Goa Casino Closures Lead India’s Delta Corp To Request Fee Reduction

Posted on: October 12, 2021, 08:32h. 

Last updated on: October 12, 2021, 02:53h.

Ed Silverstein @casinoorgedsilv Read More
Expertise: Legal, Tribal Gaming.

Delta Corp. wants the government of Goa to waive or reduce its licensing fees for recent months. That’s when its gaming venues, like others in the Indian state, were shuttered because of COVID-19 risk.

Delta’s casinos in Goa were shuttered starting in March
Delta Corp.’s Deltin Jacq floating casino, pictured above. Delta Corp. has asked for a fee reduction from the government of Goa. (Image: Tripopola)

The company said this week it asked regulators to lower or eliminate the fees for some of the first half of 2021 and the third quarter of 2021, according to Inside Asian Gaming. Delta has allocated Rs26.67 crore (US$3.5 million) for the amount owed in fees from the start of the year to Sept. 30.

Delta is hopeful officials in the popular tourist destination will respond positively to its request.

Due to the pandemic situation, the stress on the operations and the representations made, the management is hopeful that the Government of Goa may consider its request favorably,” the company said in a statement that was quoted by India’s Business Standard newspaper.

Delta’s casinos in Goa were shuttered starting in March because of the pandemic and reopened recently.

On Tuesday, Goa reported 35 COVID-19 cases, according to the Times of India newspaper. That is the lowest number so far this month. The positivity rate is below 1 percent, the report adds. Earlier, the pandemic led to many deaths.

Lower Loss Leads To Stock Jump

On Monday, Delta Corp reported an Rs22.57 crore (US$3.0 million) loss for the quarter ending on Sept. 30.

The quarterly loss was lower than the Rs28.24 (US$3.8 million) loss reported for the prior quarter, according to Inside Asian Gaming. The company previously saw a loss of Rs54.91 crore (US$7.3 million) in Q3 of 2020.

News of the recent lower quarterly loss led to shares of Delta reaching a three-year high of Rs 305.6 (US $4.05) on the BSE, also known as the Bombay Stock Exchange, the Business Standard reported. That was a 12 percent jump, the report adds.

Goa Reopens Casinos

Last month, lower numbers of coronavirus cases and the presence of vaccines led the government to reopen gaming venues in Goa. But casino capacity was capped at 50 percent. Casinos also must also follow a variety of health safeguards. These include social distancing, wearing of masks, and checking of temperatures.

The recent reopening of gaming venues comes in time for Goa’s major tourist season. It typically runs from October to March, the Indian Express, a local newspaper, said. Casinos are considered important for Goa’s tourism sector, too. They also employ thousands of workers. Goa has six casinos on boats in the Mandovi River. There are also others located in hotels.

Delta has three floating casinos in Goa and a gaming property at the Deltin Suites hotel, located in Nerul.