Former Suncity Group Holdings’ CEO Alvin Chau, who’s beneath trial for greater than 200 costs associated to unlawful playing, has denied the accusations, which embody enabling illict playing actions, operating a prison syndicate, cash laundering, and fraud firstly of his trial on Monday.
Chau stepped down as CEO of Suncity junket in December 2021, after he was arrested for cash laundering in November. The arrest got here after the japanese Chinese language metropolis of Wenzhou issued a warrant accusing Chau of working playing actions on the mainland, the place gaming is prohibited.
Alvin Chau Cheok Wa
The previous Macau junket tycoon instructed Macau’s major courtroom that he didn’t function any unlawful playing or commit cash laundering, in accordance with public broadcaster TDM. He additionally mentioned that his enterprise within the Philippines was permitted by native authorities there. Moreover, Chau claimed nobody from Suncity Group had promoted playing on the mainland.
Chau’s Suncity was a serious participant in Macau till 2019, previous to the coronavirus pandemic, accounting for round 25% of whole gaming revenues, trade executives mentioned. Macau casinos generated $36 billion in income in 2019, partly fueled by the now-declining junket phase.
Nevertheless, a lot has modified since then, and the junket trade within the gaming hub has collapsed since Chau’s arrest with all of Suncity’s VIP rooms shuttered final December. Many others folded, hit by poor sentiment and an absence of enterprise because of COVID-related journey restrictions, as reported by Reuters.
Levo Chan Weng Lin, former chairman of Tak Chun Group
In January, Macau police additionally arrested the second-largest on line casino junket boss, Levo Chan Weng Lin, chairman and controlling shareholder of Tak Chun Group and co-chairman and CEO of Macau Legend Growth, on costs of being concerned in a prison group, unlawful playing, and cash laundering.
Each Chau and Chan have been in custody in Macau jail since their arrests. Macau’s authorities has tried to rein in junkets with a brand new legislation stipulating that on line casino operators now not have devoted junket rooms in casinos. Based on analysts, their affect is more likely to be additional diluted going ahead.
Macau is the one place in China the place it’s authorized to gamble in casinos. Closely reliant on gaming taxes, which account for greater than 80% of presidency income, town has had little success in diversifying its economic system so far. Junkets act as middlemen who assist facilitate playing for Chinese language high-rollers in Macau, extending credit score and in addition accumulating on their debt on behalf of on line casino operators.