A few months back Judge Roberto Gallardo ordered the closure of the cash cow casino boat anchored on the Puerto Madero pier of Buenos Aires, run by Spanish operators Cirsa. Constitution in hand, Judge Gallardo claims that the deal that allowed the exploitation of the casino vessel in territorial waters was fraudulent, as the Federal City of Buenos Aires was the only jurisdiction permitted by the national Constitution to grant an administrative concession for gaming, and not a gaming operations licence as is the case.

Cirsa defended its position through a bevy of lawyers, lobbyists and the intervention of City of Buenos Aires governor Anibal Ibarra, who has since accused Judge Gallardo of abuse of authority. The judge still claims that the casino ship is illegal, but has taken a temporary back seat in the proceedings as, no doubt, he seeks more legal and political support to venture another constitutional volley against the floating casino Star of Fortune, or as it is known in Spanish “La Estrella de la Fortuna”.

Still with Constitution in hand, Judge Gallardo has now emitted a sentence in a case presented by the regional parliament’s socialist block to intervene at all five Buenos Aires bingos, whose concession licenses ran out a month ago. Since then the National Lottery, which was the organization allowed to administer gaming in the province, had granted a two-year extension to the bingos. As the NL’s jurisdiction ran out with the establishment of the constitutional regional governments, Judge Gallardo has resolved that the extensions are illegal and stepped in with judicial administrators until a gaming administration tender is granted for all five bingos.

“If they don’t comply, I’ll close them down.” Judge Gallardo said that his benevolent sentence is for the benefit of the bingo employees as, by rights, these should be closed down because they have outrun their legal agreement. The local governor Ibarra, nonetheless, has rebuked the judge by getting the City of Buenos Aires Attorney General to make the right noises in a battle that puts politicians against the constitutionalists.

The undercurrent of the bingo wars is the rich rewards derived from the exploitation of gaming, where revenue in 2003 for the five bingos, without slot machines, was in the region of US$90.6 million. The local constitution says that gaming and betting cannot be licensed for operations but for administration by private businesses. With the potential of slot machines being added to the bingo operations, the judge seeks to ensure that another carve-up does not take place, and that revenues go to the city for social development. (E-10.18.05)

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