Sri Lanka Central Bank warns junkets not addressed in Gambling Regulatory Authority bill
Representatives from the Central Bank and the Financial Intelligence Unit (FIU) attended a Committee on Public Finance session.
Sri Lanka.- The Central Bank of Sri Lanka has warned that the draft bill to enact the Gambling Regulatory Authority Act lacks detail on junket operators. According to the local media outlet The Sunday Times, representatives from the Central Bank and the Financial Intelligence Unit (FIU) told a Committee on Public Finance session that the bill does not address the issue of taxation or the regulation of junket activity.
An FIU official said: “The casinos are already under the Inland Revenue’s revenue collection structures. Whether the junket operators will be included in that mechanism remains to be seen.”
Concerns were also raised about gambling on foreign cruise ships that dock in Sri Lankan waters due to the risk to local operators and gaps in anti-money laundering enforcement.
If approved, the Sri Lanka Gambling Regulatory Authority Act would alter the Horse Racing Betting Ordinance and Gambling Ordinance and repeal the Casino Ordinance, which are considered to be outdated. A new regulator would oversee all gambling, including online gambling and activities at sea and in the Colombo Port City, a new area built by reclaiming land on the western edge of the capital. It would also be responsible for collecting taxes from the sector and preventing illegal gambling.
City of Dreams Sri Lanka saw a Phase I opening in Colombo October with 687 rooms, restaurants and entertainment venues, including ballrooms and event and conference facilities. Phase II, with a 113-key Nuwa Hotel and gaming operations, is expected to open in the third quarter of this year. Bluehaven Services, a subsidiary of Melco Resort, has a 20-year licence effective from April 1, 2024.
