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Legislation

Argentina – Neuquén restrictions could fuel illegal gaming

By - 20 November 2013

Head of the Provincial Institute of Gaming, Eduardo Mónaco has outlined his fears over a new act designed to curb the opening hours of casinos in Neuquén in Western Argentina.

According to Mr. Monaco the new laws, currently being debated in provincial legislature assembly, will dramatically reduce gaming tax revenue, lead to an increase of illegal gambling and lead to a number of job losses.

In November the Committee for Labour Legislation in the provincial legislature assembly began debating a proposal put forward by law maker Eduardo Benitez regarding the restriction of opening hours for bingo halls, casinos and slot parlours. According to the new bill, operators will only be allowed to offer their services from midday until 5a.m. At present casinos may open weekdays from 10:30am until 4am during the week and may close at 6 in the morning during the weekends.

Although the new law aims to: “Prevent compulsive gambling,” Mr Mónaco  believes that the new law could have exactly the opposite effect as it will lead to wider illegal gaming in the province and will subsequently lead to a rise in gambling addiction. Mr Mónaco also voiced his concern over possible job losses should the new bill be passed despite supposed guarantees written into the new law which would guard against them. Talking to local paper Diario La Mañana de Neuquén Mr Mónaco said:  “From what I understand around sixty people will lose their jobs, there will be a reduction in services…it would mean not only less work but also less income and, less productivity.”

Neuquén has been a focal point for some controversy when it comes to gaming with another proposal now on the table in favour of nationalising casinos in the province. Plans to nationalise casinos were first announced in May by head of the local casino union and member of the local state legislature Raúl Godoy. However, gaming is an increasingly important source of tax revenue for the province. In justifying his stance against the new proposals Mr. Mónaco highlighted the fact that the Provincial Institute of Gaming distributed more than 135 million pesos in emergency funding alone from July 2011 to June this year. Mr Mónaco’s statements are likely to be interpreted as a sign that any changes to Neuquén’s gaming laws could meet with increasing resistance in the near future.

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