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Gambling

Australia’s Gambling Industry Unites Against People Facing Online Debt

The gambling body in Australia is standing united to oppose the proposed law that stops betting companies from accepting credit cards from online gamblers. The bill was proposed by the Centre Alliance Senator Stirling Griff, which was earlier banned in the UK, thinking that it is a crime to promote online card payment for gambling.

In Australia, online gambling is limited to bookmakers and betting exchanges. There are also poker and online casino games needed for illegal sporting events. Moreover, the country also doesn’t allow online service licenses.

“Not enough proof of policy failure.”

The Responsible Wagering Australia (RWA), representing the country’s betting companies like Betfair, Entertain, Sportsbeat, and Unibet, have together come to speak against this restriction.

According to the body, the restriction lacks evidence of the policy failure towards the credit payment for the gambling credit. For other betting groups, this could be news like the Suicide Prevention Australia, Alliance for Gambling Reform, and Relationships Australia, which has also claimed that this restriction can harm the industry.

The body claims that there will be billions of losses the industry faces due to these current policies. For example, one of the case studies submitted by the Alliance for Gambling Reform says that a professional ended up racking around $65,000 due to credit card debt during gambling.

The testimonials say it is easy to see what equivalent the money pot is having a huge interest rate associated during the withdrawal.

Credit changing Australia’s gambling industry

According to the report submitted by the RWA, there is a specific claim about evidence lacking to support the ban. There is a lack of a direct link between credit cards used for betting online and any issues with gambling in Australia. However, there are certainly some proofs of how credit cards are supporting the gambling industry in Australia.

The Relationships Australia Submissions mentioned a 2019 study by the Australian Institute of Family Studies that many Australian gambling players use a credit card to support gambling problems. Many clients feel that they are not playing with actual money, but as just a figure and amount is unreal. The inquiry report from the Senate is due on July 30.

Categories
Gambling

DFNN to Acquire Debt-Saddled Australia-listed Gambling Firm

Debt-saddled Silver Heritage Group Ltd, an Australian-listed gambling firm, has been taken control of by DFNN Inc through a term sheet for about P18.88M (which is roughly around A$530,000). The term sheet was routed through Hatch Asia Inc, which is a sister-concern of DFNN, on August 16. DFNN owns a total of 18.98% of Hatch Asia.

Silver Heritage’s creditors have collectively decided to sign the Deed of Company Arrangement (DOCA). An announcement to this effect said,

An announcement to this effect said

The Hatch Asia recapitalization will be as per the Australian Stock Exchange DOCA process. A total of 92% of the Silver Heritage Group issued capital will be acquired by consolidating the shares held by the existing shareholders. Once it is completed, Hatch Australia Holdings Pty Ltd will issue new ordinary shares. This deal is subject to the approval of Silver Heritage shareholders.

DFNN is purchasing the company of Australia for A$530k plus 3% of the shares issued by Silver Heritage, which again is as per the terms by DOCA. The deal’s outcome will be two-fold for DFNN—the shareholder-controlled unit Hatch Asia will be included on the Australian Stock Exchange & DFNN will own a portion of an entity listed on the Australian Stock Exchange.

The Silver Heritage Group operating two casinos in Nepal, has been in the doldrums for quite some time now. In May, it announced that business was at its lowest as the casinos were locked down after the Covid-19 outbreak. It was forced to appoint KPMG administrators, unfortunately just months after it got emergency funding by its lead lender OCP Asia.

This was even after it planned to stay afloat and save the casinos after selling off other strategic assets in Nepal, its Tiger Palace Resort Bhairahawa, and The Millionaire’s Club in Kathmandu.