Shares in Macau casinos fell after “illegal gambling” arrests
Shares of Macau casino operators fell after police arrested 11 people for money laundering and illegal cross-border gambling. This is because the authorities previously interviewed Alvin Chow, a prominent figure in the gambling industry. Chinese state media reported that Chau was accused of running a cross-border gambling union.
It was not clear if Chow was among those arrested, but the Hong Kong South China Morning Post quoted police as saying he had identified a Macau businessman named Chow.
Mr. Chow is chairman of Suncity Group Holdings. He is also the founder of Suncity, Macau’s largest junk operator, which organizes trips to Asian casinos for wealthy gamblers. Some of the city’s biggest carriers were also affected. MGM China lost 10%, Wynn Macau lost 8%, and Sands China lost more than 6%.
The Global Times has appointed Mr. Chau to lead a cross-border gambling criminal syndicate with more than 12,000 gambling agents and 80,000 members across China. Chau is also a majority shareholder in Hong Kong-based Sun Entertainment Group, a film, and cremation company.
Which on Sunday said in a stock market document that its board of directors had reported investigations in Wenzhou and Macau.
“The board of directors thinks that the incident will not have a material impact on the group’s financial position, business or activities,” the statement said. Sun Entertainment Group shares fell nearly 30 percent on Monday afternoon.
Fear of bullying has resulted in several losses for Macau casinos
Macau casinos have received increased attention in recent months as regulators seek to monitor their operations more closely.
In September, the city’s economy and finance minister, Lei Wei Nong. Announced a 45-day consultation period for game providers, highlighting weaknesses in industry oversight. During the press conference, Mr. Leigh detailed nine areas of advice, including better regulation of the industry and government officials overseeing day-to-day casino operations.