Since our 17 January report of tightening gambling regulations in the People’s Republic of China, the controls implemented are starting to bite. Around 200 casinos along the borders of China, from Russia to Laos and North Korea to Vietnam, have been making their revenues largely from Chinese gamblers as gambling in China is mostly illegal, barring a couple of instances such as low-stakes wagering on mah-jong and poker.

The length of China’s arm and influence became apparent when the casino at the well-known Hong Kong owned Emperor Hotel & Casino in North Korea was shutdown last month, apparently for renovations. Reportedly the representative office for the casino in China, in the border town of Yanji, was forced to close and bank accounts frozen. Another Hong Kong owned casino, this time in Vietnam, has also stopped trading. The Li Lai International Hotel in Mong Cai has indicated that the casino there is closed indefinitely.

The Chinese authorities crackdown has already netted results with many arrests and the closure of some 150 border casinos. Illegal betting within China has also been targeted in the ‘people’s war’ against gambling. Macau, the only place where gambling is legal in China, is still thriving on its Chinese visitors’ yuan, but it is suspected that some of its revenues have been at the expense of misused public funds. With firmer controls in place and smaller revenues from Chinese gamblers, Macau will have to redouble its efforts to portray itself as an international tourist destination.

Online gambling in China is another form of wagering that has come into the line of fire, and is subject to police raids across the country. However, controlling gambling on the Internet may prove a more difficult proposition for the government. (E-02.02.05)

© Copyright 2005 CasinoCompendium



>>> return to archives
>>> return to frontpage