Cambodia Plans Casino Reduction and Stricter Licensing Rules

Cambodia plans to gradually cut down the number of casinos in the country and tighten its licensing rules for the casino business industry, Prime Minister Hun Manet has said.

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The country still has over 100 casinos with legal licenses operational in the country. Speaking during his address on Wednesday, the prime minister said that the number was too much, according to a report from the Chinese-language Cambodia-China Times.

Mr. Hun stated that he has directed the concerned authorities to look into the process of issuing casino licenses and also bring down the number of casinos in the country.

The government’s review will focus on the standards used for approving and renewing casino licenses. The prime minister said inspections had revealed that some previously licensed casinos were very small, with some operating from only a single row house.

He said these findings showed the need to reassess the standards used when authorities approve casino licenses and license renewals.

Nationwide Scam Crackdown Affects Casinos

Cambodian authorities investigated 195 licensed casinos during a nationwide crackdown on telecommunications fraud over the past year, according to the Cambodia-China Times.

At least 72 of those casinos later ceased operations. The closures were linked either to license revocation or the failure of operators to meet license-renewal requirements.

The crackdown has become part of Cambodia’s broader effort to strengthen oversight of the casino sector and address online scam operations.

Authorities also confirmed earlier this month that the licenses of 18 casinos had been revoked as part of the nationwide campaign against online scam activity. Operations at another 9 casinos were suspended while further inquiries continued.

The reported actions show that authorities are reviewing casinos connected to scam-related concerns, as well as examining whether operators meet the country’s licensing standards.

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Online Gambling Suspension Begins October

Prime Minister Hun separately confirmed that online gambling operations connected to land-based casinos will be suspended from early October.

The suspension is part of the government’s efforts to combat online scams and illicit financial activities. Mr Hun said all online gambling operations will be suspended from early October as authorities continue strict action against online scams to prevent their return.

Interior Minister Sar Sokha had said earlier this month that Cambodia plans to establish a clear and effective management system for online gambling before these operations can be permitted to resume.

Casinos that do not comply with the suspension could face license revocation and further legal action.

The government’s decision applies to online gambling operations linked to land-based casino venues. The suspension will remain in place until the authorities have established the planned management system and related regulatory measures.

CGMC Develops Integrity Assessment

Cambodia’s Commercial Gambling Management Commission, or CGMC, is also developing an integrity assessment framework for casino license applications and renewals.

The initiative is intended to strengthen sector oversight and establish suitability requirements for casino operators.

The framework is being developed as Cambodia reviews its approach to regulating gaming venues and online gambling activities. It is expected to play a role in assessing operators that seek new casino licenses or renew existing approvals.

The CGMC did not provide any further details about the exact criteria that would be included in the integrity assessment system. However, the initiative is part of the wider regulatory tightening described by the government.

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Source: GGR Asia