Vol. 35 No.35
       ©2007 Marianas Variety
Thursday, May 3, 2007 www.mvariety.com
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PNG legalizes casino, Internet gambling

PORT MORESBY (Pacnews) — Papua New Guinea’s parliament has passed a gaming law allowing casinos and Internet gambling in the Pacific nation.
The Gaming Control Bill 2007, introduced by Prime Minister Michael Somare passed 61-0 in the last session of parliament before the general election in June.
But eight MPs, including Treasurer Rabbie Namaliu and Community Development Minister Carol Kidu, walked out from the chamber before the vote.
Churches and women’s groups in PNG are likely to lead opposition to the new law.
Sir Michael told the House that the new law contained provisions to keep out criminal exploitation and impose strict entry requirements, including hefty refundable casino entry fees, to discourage Papua New Guineans from gambling.
Under the new law, each of PNG’s provinces can have one casino license for 10 years.
Casino operators would be required to pay a duty of 20 per cent of gross profit and a community benefit gaming levy of five per cent of gross profit.
The new law paves the way for a Korean consortium to build a $35 million five-star hotel and casino in Port Moresby, a project already approved by PNG’s cabinet.
Sir Michael said PNG could earn income from taxing PNG-based Internet gaming for overseas clients “without being affected by the social ills gambling brings to the local population.”
Gaming machines are legal in PNG but illegal Asian-sourced “horse race gaming machines” have proved a problem with several cases uncovered of senior police officers colluding with Asian businessmen to operate them.