MTGO noted “serious irregularities”
Hong Kong-listed junket investor Amax International Holdings says the temporary shutdown of the Beijing Imperial Palace Hotel will not lead to a further suspension of operations at its casino business inside the hotel, reported the Macau Business Daily.
“As advised by the company’s lawyer in Macau, under the law of Macau, Greek Mythology can continue to operate notwithstanding the close-down of the hotel,” the company wrote in a filing to the Hong Kong Stock Exchange. “However, the temporary close down of the hotel may have a negative impact on the number of visitors and the company’s business plan.”
The hotel closed earlier this year, ostensibly for renovations. The Macao Government Tourism Office cited the property in Taipa for “serious administrative irregularities and a failure to carry out essential fire safety measures,” the newspaper reported. CalvinAyre.com says Macau officials also claim the hotel “harmed the image of Macau’s tourism sector.”
The hotel will remain closed for six months. Casino operations were suspended at the end of December at the request by SJM Holdings, which holds the gaming license. The casino was run by a company called Greek Mythology Macau Entertainment Group Corp. Ltd., in which Amax Holdings holds a 24.8 percent equity interest.
The property has a rocky history. In 1996, Amax Chairman Ng Man Sun first acquired the hotel, then known as the New Century. In 2012, he “temporarily” transferred 80 percent of the property to his former lover Chen Mei Huan. Bad move: She declined to return the stake after the couple parted ways.
In 2013, a Macau court ordered the hotel seized to pay outstanding debts owed to Hoi Cheng Nga, head of the Energy Travel Agency. In October 2015, the hotel changed hands again, becoming the property of Victory Success Holdings. When Amax fought that transfer, Macau’s Court of Final Appeal ruled that Hoi Cheng Nga had the right to sell the Imperial Palace to recover money owed from unpaid VIP gaming commissions.
