Beware Bermuda

A bill introduced by Minister of Economic Development and Tourism Jamahl Simmons (l.) that would give the legislature control over the Bermuda Gaming Commission could end the integrity by which Bermuda has been known for so many years. The bill won’t just impact gaming, but all industries that find Bermuda regulations so appealing.

Bermuda Minister of Economic Development and Tourism Jamahl Simmons just upped the ante in his desire to remove Alan Dunch as chairman of the Bermuda Gaming Commission. Simmons last week introduced the Casino Gaming Amendment 2017, which would give him the authority to remove the chairman of the commission, Alan Dunch. While the bill has been tabled, it’s likely to be revived once Simmons can arrange enough votes to fast track it through the legislature.

 

The minister makes some outrageous claims about the bill that are patently untrue, but for anyone not versed in gaming may seem reasonable. For example, Simmons says, “The Casino Gaming Amendment 2017 I tabled brings Bermuda in alignment with other jurisdictions.”

 

That is clearly a lie. In no respected gaming jurisdiction can the government remove a duly appointed member of a gaming commission without proof of wrongdoing. And there are no charges of wrongdoing in the Dunch case. In fact, Simmons has yet to give any reasons why he has thrice attempted to remove Dunch. Just a week prior to the first attempt, he publicly supported Dunch. And apparently he doesn’t even understand his own casino gaming law since he tried and failed to fire Dunch.

 

Simmons also says, “This amendment will not interfere with the independence of the commission in investigations and enforcement of our casino gaming laws.” He has the gall to say that immediately after remarking, “The amendment will allow the government to give policy direction to the Casino Gaming Commission and will allow the minster to remove members of the commission who do not follow legal directions issued by the government.”

 

The latter statement strips the commission of any independence since the members would be removed if they didn’t follow the directions of the government! If that’s independence in Bermuda, some of the world’s most prestigious financial companies that use Bermuda as a home for their subsidiaries should be taking notice.

 

And in case you missed it, Dunch is in hot water because he objected to a deal made by the previous government—without any input from the commission—that would have allowed cashless gaming operated by one company that would have garnered millions of dollars in profits. The company, Banyan Gaming, its predecessors and its partner MM&I, surrendered their gaming licenses in several respectable gaming jurisdictions.

 

Now in a letter the Speaker published by Bernews.com, Simmons says the current government has no deal with this company or any other for cashless gaming but wants to retain the ability to do so.

 

“To achieve this,” said Simmons, “we will work with partners who are more interested in working together with mutual respect and who are also committed to upholding Bermuda’s well-earned reputation for being a jurisdiction of impeccable standards of openness, transparency and free of corruption.”

 

But if the government controls what the commission will or will not approve, this is the definition of corruption. A commission that is dependent upon the government for its jobs and funding will simply be a rubber stamp for any deal negotiated by the government along with any strings that are attached to such a deal.

 

Once again, the transparency and integrity of the Bermudian government has achieved in all industries are at risk should the legislature pass this measure. All the years of operating with the respect that Bermuda has earned will come crashing to earth with a government that controls what has been designed to be an independent and fair regulatory body.

 

Perhaps some officials in Bermuda should contact the regulatory boards in New Jersey, Nevada, the United Kingdom or any reputable gaming jurisdiction. Find out what the procedure is in those regions to remove a sitting commissioner. It’s not easy. This measure will do irreparable harm not only to Bermuda gaming but Bermuda business as a whole.

 

Thus far, Bermuda gaming regulations have been fair and transparent. Some may think it’s taken too long to open the first casino, but it’s a process that can’t be rushed. If this bill goes through, it will be rushed and you’ll never know what has been approved until the money starts flowing. 

Articles by Author: Roger Gros

Roger Gros is publisher of Global Gaming Business, the industry’s leading gaming trade publication, and all its related publications. Prior to joining Global Gaming Business, Gros was president of Inlet Communications, an independent consulting firm. He was vice president of Casino Journal Publishing Group from 1984-2000, and held virtually every editorial title during his tenure. Gros was editor of Casino Journal, the National Gaming Summary and the Atlantic City Insider, and was the founding editor of Casino Player magazine. He was a co-founder of the American Gaming Summit and the Southern Gaming Summit conferences and trade shows.
Roger Gros is the author of the best-selling book, "How to Win at Casino Gambling" (Carlton Books, 1995), now in its fourth edition. Gros was named “Businessman of the Year” for 1998 by the Greater Atlantic City Chamber of Commerce and received the Lifetime Achievement Award from the American Gaming Association in 2012 as part of the annual AGA Communications Awards.