QC - Racetrack deal crosses finish line

Racetrack deal crosses finish line

11 months after announcement. Quebec tracks go to Attractions Hippiques 

PAUL DELEAN, The Gazette

Saturday, November 04, 2006

The wheels of government certainly move more slowly than a racing sulky.

Eleven months after the Quebec government announced an agreement to transfer ownership of Quebec’s four horseracing tracks from its racing agency, SONACC, to Senator Paul Massicotte’s private company Attractions Hippiques, the deal got its final okay from the Quebec cabinet this week.

The company is now authorized to receive 22 per cent of the net proceeds from 1,900 video-lottery terminals (VLTs) at Quebec’s four racetracks - 1,470 more than now - once it invests $75 million building a new racetrack/gaming parlour to replace Hippodrome de Montreal and upgrades those in Trois Rivieres and Quebec City at a cost of $24 million, in partnership with Loto-Quebec.

Attractions Hippiques has been running the tracks in Aylmer, Trois Rivieres, Quebec City and Montreal since October. Quebec City is already closed for renovations, expected to be complete next June.

There are four sites being considered for the local track, two in Laval and two in Boisbriand, but a definitive choice has not yet been announced. It’s expected to take at least two years to build.

"My team and I will work toward creating high-quality recreational and entertainment activities associated with horse-racing, with broad public appeal," Massicotte said.

Finance Minister Michel Audet said the agreement is the culmination of almost two years of work, and will enable Attractions Hippiques to proceed with a development plan eagerly awaited by the Quebec racing industry, which has struggled in recent years with falling attendance and wagering.

pdelean@thegazette.canwest.com

© The Gazette (Montreal) 2006 

© 2006 CanWest Interactive, a division of CanWest MediaWorks Publications Inc.

Posted: November 4, 2006 Comments (0)

Russia - Putin finds casinos not worth the gamble (NYT)

Putin finds casinos not worth the gamble



There are more than 60 of them in the city now, neon palaces of capitalist glitter and risk that have become as ubiquitous as the onion domes of Russian Orthodoxy. One major street, Novy Arbat, has more than a passing resemblance to the Las Vegas Strip, and even a casino called the Mirage.

There is just one cloud on this rosy horizon: They are all to be closed, though perhaps not for a while.

Pressed by President Vladimir Putin, the only political authority that matters anymore, lawmakers are drafting a law that would banish casinos, slot-machine parlors and other gambling halls from Moscow, though they could be allowed to operate in a few other places.

Unless lawmakers buck Putin, which has yet to happen, the new law would do more to alter the cityscape of Moscow than any other since the collapse of the Soviet Union. The Soviet government banned gambling until the end of the 1980s and, perhaps not coincidentally, the end of its history.

The first big casinos followed hard on the Soviet collapse, but they have proliferated since 2001, when an easing of licensing rules coincided with Russia’s growing economic boom, creating a frenzy of easily disposed income. Industry officials here estimate that nearly $6 billion is spent on gambling each year in Russia.

Moscow now has more casinos than any other cities except Las Vegas and Miami, according to the World Casino Directory, an online industry association.

"The new Russians - I would say 80 percent are gamblers," a gambler who declined to give more than his first name and patronymic, Vadim Pavlovich, said as he moved from the poker table to the roulette wheel at a casino here called Jazz Town. He estimates casually that he had lost a million dollars over time, money earned, he said vaguely, from wholesale trading. "I have made enough to lose a million dollars," he said, fingering the chips in his hand.

The gambling boom, perhaps inevitably, has generated a populist backlash that seems to have spurred Putin to act. While Russia hardly has a prudish society - with its abundance of strip clubs and a robust pornography industry - opposition to gambling has become increasingly vocal.

"The gambling industry is highly unethical," said Aleksander Lebedev, a billionaire businessman and Parliament member who has long advocated a crackdown. "It is legalized robbery."

Religious organizations, as well as the Public Chamber, a Kremlin-appointed advocacy council, publicly appealed this year for greater control, especially on slot machines. Two predominantly Muslim regions - Chechnya and Dagestan - have shut gambling parlors, while Tatarstan moved last month to restrict them to two special zones.

