Panama: Government Revokes Contracts of Four Gaming Companies

Government Revokes Contracts of Four Gaming Companies

story La Prensa English Edition

The government has decided to revoke the contracts for slot machine hall operations from Comput Bingo, Competiciones Deportivas, Lucky Games and Silver Cup, the four companies granted special concessions during the Ernesto Pérez Balladares administration (1994-1999).

Four gambling rooms feature type-A slot machines run by Lucky Games and Silver Cup in the Coclé and Chiriquí provinces will be shut down.

Giselle Brea, secretary of the Gaming Control Board, said the measure seeks to reduce the number of gaming rooms and provide a response to the scandal involving the minority shareholders of Gaming & Services de Panama.

The decision will particularly affect Spanish gaming company CIRSA, which will be made to pay a fine of $6 million for the alleged violations.

Finally, Brea gave Gaming & Services de Panama 30 days to deliver an affidavit certifying that CIRSA owns 100 percent of its shares and that ther are no other undisclosed beneficiaries.

Brea reported that a bill proposing to amend decade-old gaming regulations and rase taxes on the industry will be presented before the National Assembly on Monday.

Roosevelt Lito Thayer, a minority shareholder in Lucky Games and personal friend of former president Pérez Balladares, claimed he didn't know of the decision.