Each week, CasinoBeats breaks down the numbers behind some of the industry’s most interesting stories. In the latest edition of ‘the week in numbers’ we take a look at Casumo’s first M&A agreement, a fine for Sydney’s Star Casino and a Jamul Casino lawsuit.
81
Chancellor Rishi Sunak has been urged to take swift and decisive action to secure the future of London’s high-end casinos, including an amendment to section 81 of the Gambling Act 2005 to change “outdated legislation”.
The eight venues in question, including Les Ambassadeurs Club, Crown Aspinalls London and Crockfords Club, are all located in the capital, employ 1,350 workers, and are said to contribute around £150m a year in tax, as well as generating £188m for London’s GDP and at least £120m in additional tourism spend.
After various casinos across England enacted reopening strategies on August 15, the Betting and Gaming Council warns that the aforementioned eight remain shuttered and at risk of permanent closure at the end of the year.
That is, the BGC says, unless the government modernises the law, which effectively forces big spenders visiting the UK to use cheques in order to be able to play.
90,000
The New South Wales Independent Liquor and Gaming Authority has fined Sydney’s Star Casino a total of AU$90,000 over three instances involving children gambling and being served alcohol.
Self reporting the incidents that occurred during a four-month period from March – July 2019, it follows the property documenting 32 instances of minors gaining access to restricted areas of the casino last year, a figure marginally down from 35 a year earlier.
The first instance regards a 12-year-old whose parents sneaked her in to play the pokies, with the girl’s mother evading security by holding open an exit door as patrons came out, then guided her straight on to the main gaming floor.
Once inside, the family, visiting from China on tourist visas, saw the primary school student place 21 bets on several poker machines, before being intercepted by security as they were leaving the casino.
40
Malta headquartered Casumo has announced its first M&A agreement after inking a deal to purchase online casino operator CasinoSecret.
Complementing the group’s growing portfolio within the online gaming space, the acquisition follows an initial purchase of a 40 per cent stake by Casumo at the end of 2019 and is said to represent “the development of a thriving partnership between the two companies”.
CasinoSecret, founded in 2018, operates under an MGA license, with the fellow Malta-based operator placing a focus on player experience and bringing further excellence in product and marketing to the group across multiple markets.
Casumo says that the move marks the latest stage of its ongoing growth strategy, which includes a combination of performance and market-driven growth of existing brands, the building and introduction of new brands and products, as well as the addition of valuable assets to its portfolio through acquisition.
3
Jamul Indian Village of California has filed a lawsuit against Lexington Insurance Company for an alleged denial of coverage regarding losses suffered by its Jamul Casino property, triggered by a temporary closure to combat the spread of coronavirus.
Filed against Lexington, a wholly-owned subsidiary of American International Group, in the Intertribal Court of Southern California, Jamul, which has requested a jury trial, alleges “causes of action for declaratory relief, breach of contract, and breach of the implied covenant of good faith and fair dealing”.
Furthermore, the tribe also alleges that Lexington has wrongly required ‘physical’ damage or destruction of property to receive coverage under the ‘Interruption by Civil Authority’ provision of the policy, despite the fact that the word ‘physical’ does not appear in this provision.
Additionally, Jamul asserts that Lexington is unreasonably relying on a ‘pollution exclusion’ of the policy, which does not specifically exclude coverage for losses related to contagious diseases such as viral or bacterial infections.
Jamul Casino shut down its operations for approximately two months from March 20, 2020, and says that it had three active ‘all risk’ policies with Lexington when the venue closed during the initial outbreak of the virus.
100
The first grants as part of a ten-year £100m National Lottery-funded Climate Action Fund have been rolled-out to communities across the UK to help tackle climate change.
The National Lottery Community Fund has announced an initial £14m in grants as it aims to reduce the carbon footprint of communities and support movements that can demonstrate what is possible when people take the lead in tackling climate change.
Financial aid from The National Lottery Community Fund will support these projects to work together, share learning and be catalysts for broader and transformative change.
Cumbria Action for Sustainability tops the 14-strong list with £2.5m, ahead of the Wildlife Trusts of Wales and Voluntary Action Leeds’ £2.49m and The Women’s Environmental Network Trust who received £2.12m.
