SBMA orders casino shutdown over income row
The Subic Bay Metropolitan Authority (SBMA) on Monday (July 25) issued a cease and desist order against casino operator Frontier Wish International Ltd. following failed negotiations and the company’s non-compliance with conditions set by SBMA. ALLAN MACATUNO
SUBIC BAY FREEPORT, Philippines—The Subic Bay Metropolitan Authority (SBMA) last Monday ordered the closure of a casino here for refusing to heed freeport rules on revenue-sharing arrangement.
Frontier Wish International Ltd. (FWIL), operator of the Oriental Paradise Casino, was slapped with a cease-and-desist order (CDO) by SBMA chair Roberto Garcia.
In a letter last Monday to Alexander Betita Jr., chief operating officer of FWIL, Garcia said the SBMA was constrained to issue the CDO because FWIL allegedly ignored the agency’s reminders on its unfulfilled obligations.
The company has yet to issue a statement regarding the closure order, which would lapse once FWIL complies with SBMA’s conditions.
Garcia’s letter refers to a series of negotiations with FWIL over a counter-offer which SBMA had recently turned down.
Article continues after this advertisementThe letter did not specify what FWIL owed SBMA or what it was offering to settle the issue, but Garcia cited an SBMA board resolution which states that casinos being operated by the Philippine Amusement and Gaming Corporation (Pagcor) should remit 3 percent of the gross casino winnings as SBMA’s share.
Article continues after this advertisementGarcia said the agency’s conditions apply to all freeport locators engaged in casino operations.
“Our consent can only be given within the bounds of this reasonable and sound regulation of casino operations within the [freeport],” he said in the letter.
According to Kenneth Rementilla, manager of the SBMA Business and Investment Department for Leisure, FWIL started operating the casino in July 2012 when it took over from a previous operator. RAM
The Subic Bay Metropolitan Authority (SBMA) on Monday (July 25) issued a cease and desist order against casino operator Frontier Wish International Ltd. following failed negotiations and the company’s non-compliance with conditions set by SBMA. ALLAN MACATUNO
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