Just as the trial of former Macau junket head Alvin Chau draws to a close, the case against his business rival Levo Chan is picking up steam.
According to GGRAsia, Chan, who like Chau is charged with illegal gambling that deprived the casinos of rightful revenues, is being sued by five of the city’s concessionaires for a combined HKD134.7 million (US$17.3 million) in lost sales, along with a number of other defendants.
Wynn Resorts is seeking HKD48.3 million in compensation; SJM Resorts has asked for HKD35.6 million; and the Venetian Macau wants HKD47.0 million from individuals involved in the criminal trial. Galaxy Entertainment Group is expected to file a claim, but the amount of damages it will request is as yet unknown.
In addition, MGM Grand Paradise is seeking about HKD3.8 million from several defendants and also two companies, Companhia de Promoção de Jogos Tak Chun and Grupo Levo Lda. The former company is a licensed junket in Macau. The latter was supposedly formed by Chan to take under-the-table bets, thereby “avoiding police investigation,” according to the indictment.
The Macau government also has made a claim of HKD575.2 million, the amount of taxes it alleges it lost due to the junket’s activity.
In addition to Chan, Macau’s Court of First Instance identified the financial suit defendants as Chan Kam Chi, Wong Pui Keng, Wayne Lio Weng Hang, Cheong Sao Pek, Lee Tat Chuen and Choi Wai Chan.
In related news, per Asia Gaming Brief, Macau’s revised junket law is expected to go to the Legislative Assembly for a final vote on December 15. The bill reportedly will bar junkets, their agents and management companies from accepting funds for gambling purposes if those funds aren’t intended for gaming purposes; the criminal offense would carry a two- to five-year prison sentence.
Also under the new law, junkets could only operate with one of the six concessionaires, with applications to be accepted by the Secretary for Economy and Finance, not the city’s Gaming Inspection and Coordination Bureau (known by the acronym DICJ).
The existing 46 junkets are expected to maintain their licenses come January, provided they sign an agreement with a concessionaire, AGB reported. Only companies may be licensed, not individuals. Junkets will be required to document at least MOP10 million (US$1.24 million) in share capital.
After 2024, the government may phase out some of the existing junkets.