On the national level, the lower house of Parliament has dickered for years over less sweeping changes to laws regulating gambling, voting already this year on a bill that would have distanced casinos and gambling halls from places like schools.

Parliamentary leaders dropped that bill and put Putin’s far-stricter version on a fast track after he denounced gambling as a scourge in a public meeting with party leaders last month. A first vote on the legislation is scheduled for Nov. 17.

"Unfortunately, this concerns not just young people," Putin said last week about the effects of gambling on young people during a choreographed question-and-answer session with the public.

"Unfortunately, pensioners also leave their last kopecks and pensions there. Specialists say that this gambling addiction is even stronger than addiction to alcohol. This is a serious problem, and it has to be dealt with like the spread of alcohol in the country."

Putin’s proposal appears to have popular support. In a recent poll of Russians by the independent polling agency VTsIOM, 65 percent of respondents favored restricting all gambling to special zones, while only 18 percent were opposed.

The details of the law must still be put to paper, but Putin has said it would restrict all gambling to only four specially designated zones - evidently to be decided upon by his government later. The parliamentary speaker, Boris Gryzlov, emerged from the meeting with Putin last month vowing to allow casinos only in unpopulated areas.

Vladimir Zhirinovsky, the nationalist party leader who was beside him, interjected, "Virgin forests!"

By all accounts, the legislation would banish gambling from Moscow and other major cities, although, according to Itar-Tass, one version could create an exception for places more populated than the unspoiled forests mentioned by Zhirinovsky. Gryzlov said only that the zones would be spread across the country: one in the Far East, one in Siberia and two in European Russia.

In a concession to existing casinos, the law would not take effect immediately but be phased in by 2009 - time enough, supporters like Lebedev said, for owners to recoup their investments and close or relocate to the new zones.

Already some cities or regions have lobbied for the designation and the tourism and tax revenue it could bring. They include Kaliningrad, the enclave between Poland and Lithuania, and Kalmikia, a Buddhist region on the northeast coast of the Caspian Sea governed by President Kirsan Ilyumzhinov, who has already built a Chess City that recently was host to the world championship.

A small city on Moscow’s southeastern outskirts, Ramenskoye, has also been cited as a potential location. A South African casino company, Sun International, has announced plans to build a large gambling and entertainment center there but said a final decision would depend on the legislation now being drafted.

Michael Boettcher, a Briton who arrived in 1992, has built a chain of seven casinos, including some of Moscow’s most prominent, including Jazz Town and another called Shangri La. He said that he welcomed restrictions because of the proliferation of casinos that did not follow industry standards, but that Putin’s proposal went too far.

"Now, instead of coming with a reasonable approach," Boettcher said, "they came with a club."

He, like others, said that gambling was too deeply rooted in Russian culture to be banished again, as it was during Soviet rule. In "The Gambler," written to pay off gambling debt, Dostoyevsky suggested that gambling was a compulsion somehow suited to the Russian soul. "In my view all Russians are like that, or inclined to be," one character scolds the protagonist. "If it’s not roulette, it’s something else like it."

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PA (US) - Governor Signs Bogus Gambling Reforms

Where’s the Consumer Protection?

The man who brought casino gambling to Pennsylvania signed
this week what our Senate and House of Representatives are calling a true
gambling reform bill, one that will restore the public’s confidence.
Governor Rendell said this new law removes any opportunity for monkey business
that the previous law may have allowed.

Here’s what in the reform-bill that both parties found
reason to celebrate.

One is to eliminate the 1 percent ownership interest for
public officials. Now who did that benefit, like casino operators wanted
these guys owning any part of their racket?

How about this one, casinos will be allowed to remain open
in the event of a government shutdown, I guess that idea came from when
Governor Corzine closed Atlantic City’s casinos, what were their losses,
$16 million a day.

I like this one, the casino operators will no longer have
to buy their slot machines through local distributors. Gee, what a burden on
the casino operators - now they have to buy factory direct.

