Legal framework on casinos eyed

>> Vietnamese should be allowed to gamble at casinos: Proposal   >> Casino backers looking to roll the dice

Chairman of the National Assembly Nguyen Sinh Hung at the meeting of National Assembly Standing Committee last week in Hanoi said a decree on casino business was needed, but he opposed the wide spread development of casinos nationwide.

“We have to make clear that where casinos should be developed and how many casinos we should have,” said Hung, referring to Singapore’s limit of two casinos.

Uong Chu Luu, Vice Chairman of National Assembly, agreed to the need for a detailed plan for the development of casino businesses in the country. He believed regulated casinos would actually help reduce the negative impact of gambling on society.

This is the first time a draft decree on casinos has been submitted to the National Assembly for approval. The Ministry of Finance (MoF) produced a draft a year ago seeking comments from experts and businesses for the decree before submitting it to the National Assembly. The proposed decree is expected to take effect in January  2014.

According to the MoF, private investors could open casino businesses in Vietnam as long as they were part of an integrated resort with total investment capital of least $4 billion. Furthermore, the investor must have at least ten years of experience in the casino industry. However, the draft did not limit the number of casinos in Vietnam, which raised concern among lawmakers.

While lawmakers still ban Vietnamese citizens from entering casinos, a comprehensive legal framework seemed to indicate that the government would allow a gambling industry to develop in Vietnam.

The government is currently managing casinos through Decision 32/2003/QD-TTg, issued in 2003, which is actually a legal framework regulating electronic prize games. According to the MoF, the decision was out of date because it has been issued ten years ago and a decision was not a strong enough legal framework to manage casino businesses at this time. The government also issued Decree 86/2013/ND-CP to replace the Decision 32/2003/QD-TTg.

Since 1992, when casino were allowed limited operation in the country, seven casinos have been licensed, including two under construction.