Gaming cuts losing hand for public

Date: 01 May 2000

Maurie O'Sullivan, the Acting General Secretary of the Public Service Association of NSW, one of the state's largest and most influential unions, today warned that crime and corruption in the NSW gaming and racing industries will escalate if the government continues with proposed budget cuts to the regulatory agency.

The PSA represents the 300 staff who enforce the regulation of liquor, gaming, racing and charity laws in NSW.

Last week's sacking of Kay Loder from the Casino Control Authority does nothing. It serves as a smokescreen for what is really happening, or more correctly, will not be happening in gaming regulation.

Here is the real story on regulation.

The government intends to cut $10 million (over three years) from the Department of Gaming and Racing.

The number of government casino inspectors has already been cut from 55 to 29.

Mr O'Sullivan said that drug runners using the casino for money laundering would not be stopped if the government continues to gut the department.

Casino control cuts are just the beginning.

"There will be 50% fewer inspectors in all areas of gambling and liquor control by 2002. These are the people who protect the public," Mr O'Sullivan said.

"The budget cuts to the department are enormous and will have long term and adverse consequences for the state."

The government receives around $1 billion a year in revenue from gaming and this is increasing yearly by at least 10%.

Mr O'Sullivan said, "We have an industry that has traditionally been a target of crooks. That is why the government needs to be vigilant when policing it.

"The numbers just don't add up. Gambling activity is increasing annually by 10% but the government wants to reduce regulatory activity by 50%."

The PSA is concerned that the government is moving to deregulate the gaming industry.

"If the government wants to deregulate gambling then they should be honest about it. Don't deceive the public by professing a commitment to controlling gambling but at the same time scrapping the people who enforce the laws," said Mr O'Sullivan.

Government inspectors also monitor and regulate clubs and hotels and enforce strict rules on the way poker machines pay out to the public.

"Gaming integrity is not just about keeping high rolling drug dealers out of the casino. It is about ensuring that the average person gets value for their leisure dollar and making sure they don't get ripped off."

The PSA also argues that the reduction in inspectors means that laws governing the responsible service of alcohol will not be enforced.

"Years of sensible education and enforcement of liquor harm reduction strategies will go out the window.

"Statements by the Premier that this government is committed to minimising the negative aspects of gambling don't stand up to scrutiny.

"It makes me sick to the core to hear the Premier saying that he wants the public to have absolute and unqualified confidence in the way the government controls gaming when he knows that the Treasury driven budget cuts means that the gaming industry cannot be controlled.

"If the government wants to ensure that the casino does not become a haven for heroin dealers, and that innocent race goers and club members are protected from mismanagement, corruption and fraud, then the Premier must intervene immediately to stop this obscene gutting of the regulatory body."

For further information

Contact:	Andrew Holland
Union:	Public Service Association of NSW
Phone:	9220 0924
Email:	aholland@psa.asn.au
WWW:	http://psa.labor.net.au/

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