Several appeals argue that the owners of Parx Casino are not legitimately allowed to operate a second casino in Philadelphia under state gaming laws.
The South Philadelphia casino that has been granted a license by the Pennsylvania Gaming Control Board final month will face a range appeals from competitors, a move that has been expected by most observers as quickly as the license was granted.
Those appeals are coming both from losing bidders in the certification process and the SugarHouse Casino, which is already operating in Philadelphia.
The brand new license ended up being awarded to the Live Hotel and Casino, home that may be located into the Sports Complex in South Philly.
Operators Greenwood Gaming and Cordish Cos of Baltimore say that the center will likely be synergistic aided by the sports venues there, which could help retain site visitors for multiple day trips towards the area.
Appeals Were Expected Regardless of Winner
Even before that license ended up being awarded, it seemed that appeals were likely regardless of whom would win. SugarHouse has argued that a second casino in the city will simply take company away from their website without growing the market, while there were certain to be hard feelings from losing bidders.
Within the final end, at least four appeals had been filed: three from losing bidders and another by SugarHouse. There were a true number of various arguments brought forward by those submitting the challenges, but they mostly boiled down seriously to two points that were additionally brought up throughout the licensing process.
First, there is the idea that the casino market within the Philadelphia area, as well as perhaps in the entire region, is currently saturated. This argument is primarily being made by SugarHouse, once the casino that is existing the main one probably to miss out should an extra casino be opened into the city.
‘ The addition of another casino will not grow the market,’ said attorneys representing SugarHouse. ‘Instead, it will result in the cannibalization of revenues from existing casinos towards the detriment of both the Philadelphia gaming market as a complete, as well as the commonwealth.’
Eligibility of Ownership Group Questioned
The argument that is second which seems to have been brought up in all four appeals in certain kind or another, is that Greenwood Gaming is in fact ineligible to get a casino permit in the state of Pennsylvania.
This will be as a result of the act that the business already has and operates the Parx Casino in Bensalem; according to those appealing the decision, giving this venue that is second Greenwood violates the state’s gaming laws.
‘Certain individuals and entities who maintain an ownership curiosity about Stadium also maintain an ownership curiosity about 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 apply for a even category two permit, which is slot machines, and Parx owns a competition track in Bensalem.’
A appeal that is similar 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 grounds that the Greenwood-Cordish casino ‘would constitute a violation of both the letter and spirit of the Gaming Act.’ PHL also believes that the board didn’t correctly consider neighborhood support or opposition of each project, or the ‘mandate to ensure minority inclusion as an integral part of the winning bid.’
The appeals were filed week that is late last just with time to meet a 30 day deadline to challenge the gaming control board’s decision in the state Supreme Court.
Macau Casinos See Major Changes in 2014
Macau casinos have seen much less traffic inside their VIP rooms since the government that is chinese a corruption crackdown. (Image: Wikimedia Commons)
Macau had been already the world’s gambling hub that is largest going into 2014, and it had beenn’t even close. Nothing that occurred over the past year has threatened to alter that: the Chinese enclave nevertheless produces revenues that outstrip Las Vegas several times over.
But revenues have started to fall significantly for the time that is first the marketplace opened up to foreign operators, and there are certainly alterations in store for operators and players alike.
Mainland Crackdown Hurts VIP Spending
Historically, Macau’s dominance is built on the backs of high-stakes VIP gamblers who is able to spend tens and sometimes even hundreds of thousands on a single bet. But that market has been drying up due to new policies from the Chinese government that have started to hurt the flow of money to Macau.
At issue is a campaign that is major reduce corruption in China, one which has scared down many gamblers who want to illegally bring money from the mainland to Macau.
There are restrictions to so how much money is allowed become taken off the mainland legally, but whales had previously had the oppertunity to find an abundance of methods around this. Junkets would give fully out (unenforceable) loans, while pawn stores in Macau would fraudulently process transactions that resulted in cash that could possibly be utilized by gamblers or money launderers.