In this one, the neighbors of Philadelphia’s river front
got some unexpected help from South Philly’s ‘Prince of Darkness’ Senator
Vincent Fumo. The Senator gave up his insistence that the state Gaming
Control Board rather than the city rule the development of Philadelphia’s two
casinos. So they gave back to the city local zoning rules, which I believe
will give ‘The Donald’ the inside lane for a gaming license and here’s
why.

There are five casino applicants for Philadelphia’s two casinos; four are
on the river and one ‘Trump/Street’ inland. Some sites along the Delaware
River will have to address state-owned riparian rights which can be sold only
through an act of legislation; this could be costly and could delay or
prevent the building of casinos along the river front. One has to wonder who the
‘Prince’ was helping.

This one boggles my mind, they gave our attorney general
greater power to police our gambling halls. In other words he will be
protecting the casino operators and their investors from crimes against their
casinos. He won’t be addressing any consumer protection that could protect
individuals and families from being destroyed. And if you’re thinking what
I think you’re thinking, which I firmly believe in ‘personal
responsibility’ or the ‘no one holds a gun to your head theory,’ then think about this,
how many less alcoholics and drug addicts would we have in our
neighborhoods if they had to drive or fly two, three, four or five hours to get their
high? These are not the circus or carnival coming to town once or twice a
year, casinos are going to be here generation after generation and it’s only
human nature, you make a vice available and legal, it will be abused. And if
you think I’m Chicken Littleing you, then why did our legislators
increase funds to help compulsive gamblers get treatment to $4 million from the
previous $1.5 million, could it be their telling us the casino addiction
problem is three times greater then what they anticipated.

Then there’s the reform that will allow Philly’s lawmakers
to decide if smoking will be banned in our casinos. Now that could
present a major problem for our casino operators especially if you can
light up in Atlantic City, Philly Park and Chester Downs, so I doubt we’ll see
this one in the near future.

Here’s another eye opener. Under the bill, lobbyists are
required to report how much money they spend wining, dining and otherwise
persuading lawmakers. It’s what the casino operators do when seducing their
prey; it’s called ‘COMPING.’

There are other reforms with no social benefit that are not
worth mentioning, but there was one that almost made the cut, and
would have made a difference. It’s the one that would have required the
casino operators to mail out monthly statements that will show the amount of
money and time patrons spent gambling. This would enable gamblers and
their family members to spot a loved one’s gambling problem before it gets out
of hand.

I personally don’t get it, but then again what do I know,
I‘m just a former Atlantic City compulsive casino gambling degenerate trying
to stop Pennsylvanians from becoming what I once was.

To learn more about my credentials on this subject go on-line and look up
Bill Kearney on casinos gambling, or my book “COMPED.” 

E-mail is
ianscottpress@hotmail.com

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Quebec

The Charest government has announced it has ratified the
government’s sale of the province’s four hippodromes to a private
operator. As part of the deal, the company owned by Senator Paul Massicote
has agreed tomove the Montreal hippodrome to Montreal’s North Shore. In
a communique, the senator says he is committed to investing
280 million dollars over the next 5 years to relaunch the horse racing
industry in Quebec.

As part of the deal, Loto Quebec will build gaming rooms
inside the hippodromes, plus another in Mont Tremblant.. where
gamblers will have access to video lottery terminals. It is a part of the
government’s strategy to reduce the number of sites where VLTs are
offered by 30 per cent. They say it will make it more difficult for
problem gamblers to get their fix.

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China - International Conference on Gaming Industry and Public Welfare

Call for Papers

 
The 3rd International Conference on Gaming Industry and Public Welfare will be held in Beijing, China, 17-19 November, 2006, jointly organized by China Center for Lottery Studies (CCLS) at Peking University, Macao Polytechnic Institute, Institute for Tourism Studies, and Macao Tourism and Casino Career Center. Committed to foster a healthy development of the gaming industry in China, including that in Hong Kong SAR, Macao SAR, and Taiwan, this annual conference provides a platform for communication, exchange and debate on issues facing policy makers, operators, as well as scholars in the industry. The organizers are particularly keen to provoke high quality research in gaming and in the gaming industry. Theme of this year??s conference is ??Gaming in Asia: Challenges and Opportunities.?? The organizers now call for papers.

