King Mpondombini Sigcau has objected every step of the way to casino licence renewal for Sun International at the Wild Coast Sun. However, yesterday the Eastern Cape Gambling and Betting Board granted the company a 10-year extension to the licence that expires later this year, saying that the land lease conditions and financial benefits, or lack of them, for the local community were outside the Board’s jurisdiction.

The king claims that local people still live in poverty and that the former prime minister of the Homeland created under the apartheid system had granted Sun International a 100-year lease of the prime beachfront land for the derisory figure of R60,000 a year (just US$5,880). The 103 families originally displaced by the casino still have not been compensated, according to the king. Lawyers for the king are waiting to see what conditions are attached to the licence before deciding on further action.

Questions also have been raised about Sun International’s black empowerment partners, the Mbizana Development Trust, and whether the local community is getting the benefits from the casino operation that it should. Sun International says that the community will benefit, to the tune of R200 million (US$19.6 million), from its licence renewal. The company has pledged to spend R340 million (US$33.4 million) in upgrading the casino resort. (E-03.12.09)

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