Under the current contract, if the casino licence is cancelled by ILGA, the operator could request payment of US$145m in damages.\u00a0\u00a0<\/p>\n\n\n\n\n\n\n\n
Australia.-\u00a0A new bill has been introduced\u00a0in the New South Wells (NSW) Parliament to limit Crown Resorts’ potential\u00a0legal\u00a0claim in the event restrictions or punishments are imposed on the company\u00a0after\u00a0the hearings conducted by the\u00a0NSW Independent Liquor & Gaming Authority (ILGA).\u00a0\u00a0<\/p>\n\n\n\n
In 2014 Crown entered a contract with the NSW government under which\u00a0the state\u00a0would have to\u00a0compensate\u00a0the firm for any negative impact caused by\u00a0regulatory action.\u00a0<\/p>\n\n\n\n
Concerns were raised that the casino operator could claim in the event that business is affected by the decision of the hearing, which is due in February.\u00a0<\/p>\n\n\n\n
State MP Justin Field\u00a0has entered a bill in the Parliament for the\u00a0nullification of the 2014 agreement.\u00a0\u00a0<\/p>\n\n\n\n
Field said when presenting the bill: “Because of a deal done between Crown, the New South Wales Government and the Independent Liquor & Gaming Authority back in 2014 both the authority and the Government may be constrained in the regulatory response to the inquiry by a compensation agreement. <\/p>\n\n\n\n
“It could result in hundreds of millions of dollars of compensation being payable to Crown and Crown associated companies, should the regulator or this Parliament seek to act in the public interest and change casino laws and regulations in this State.”<\/p>\n\n\n\n
Field insisted that amending the current\u00a0agreement is necessary because if\u00a0the Government or ILGA take steps to change Crown’s casino licence for its new Barangaroo casino, Crown could pursue compensation, which would be a\u00a0minimum of\u00a0AU$200m (US$145m) for cancellation of the licence before the first two years of the operation.\u00a0<\/p>\n\n\n\n
The MP said: \u201cThe ILGA and the Minister were right to establish the inquiry. Its findings should inform considerations of the future of the Barangaroo licence and the regulatory environment for all casinos. <\/p>\n\n\n\n
The Parliament should ensure that ILGA and the Minister have the freedom to act as is necessary in the public interest without the threat of massive financial penalties to the state.\u201d\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"
Under the current contract, if the casino licence is cancelled by ILGA, the operator could request payment of US$145m in damages.\u00a0\u00a0<\/p>\n","protected":false},"author":2,"featured_media":11740,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":false,"focusai_summary":"A new legislative initiative in the New South Wales Parliament seeks to nullify a 2014 agreement, which could obligate the state to compensate Crown Resorts up to AU$200m if its casino licence is adversely affected by regulatory action. This move aims to ensure the NSW Independent Liquor & Gaming Authority (ILGA) can impose sanctions following ongoing suitability hearings without incurring significant financial liabilities for the state, thereby safeguarding regulatory independence.","focusai_entities":"Crown Resorts, NSW Independent Liquor & Gaming Authority, NSW Government, Justin Field","focusai_location":"New South Wales, Australia","focusai_target_profile":"ceo_executive (0.9), regulator (1.0), compliance_legal (0.9), operator_casino (0.9), investor_analyst (0.95), supplier_vendor (0.7), journalist_researcher (0.9)","focusai_suggestions":[{"label":"Regulatory Autonomy Impact","query":"What are the broader implications for regulatory autonomy and the enforceability of future B2C licensing agreements if this bill successfully nullifies the 2014 compensation clause?"},{"label":"Crown's Financial Exposure","query":"How does the potential nullification of the compensation agreement alter Crown Resorts' financial exposure and its strategic response to the ILGA inquiry's findings regarding its operational suitability?"}],"footnotes":""},"categories":[16336,161,154],"tags":[289,14657],"class_list":["post-11738","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-australasia-news","category-daily-news","category-legislation-news","tag-australia","tag-crown-resorts"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/11738","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/comments?post=11738"}],"version-history":[{"count":2,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/11738\/revisions"}],"predecessor-version":[{"id":11758,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/11738\/revisions\/11758"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media\/11740"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=11738"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=11738"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=11738"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}