cordish casino ‘would represent a violation of both the letter and spirit of the Gaming Act.’ PHL also believes that the board didn’t correctly consider local community support or opposition of each and every project, or the ‘mandate to ensure minority inclusion as a part of the winning bid.’
The appeals were filed week that is late last just in time to meet a 30 time deadline to challenge the gaming control board’s choice into the state Supreme Court.
Macau Casinos See Major Changes in 2014
Macau gambling enterprises have seen way less traffic within their VIP rooms considering that the government that is chinese a corruption crackdown. (Image: Wikimedia Commons)
Macau had been already the world’s gambling hub that is largest heading into 2014, and it had beenn’t even close. Nothing that occurred over the past year has threatened to alter that: the Chinese enclave still creates revenues that outstrip Las Vegas several times over.
But revenues have actually begun to fall significantly for the time that is first the market opened to foreign operators, and there are certainly alterations in store for operators and players alike.
Mainland Crackdown Hurts VIP Investing
Historically, Macau’s dominance has been built on the backs of high-stakes VIP gamblers who are able to spend tens as well as hundreds of thousands on a single bet. But that market has been drying up due to new policies from the government that is chinese have begun to hurt the movement of cash to Macau.
At issue is a major campaign to reduce corruption in China, one which includes scared off many gamblers who would like to illegally bring money from the mainland to Macau.
There are limitations to just how cash that is much allowed become removed the mainland legally, but whales had previously had the opportunity to find a lot of means around this. Junkets would hand out (unenforceable) loans, while pawn shops in Macau would fraudulently process transactions that led to cash that could be utilized by gamblers or cash launderers.
These methods have actuallyn’t disappeared by a long shot, nonetheless they have tightened up a bit. Fewer officials are prepared to help gamblers smuggle funds into Macau, and there are now lower limits on the total amount of money that may be withdrawn from a UnionPay debit card each day. That’s been enough to see large year-over-year decreases in profits for Macau’s casinos: in October alone, revenues dropped with a record-breaking 23 per cent.
Casinos Hope to Attract More Mass Market Traffic
Even before the strain on VIP play started initially to hit home, Macau was currently focused on bringing in more ‘mass market’ gamblers: after all, there clearly was only so much that the high-end market could grow for them. The crackdowns that hurt their whales just made those low-spending gamblers a much more focus that is immediate and the one that could have helped to reduce the damage the marketplace saw while the VIP sector declined.
As expected, Macau saw significant growth in the mass market segment early in 2014. But that too begun to slow because the year wore on.
Those on the higher end of the mass market designation, big spenders who don’t be eligible for a VIP status, were impacted by the brand new government policies just as much as the greatest rollers who occupy exclusive private gambling spaces.
Some of the slowdown has additionally been attributed to a smoking ban in Macau casinos, one that only applies to the casino that is general and not VIP spaces being divided through the rest of the gambling areas.
Labor Issues Plague Macau
There’s additionally the extremely issue that is real of strife in Macau, a problem that is hitting the gambling industry on two fronts. For starters, there exists a prospective labor shortage as more and more casinos are increasingly being built and there are few people kept in Macau being looking for jobs.
That has increased stress on wages, not just in the casinos however in other companies that need to contend with the gambling industry straight for jobs.
Still, many casino employees believe they are becoming a raw deal from their companies. Labor unrest happens to be increasing in Macau, with several demonstrations and protests having taken place this year.
A huge selection of casino employees walked away from their jobs in early October as part of a movement to need better benefits and greater wages from an industry that is raking in enormous profits even with the present market slowdown.
New York Governor Andrew Cuomo Calls For Fourth NY State Casino License
New York Governor Andrew Cuomo flip-flops on Southern Tier casino license concern after the decision that is controversial ignore the location sparks indignation. (Image: Michael Nagle/ Getty)
Governor of ny Andrew Cuomo has written to their state’s Gaming Commission to suggest bidding should be reopened for the casino that is fourth permit, to encompass the Southern Tier area of upstate New York.
The area ended up being ignored by the Gaming Commission panel when three licenses were granted with other regions on 17 december.
Initially, when 22 casino companies applied for the straight to bid for a share of the expanded ny casino gaming market, four were up for grabs, meaning there is certainly scope to reopen the bidding for a license that is final.
And while the Gaming Commission is under no legal responsibility to act on Cuomo’s request, it does are categorized as his authority being a state agency to request it, therefore the letter is likely to possess some influence.
‘As this might be the license that is last in New York State, it may excite national competition by interested events that submit better still applications compared to very first round,’ advised Cuomo. ‘ If you agree for this request, the [casino board] should quickly establish a process for the license that is fourth might be complete as expeditiously as possible, as the Southern Tier needs jobs and investment now.’
Answer the Fracking Question
While Cuomo initially said he would stand by the decision of the board, their sudden championing of this economic requirements regarding the area may have something doing with his choice to ban fracking into the area because of identified health risks. The Southern Tier is an area rich in shale and gas, and fracking could have brought a large boost that is economic.
He might have been embarrassed into action by the response of Jeff Gural, owner of Tioga Downs, certainly one of the two groups bidding for the certain area, and hotly tipped for a license. Gural was infuriated by your decision of the board, which, he stated, simply made no sense. A casino in the Southern Tier will be perfectly logical, he argued, because the closest competitor is Mohegan Sun at Pocono Downs, 90 kilometers south in Wilkes-Barre, Pennsylvania
‘It’s got nothing to do I have enough money,’ Gural fumed with me. ‘nevertheless the people for the Southern Tier, they just told them ‘no fracking’ now they provide them a doubleheader of not only no fracking, but no casino and they are putting it in a area where there are five other gambling enterprises?’
Decision Sparks Fury
‘And what really pisses me off,’ he continued, ‘is the governor asked me to spend $800,000 of my cash to pass law that is local, Proposition One [to expand casino gaming in the state]? What was that all about? I mean… the thing that is whole sickening to be truthful with you.’
Politicians for the area also expressed their dismay, including Senator Thomas Libous whom individually challenged the governor to intervene. ‘It’s great news,’ Libous stated this week. ‘He’s going to go to bat for the Southern Tier. I’m very pleased with that. I’m hopeful the commission will look to opening the process for that 4th license in the Southern Tier.’
Lee Park, a spokesman for the commission as well as the board, gave it all a definite maybe.
‘the letter has been received by us and are reviewing it,’ he said.