Bolivia suspends licensing of gaming operations

NEW LAW WITHIN 120 DAYS

On 14 September the Bolivian national lottery organisation Lonabol published an administrative resolution to suspend licensing of gaming operations until a new gaming law is enacted. The Director of Lonabol, Marco Antonio Cardenas, declared that Bolivia could not stop casinos and slots operations from functioning but that within 120 days a Supreme Decree would authorise Lonabol to grant gaming licences and clean up the present irregularities in the industry caused by previous administrations.

The new regulations are expected to establish requirements for granting a licence and penalties for failing to comply, which presently do not exist. According to Cardenas there is little time left for those companies operating without regulation. “Once the new Decree is approved the operators will have no other option than to enter a bidding process for a licence or they will be shut down.”

The new licensing rules will allow a determined number of gambling premises in each province. Location and population density will define the number and type of gaming halls permitted. The cities of La Paz, Cochabamba and Santa Cruz should have no more than 10 to 15 licensed gaming operations and tourist areas in the provinces no more than 2.

There will be three categories of licence according to the number of machines and the type of gaming establishment. The first category will be exclusive and limited to 5-star hotels. The second category is for operations with between 200 and 250 gaming machines and the third category licence will allow between 60 and 100 machines. The new rules are expected to increase gaming tax to 18% or 20% from the present 15% of gross revenue. (E-09.24.08)

© Copyright 2008 CasinoCompendium



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