Conference Theme

Gaming in Asia: Challenges and Opportunities

Issue Areas:

1.
Globe trend and new development of gaming industry
2.
Challenges and opportunities facing the gaming industry in the Asian Pacific region
3.
Gaming Industry and Public Welfare
4.
Development of the gaming and tourism industries and the economic development
5.
The role of gaming in the overall recreation industry
6.
Impacts of the growing gaming industry on the tourist destinations
7.
Human resource management and training in the gaming industry
8.
The prevention of the negative social impacts of the gaming industry
9.
Prevention of pathological gambling
10.
Prevention of finance crimes associated with gambling
11.
Problems and solutions for fighting the illicit gambling
12.
Applied probability statistics in the design of gambling games
13.
Other topics under the conference theme
Date: November 17-19,2006
Venue: Beijing China
Dates of Submission:
Abstract Submission: July 15, 2006
Paper Submission: September 15, 2006
Paper Format:
1. Abstract: Not exceeding 300 words and should be written in both Chinese and English.
2. Full Paper: Between 6000-8000 words and could be written in Chinese or English.
3. Abstract and full paper should be submitted as e-mail attachments in Microsoft Word ??*.doc?? format to: conference@pku.edu.cn and gipw@ccc.edu.mo
4. A conference volume will be formally published, thus it is strongly advised that the abstract and full paper submitted has not been and will not be presented and published elsewhere.
5. Please note that late submission will be declined.
6. For further details please refer to our website.
Enquiries:

Beijing

Telephone
:
86-10-6276-7298
Fax
:
86-10-6276-7299
Address
:
5325 Law Hall, Peking University, Beijing 100871, China
Attn
:
Mr. Jin Xiaoke or Ms. Wang Lan

Macao

Telephone
:
853-8936322 / 8936174
Fax
:
853-836321 / 836216
Address
:
Macao Tourism and Casino Career Centre, Rua de Chiu Chau No.48-52, Edif. King Light Garden, r/c Taipa, Macao
Attn
:
Ms. Esther Kong or Ms. Ellina So
Conference WebPages:
http://ccls.pku.edu.cn
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AUS - SA gamblers lose record amount on pokies

Source: ABC News Online
  Published Date: Oct 28, 2006
  Full Document:
  AUSTRALIA – South Australian ‘No Pokies’ MP, Nick Xenophon, has new ammunition in his call for a referendum on whether to ban poker machines.

The latest auditor-general’s report shows national turnover on poker machines reached a record $7 billion in the past financial year, that is despite 1,400 of them being taken out of circulation.

South Australian gamblers also lost a record amount of money - a total of $751 million, or nearly $2 million a day.

Mr Xenophon says pokies are destroying hundreds of families and South Australians should be given a chance to have their say.

"If the Government is serious about taking on the damage caused by pokies, about the devastation caused to tens of thousands of people in the state, then it ought to give South Australians a say at the next state election via a referendum as to whether we want pokies in our community at all," he said.

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Britain has 1m internet gamblers

Author: Oakeshott, Isabel
  Source: Sunday Times
  Published Date: Oct 29, 2006
  Full Document:
  U.K. – Britain has become a nation of online gamblers, with 1m regular users logging on to betting websites and spending at least £1,000 a year each.

The most comprehensive study into the scale of the industry has found British players constitute nearly one-third of the 3.5m online gamblers in Europe. On average, each person bets more than £1,000 a year.

A growing number of regular players are women, who placed one-third of the bets on the World Cup last summer.

The government describes the new figures as “conservative”, with millions more people using such sites for occasional wagers.

The findings have dismayed religious groups, who fear growing numbers of players are becoming dangerously addicted to the sites.

The government, however, is encouraging more online gambling companies to base their operations in Britain to boost the economy and Treasury receipts.

Ministers justify the policy by arguing that basing the gaming businesses in this country will make it easier to regulate the industry and protect potential addicts.

