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As some of the big Russian slot machine operators attend London’s ATEI/ICE exhibitions this week, news of more regulation in Moscow could be good news for them. The Deputy Mayor of Moscow publicised a plan last week to take an inventory of all the machines in the city before month end and remove them from the streets, airports and stations. The big operators with permanent casino structures are likely to benefit.
Moscow’s casinos and gaming halls contain around 56,000 slot machines and it is estimated that there are 9,000 machines in other locations round the city. Over half the gaming halls are at present in flimsy freestanding ‘pavilions’ on the street. Some politicians have already announced the intention of seeking to ban gambling in Moscow, St Petersburg and Sochi, but the Mayor is opposed to this idea, calling the plan ‘unrealizable.’ However, he does support the proposed rise in licensing fee and doubling of taxes on gaming machines.
Of course not everyone will be happy about the tightening gambling regulations. Companies that have invested in chains of gaming halls under the previous lax regime will wonder if their investment will be lost. Attacking the Mayor’s plan as a violation of free enterprise, one group claims that such limitations envisaged for Moscow could only be introduced at federal level. The present gambling scene in Moscow has for some time caused concern over underage and problem gambling. The removal of slot machines from the street may mean lost investment for some but any steps to properly regulate the industry should be welcome. (E-01.23.06)
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