These methods haven’t disappeared by a shot that is long however they have tightened up a bit. Fewer officials are willing to help gamblers smuggle funds into Macau, and there are now lower limits on the amount of money that can be withdrawn from a UnionPay debit card every day. That’s been enough to see large declines that are year-over-year revenues for Macau’s gambling enterprises: in October alone, revenues dropped by way of a record-breaking 23 percent.
Casinos Hope to Attract More Mass Market Traffic
Even before any risk of 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 market that is high-end develop for them. The crackdowns that hurt their whales just made those low-spending gamblers a much more focus that is immediate and one that may have helped to reduce the damage the marketplace saw as the VIP sector declined.
As expected, Macau saw significant growth in the mass market segment early in 2014. But that too begun to slow as the year wore in.
Those on the higher end of this mass market designation, big spenders who don’t qualify for VIP status, were affected by the government that is new just as much as the highest rollers who occupy exclusive personal gambling rooms.
A number of the slowdown has also been caused by a smoking ban in Macau gambling enterprises, one that only applies to the casino that is general and not VIP spaces which are separated from the remaining portion of the gambling areas.
Labor Issues Plague Macau
There is additionally the extremely issue that is real of strife in Macau, a challenge that is hitting the gambling industry on two fronts. For starters, there exists a labor that is potential as increasingly more casinos are being built and there are few people kept in Macau which can be looking for jobs.
Which has increased force on wages, not just in the casinos but in other companies that need to contend with the gambling industry straight for jobs.
Nevertheless, many casino employees believe they are getting a raw deal from their companies. Labor unrest happens to be increasing in Macau, with several demonstrations and protests having taken place this season.
Hundreds of casino employees walked off of their jobs in early October as an ingredient of a movement to need better advantages and higher wages from an industry that is raking in enormous profits despite having the market slowdown that is recent.
New York Governor Andrew Cuomo Calls For Fourth NY State Casino License
Nyc Governor Andrew Cuomo flip-flops on Southern Tier casino license concern after the controversial choice to ignore the area 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 license, to encompass the Southern Tier area of upstate New York.
The area ended ladbrokes casino no deposit bonus up being overlooked by the Gaming Commission panel when three licenses were provided to many other regions on 17 december.
Initially, when 22 casino companies applied for the straight to bid for a share of the expanded nyc casino gaming market, four were up for grabs, meaning there is scope to reopen the bidding for the final license.
And while the Gaming Commission is under no legal responsibility to act on Cuomo’s request, it does are categorized as their authority as being a state agency to request it, plus the letter will probably involve some impact.
‘As this could 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 the first round,’ recommended Cuomo. ‘ in the event that you agree to the demand, the [casino board] should quickly establish a process for the license that is fourth could be complete as expeditiously as possible, once the Southern Tier needs jobs and investment now.’
Answer the Fracking Question
While Cuomo initially stated he would stand by the decision for the board, his championing that is sudden of economic requirements regarding the region may have something doing with his choice to ban fracking into the area because of perceived health risks. The Southern Tier is definitely an area rich in shale and gas, and fracking could have brought a big boost that is economic.
He may have been ashamed 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 the license. Gural was infuriated by your choice of the board, which, he stated, simply made no sense. A casino in the Southern Tier could be completely 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. ‘but the social people regarding the Southern Tier, they just told them ‘no fracking’ and now they give 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?’
Choice Sparks Fury
‘And what really pisses me off,’ he continued, ‘is the governor asked me to invest $800,000 of my cash to pass Local Law 1, Proposition One [to expand casino gaming in the state]? What was that all about? I mean… the entire thing is sickening to be honest with you.’
Politicians for the area also expressed their dismay, including Senator Thomas Libous who really challenged the governor to intervene. ‘It’s great news,’ Libous said this week. ‘He’s going to go to bat for the Southern Tier. I’m extremely pleased with that. I’m hopeful the commission will look to starting the process for that 4th license in the Southern Tier.’
Lee Park, a spokesman for the commission and also the board, gave it all a maybe that is definite.
‘We have actually received the letter and are reviewing it,’ he said.