The research has been released by the culture department ahead of an international summit on regulating the industry.

There are now 2,300 internet gambling sites across the world, more than a quarter of which are based on the Caribbean island of Antigua. Britain hosts 70, although online gaming sites offering poker, blackjack and roulette cannot be registered in Britain until next year.

Tessa Jowell, the culture secretary, has been fiercely critical of legislation in America that has outlawed internet gaming.

She has warned that the crackdown could drive players to use offshore sites based in poorly regulated countries, increasing the risk of exploitation and fraud.

“This research shows online gambling is on the rise and there is a need to do something about it at global level, as well as in Britain,” she said. “I want to secure international support for agreed standards of regulation.

“Of course we want online gambling companies to come onshore. We will welcome them here because we believe that allowing those who want to gamble to do so over the counter, not under the counter, is the best way to protect children and vulnerable people, and keep out crime.”

Jowell last week met representatives from the Methodist church, who pressed her to introduce safeguards on betting sites, including regular “pop-ups” on computer screens informing players how much money they have spent and how long they have been playing.

Methodists have also been pushing for a system allowing users to set the maximum amount they are prepared to lose before they start playing, with automatic shut-downs to prevent them continuing to stake cash after they have reached their limit. Jowell is said to be enthusiastic about the pop-ups.

She said: “We won’t take part in a race to the bottom. On the contrary, if companies do come to the UK, it will be because ‘regulated in Great Britain’ will mean a website is subject to the most stringent controls and social responsibility requirements anywhere in the world.”

Concerns at the boom in internet gambling have been worsened by figures showing the problem of addiction among women. More than 1,600 female gamblers contacted the charity GamCare last year, a quarter of all those seeking help for addiction.

Alison Jackson, who deals with public affairs for the Methodist church, said: “The latest figures released by the government are very concerning. It is clear from research that what leads to problem gambling is continuous, repetitive play, with no breaks or reality checks. We are pressing the government to address this with properly regulated sites.”

 

 
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US (SD) - Video Lottery: South Dakota’s stealth addiction…for people and government

Video Lottery: South Dakota’s stealth addiction…for people and government

 

Author: Ellis, Bob
Source: Dakota Voice
Published Date: Nov 01, 2006
   
Full Document:
SOUTH DAKOTA – Dan Brendtro, a Sioux Falls lawyer, is heading up Forward South Dakota (www.forwardsouthdakota.org), the fourth campaign to end video lottery in South Dakota. The measure will be Initiated Measure 7 on the November 7 ballot.

Voters have considered the matter three times previously in 1992, 1994 and 2000. Brendtro believes this year will be different because his organization intends to show that the revenue from video lottery can be replaced without the budget chaos video lottery proponents say a repeal would bring.

South Dakota became the first state to legalize video lottery in 1989. Since then, Louisiana, Montana, New York, Oregon, and West Virginia have followed suit. According to the South Dakota Lottery website, there are 8,300 terminals in 1,400 establishments across the state. Video machines feature variations of poker, keno, blackjack and bingo games of quarters and nickels. The bet limit is $2 a pop with a top prize of $1,000. The state of South Dakota receives 50% of the 2005 $220 million video lottery income. South Dakota has budgeted $244,000 for the next year for the Division of Alcohol and Drug Abuse to pay for treatment services for individuals impacted by compulsive gambling

A 2005 report on gambling addiction done by Mountain Plains Research of Dillon, MT indicated that only 54.6% of those addicts examined had stayed away from gambling 12 months after treatment. Gambling addiction causes lost productivity in the economy because of missed days (an average of 3 days per month according to the Mountain Plains study), being late, inattention and distraction. Arrest/conviction was the most common reason given for entering treatment at 16.2%.

When combined with other legal reasons, this percentage rose to 29.7%. Other reasons were an ultimatum from a spouse (10.6%) or an ultimatum from an employer (4.6%). Most (37.7%) reported incomes between $10,000 and $30,000. The percentage of gambling addicts being treated for gambling machines was 92.3%. Reasons given for gambling was "forgot my problems" (55.6%), "numbed my feelings" (51.2%) and "liked excitement and action" (46.2%). A little over one-fourth (26.2%) used alcohol while gambling.

