http://www.gamblingcompliance.com/node/13608/search/hl/Goa%3B
Goa Operators In Tranche Warfare Over Licensing Change AndrewG's company logo Andrew Gellatly, 15/04/2008 GamblingCompliance Ltd. Goa's state cabinet has agreed to award a tranche of five licences to offshore casinos operating out of the Mandovi river area, raising the prospect of increased competition in a currently undersupplied but controversial market. However, a recent doubling of gaming taxes for operators in the state means that the government also stands to receive a significant revenue boost. Goa's state cabinet has agreed to award a tranche of five licences to offshore casinos operating out of the Mandovi river area, raising the prospect of increased competition in a currently undersupplied but controversial market. However, a recent doubling of gaming taxes for operators in the state means that the government also stands to receive a significant revenue boost. In 1996 the Goa Public Gambling Act (1976) was amended to introduce casino ships to Goa by adding one line to the text of a law that had already authorised games of electronic amusement and slot machines in five-star hotels. The amendment authorised: "table games and gaming on board vessels operating offshore, subject to conditions." But since the modification of the Act, Goa has hosted only two offshore casinos - Advani Group's, M V Caravella and Leela Hotel's, M V Leela. A third floating casino, Maharajah, owned by Creative Gaming Solutions, a subsidiary of the Mumbai-based Pan India Network Infravest Pvt. Ltd., is expected to commence operations within weeks, but speculation has remained over the government's willingness to grant further permissions. That doubt was removed when Goa's Chief Secretary, J P Singh, confirmed last week: "The cabinet has now approved 'in-principle' to grant five more licences to operate offshore casinos in the state." But with investors all looking for the next fast-growing east Asian leisure market, the Goa government has, predictably, already received no shortage of applications for the new tranche of licenses. Estimates suggest as many as twenty-two companies have applied, with some proposals coming from existing five-star hotels operations in the area. Among the applicants, it has been reported that Goa Coastal Resorts and Recreation Pvt. Ltd., Victor Hotels and Motels Ltd. (both from Goa), Cannosa Investment (Hong Kong), and Recreation Centre (Nepal) have all seen their proposals progress to receive 'in principle' approval. Other operators that have been named as applicants include Creative Gaming Solutions Pvt. Ltd., UB Infrastructure Projects Ltd., Herald Publications Pvt. Ltd., Highstreet Cruises and Entertainment Pvt. Ltd., V M Salgaoncar and Bro Pvt. Ltd. Hotel Leela Ventures Ltd., and Clermont Leisure from the UK. In 2005, the Goa government increased the annual licensing fee for offshore casinos from fee from R10m to R50m, (£635,000) but in its state a budget presented last month finance minister Dayanand Narvekar also hiked the entertainment tax to ten percent on all casinos, including those operating offshore. At the same time, the Goa government has also announced an additional fee of R100,000 (£1,270) for hotels holding casino licences. But if the new tranche of five licences looks set to more than double the number of casinos operating out of the Mandovi River and boost the government's coffers along the way, it is not happening without controversy. While Manguirish Pai Raikar, Vice-President of the Goa Chamber of Commerce and Industry (GCCI), said he believes the expansion of casino operations in the area "will attract a different segment of people who never come down to Goa, helping the state's economy, as well as hotels," the state's opposition parties remain resolutely opposed to casino tourism in the state. "We don't want to turn Goa into a gambler's paradise. We strongly oppose offshore casinos here," said leader of the opposition and former Chief Minister Manohar Parrikar. "By promoting casino tourism, we will be losing on quality tourists," The BJP has opposed offshore casinos since their beginnings in Goa, viewing them as socially corrosive. * * * Goa's Casino Boats In Licensing Limbo Richard Orange, 11/12/2007 The first of Goa's planned casino boats should be ready to start operations on Goa's Mandovi River by late January, although whether they will be able to catch the end of Goa's high season looks increasingly dependent on the whim of the regional government. The first of Goa's planned casino boats should be ready to start operations on Goa's Mandovi River by late January, although whether they will be able to catch the end of Goa's high season looks increasingly dependent on the whim of the regional government. The first of Goa's planned casino boats should be ready to start operations on Goa's Mandovi River by late January, although whether they will be able to catch the end of Goa's high season looks increasingly dependent on the whim of the regional government. John Snowball, who is overseeing the development of Essel Group's Maharaja Casino boat, said either his boat or the rival Casino Royale, which is being developed by India's Modi family, would be in place within two months. However, before they can begin operations, the ships must first be accredited by the marine authorities, primarily Delhi's Directorate General of shipping, before receiving gambling license to the state government. Snowball said the process was fraught with risk for potential investors. Each boat will have to be fully fitted out before the authorities will issue the licenses. Snowball estimates the consortia have already spent upwards of US$13m. Snowball recently moved to the Essel venture from Premier Leisure, where he ran the Winner's Casino and was helping develop the Pride of Goa casino boat. He said the Maharaja Casino was the only boat that had already begun training Goan locals to work the card rooms, a process the Modi group plans to begin in January. The Maharaja is presently being fitted out in Mumbai, in nearby Maharashtra. Snowball said "The big difficulty is not so much getting your boat together but getting sufficient management and staff together. You can't just find 150 gaming staff and 20 supervisors at the drop of a hat, because they don't exist." Since the Goan government allowed 'offshore' casinos in 1996, it has granted two licenses. In 1997, it granted a license to the Caravela, a joint venture between Advani Hotels Resorts and Casinos Austria sited on the Mandovi River. Last year it granted a license to the Leela, a venture of the Leela Hotel group. Twenty one companies applied in the recent licensing round and the Goan authorities have said they may allow between three and four new boats. The banks of the Mandovi river at the Goan capital of Panjim now looks set to be developed as a strip of casinos, after plans for other rivers have run into trouble. The Leela is now moving to the Mandovi, after its arrival in the river Sal earlier this year sparked a wave of protests and the Essel and Modi boats will both be situated there. http://www.gamblingcompliance.com/node/10750/search/hl/Goa%3B