Sydney Casinos Receive Fine for Breaking Gaming Rules

A recent action taken by regulators at the NSW Independent Liquor & Gaming Authority has seen the compliance committee fine two Sydney-based hotels a massive $154,000 for breaches of gambling rules within New South Wales (NSW). This action highlights the rigours of auditing and oversight of casinos in the region, which is experiencing significant growth both in person and online. An increasing number of gamblers are trying their luck at the best online casinos for Australians and punters continue to frequent casinos in the major cities, which perhaps means there is a bigger need than ever before for the relevant authorities to enforce the legislative framework.

Concourse Hotel Wynyard was the venue that received the largest penalty after incurring an AU$110,000 fine from the gambling authorities for operating during periods when it should not have been trading. The Gaming Authority found 29 gaming machines were being operated in the casino between 4 am and 10 am, when there are restrictions on gambling in the state. These legal shutdown measures have been in place for a long time, and the authority has continually been clamping down on this type of activity. It was found that these breaches spanned an 8-month period between March and November of 2023. 

The second venue to be sanctioned with an AU$44,000 fine was the Olympic Hotel Paddington. Inspectors noted that 3 gaming machines in the hotel were not connected to the Centralised Monitoring System. These systems are required for all gambling machines in NSW and are used to monitor gaming as well as for tax purposes. On top of these machines not being connected, there was an ATM connected at the site that permitted credit card withdrawals, which is strictly prohibited. Since 2021, this particular machine has offered different punters up to $16,000 in withdrawals, evidence of a clear and obvious breach of the Gaming Machines Act 2001. 

The authorities were harsh on the Concourse Hotel due to its blatant disregard for gambling regulations, stating that the frequent and repeated offering of gambling within the time of shutdown hours was a serious breach of law, which is in place to reduce gambling harm. This law is in place following issues with late-night gambling, which the government and regulatory bodies are trying to mitigate with reasonable efficacy, and is the focus of talks with governing bodies about being extended to 10 hours.  

The implications of these fines not only affect the two casinos that were acting illegally but also will be sure to cause a ripple effect throughout the whole industry in NSW. It reminds those operating these premises that there is active oversight. It also reminds these hotels that failure to comply will result in stern punishments. It is clear from these actions that the gambling authorities in Australia are targeting offshore operators and major international casinos as well as pubs and hotels on a more local level. 

The fines of both Concourse Hotel Wynyard and Olympic Hotel Paddington may just be the start of a whole new enforcement movement in NSW.