New Zealand Casino to Temporarily Close Next Month Due to Oversight Failure

Posted on: August 5, 2024, 10:16h. 

Last updated on: August 5, 2024, 10:21h.

Ed Silverstein @casinoorgedsilv Read More

Expertise: Legal, Tribal Gaming.

SkyCity Auckland Casino has revealed it will shutter its gaming floor between Monday, September 9, and Friday, September 13, following an oversight failure.

Last week, SkyCity Entertainment Group Limited announced the closing days in conjunction with an agreement with New Zealand’s Secretary for Internal Affairs.

The temporary shuttering of the casino floor will cost the company about NZ $5M (US $3M) in lost revenue, according to the New Zealand Herald. It’s the first time a casino in New Zealand has voluntarily closed, the report added.

The casino company could have been forced to close the Aukland casino, and those in Hamilton, and Queenstown, for 10 days, according to earlier news reports. Regulatory fines could have totaled as much as NZ $8M.

The five-day shuttering doesn’t apply to SkyCity Auckland hotels, the Sky Tower, the theater, or restaurants and bars outside of the gambling area.

Failure by Casino

“The closure is the result of failings on the part of SkyCity, which we have accepted responsibility for. We failed to meet the standards expected of us in this case,” SkyCity CEO Jason Walbridge said in a recent statement.

“Over recent years, we have made significant progress to strengthen how we manage risk across the SkyCity Group, but there is still work to do. We are well underway and remain committed to prioritizing the care of our customers. We understand that the privilege of holding a casino license comes with significant responsibilities and obligations,” he added.

Continuous Gambling

The wrongdoing relates to play by an unnamed casino guest between 2017 and 2021. In 23 instances, the guest continuously gambled at the casino.

SkyCity technology should have picked up that he was continuously playing and staff should have appropriately responded, the Herald reported.

The guest later complained about the debt he accumulated as a result of his gambling activity. The guest also argued the company violated responsible gambling rules.

The casino investigated the incident and blamed its lack of oversight on a glitch related to technology design errors, the Herald reported. The issue has since been corrected and the casino has released an apology.

SkyCity will pay its staff during the five-day Auckland shuttering.

SkyCity owns five casinos located in New Zealand and Australia