The Department of Internal Affairs in New Zealand has signed a contract worth nearly US$25 million (NZ$35 million) for a six year term with the local subsidiary of Intralot, the European gaming technology company, to supply an electronic monitoring system for poker machines in an attempt to safeguard money intended for community groups. There are about 22,000 gaming machines licensed to 626 societies at 1,850 pubs and clubs around the country, which generated a turnover of more than US$6.13 billion with profits of more than US$737 million last year.

The department hopes electronic monitoring will greatly increase the accountability of the gambling sector and ensure community groups receive their entitled share of the takings. Societies pay 33% of the money from gaming machines in tax and levies, and must return at least 33% to the community. Record keeping is currently done manually from meter readings. Internal Affairs deputy secretary Andrew Secker said today incorrect banking and inaccurate record keeping by gambling operators were the most common problems found during department audits.

In a statement Deputy Secretary Secker said: "Electronic monitoring of gaming machines is standard practice throughout the world because of the huge cash turnovers. Monitoring systems are already in place in New Zealand's casinos." Intralot will begin rolling out the system by early 2006 with a March 18, 2007 deadline for all machines to be connected.

The contract is the first in the region for Intralot New Zealand, a local subsidiary of the European company that operates in 28 countries. Intralot is a leading global provider of integrated gaming systems and transaction processing solutions, developing and delivering innovative, custom-made products and services to state licensed lottery organizations worldwide. (E-05.19.05)

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