SkyCity Auckland Casino announces five-day closure after regulatory breach

SkyCity Entertainment Group will temporarily close its Auckland casino for five days in 2024, an important event in New Zealand’s gambling sector. The decision comes after the company admitted to violating host liability requirements and agreed to an agreement with the Department of the Interior (DIA). The closure represents the country’s first voluntary casino closure and aims to address issues related to the casino’s obligation to minimize harm.

The matter was brought to light following complaints from customers who frequently visited Sky City Auckland Casino from 2017 to 2021. The DIA’s investigation found that the casino did not adequately monitor and intervene in customers’ ongoing gambling cases and violated the Host Responsibility Program (HRP). Notably, according to an official statement released by the DIA, the casino’s technology did not detect continuous play and lacked sufficient employee supervision to expedite its actions.

As part of the agreement, SkyCity not only agreed to shut down, but also agreed to a comprehensive review and improvement of the system to better detect and prevent problem gambling behavior. This includes implementing facial recognition technology and switching to a 100% card account-based play system that ensures that unidentified gaming activity does not occur until next year.

a costly mistake

The closure is estimated to cost SkyCity about $5 million in lost revenue, highlighting the financial impact of the regulatory breach. The move also hinges on the Gambling Commission’s approval to roll back the ongoing suspension process for the casino operator’s license.

The resolution follows rigorous discussion and is part of a broader effort by New Zealand regulators to ensure that gambling actors strictly adhere to legal and ethical standards designed to protect gamblers. The DIA’s head of gambling, Vicky Scott, stressed the importance of casinos fulfilling their harm minimization obligations, saying gambling can have a significant impact on not only individuals but also their families and communities.

The temporary closure serves as a precedent for the industry to send a clear message to other operators about the serious consequences of neglecting host responsibility obligations. The Problem Gambling Foundation praised the decision, noting that it highlights the need for all gambling operators to comply with legal responsibility or face strict action.

In a statement cited by New Zealand Radio, Sky City’s New Zealand chief operating officer, Callum Mallett, expressed regret over the failure and reiterated the company’s commitment to continued efforts to strengthen its risk management system and protect customers from gambling harm. 파워볼사이트