4 Sep 2023

SkyCity under threat of having casino licence suspended

9:36 am on 4 September 2023
Sky city in Auckland CBD.

Photo: RNZ / Marika Khabazi

Gaming company SkyCity is under threat of having its casino licence suspended.

The Department of Internal Affairs, which regulates the sector, has applied to the Gambling Commission to suspend SkyCity's operator's licence for around 10 days for alleged breaches of host responsibility rules.

A former customer of the Auckland casino complained last year that the company breached rules relating to detection of incidences of continuous play by the customer between 2017 and 2021.

"The commission will now consider whether to make an order to suspend SCML's (SkyCity) casino operator's licence and, if so, the duration of any such suspension. A decision may not be forthcoming for a number of months," the company said in a statement to the NZX.

"The secretary [of Internal Affairs] states in the application that SCML did not comply with requirements in its SkyCity Auckland Host Responsibility Programme relating to detection of incidences of continuous play by the customer."

SkyCity said it would fully co-operate with the authorities, but declined any further comment.

"Should the commission determine to grant an order to suspend SCML's casino operator's licence, this would not impact SkyCity's non-gaming operations, including its hotels and restaurants."

The company said it had invested significantly in systems to maintain the highest standards of host responsibility best practice, and prioritised minimising the impacts associated with problem gambling.

SkyCity's operation of its Adelaide casino is also under scrutiny by Australian federal and state authorities for alleged breaches of anti-money laundering rules and it has set aside about $50 million for possible penalties relating to that.