Some other statistics concerning people in the study: 38.5% reported previous treatment for gambling 63.4% reported gambling on holidays 80.6% said gambling replaced other activities 41.9% reported absences from work for gambling related activities 87.6% admitted spending family funds on gambling 89.5% said they had tried unsuccessfully to cut down or stop 70.5% admitted to illegal acts to finance their gambling 81.3% thought of gambling as a way to solve their financial problems The state Supreme Court ruled in 1994 that video lottery was unconstitutional and the industry shut down for 100 days. But legislators met in a special session and rewrote the section of the state constitution which dealt with gambling and the voters signed off on the change that November.

Video lottery has been called "the crack cocaine" of gambling because it is so addictive. A report entitled “Video Lottery and Treatment for Pathological Gambling: A Natural Experiment in South Dakota” published in January 1996 in the South Dakota Journal of Medicine, calls the 100-day 1994 shutdown of video lottery a “natural experiment” where treatments for gambling addiction dropped 93.5%. It also says that 97.9% of gambling addicts were addicted to video lottery, not other types of gambling.

A report from Focus on the Family cites a 2002 Rhode Island Gambling Treatment Program research paper which says two of every three gambling addicts said video machines were at the root of their problem. The same report quotes Robert Hunter, an expert on gambling addiction and head of the gambling treatment program at Charter Hospital in Las Vegas, as saying video poker players make up more than two thirds of his patients. Stories of crimes committed to feed gambling addictions often involve armed robbery and tremendous amounts of bad checks written. Parents addicted to gambling have let children go hungry as grocery money goes to feed the video machines. A 10-day old baby girl was left in a hot car for seven hours while the mother played video poker. A Chicago woman suffocated her seven week old daughter to cash in a life insurance policy to feed her addiction.

Brendtro cited a study from Montana which found that for every million dollars spent on video lottery we have 172 crimes as a result.

As terrible as the social cost of video lottery is, Brendtro believes the reason a repeal of video lottery has not succeeded in the past is because the video lottery industry was effective in making people believe the money could not be replaced, and important government programs would have to be cut.

According to Brendtro, about $75 million of the $110 million revenue could be made up with a half-cent sales tax. As Brendtro put it, “People have committed suicide over video lottery losses, but no one ever committed suicide over a half-penny sales tax.” He says that even with a half-cent increase, South Dakota would still have a lower sales tax than most of our neighboring states.

Other means of making up the shortfall could include a freeze in state budget growth, which grows an average of 5% annually, Brendtro says. He also believes “pork” could be cut from the state budget in various areas to help make up the difference.

The state also has a budget reserve of $43 million which Brendtro says could be used to help cover the difference or provide cushion until the legislature makes the necessary adjustments.

Brendtro also says it should be obvious on the face of it that a 50% tax (the amount South Dakota makes from the video lottery industry) is a grossly inefficient method of taxation. He believes the amount of money going into video lottery would have a ripple effect on the economy that would create a better sales tax and property tax base.

If Initiated Measure 7 is passed by the voters in November, Brendtro says Governor Mike Rounds could call a special session of the legislature immediately after the election in order to develop a plan for replacing the revenue. Initiated Measure 7 would not go into effect until the beginning of 2007, so the state would continue to receive money from video lottery for almost two months, providing time for a plan to be developed. When the 2007 legislative session begins in January, they could them implement adjustments to make up for the revenue no longer received from video lottery.

Brendtro also believes with the good economy we currently enjoy, employees of the video lottery industry, who currently average $6.50 to $7.00 an hour in wages, could find other, more stable employment without much of a problem.

As November 7 fast approaches, Forward South Dakota will be purchasing TV ads to educate voters, but will mainly rely on a grassroots effort of local volunteers across the state to get the word out that the state can carry on without video lottery revenue.

“The myth is that we can’t survive without video lottery,” Brendtro concluded. “But we can, and we can end this scourge, this cancer on our state.”

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