The Macau casino concession refreshment process has a new twist to take into account. GGRAsia reports that the Judiciary Police will pay close attention to the potential risks to the city from the gaming industry.
As per a report from the police, the number of casino crimes in 2018 had increased from the previous year. The statement went on to say, “The Judiciary Police will closely follow up the potential impact on public security from changes in the gaming industry.”
It remains unclear how refreshing the concessionaire’s licenses might further affect crime, however, logically, denying the licenses could theoretically reduce crime in the surrounding areas of the casinos.
The report documents 5,014 cases of suspected gaming-related crime in 2018, a 6.4% increase from 4,714 cases in 2017. Any crime committed inside or near a casino qualified for the total. The report goes on to note that crimes directly tied to gambling decreased from 554 cases to 308, largely in thanks to a crackdown on loan-shark activities.
This tentative tone from the Judiciary Police is likely sparked by the increase in overall unruly activity in tourists around casino facilities. Earlier this month, a group of Chinese tourists reportedly assaulted a police officer for simply warning them against smoking. The crime could have happened anywhere in Macau, but because it happened just outside the Galaxy Macau, it would also count as a gaming-related crime.
It’s very likely that Macau could use this increase in crime to pressure U.S. casino concessionaires out of the market. Ho lat Seng, front runner for Chief Executive of Macau, allegedly wants to move away from U.S. deals to favor their Chinese neighbors. As the concessionaries will need to re-apply for licenses in 2020 and 2022, this provides added ammunition for him to accomplish that goal.
It’s very unlikely Macau will reduce the number of licensed casinos in the territory, with the amount of tourists and revenue they are bringing in. This looks more like an effort to bank some negotiating power than anything else.
