The provincial government is forging ahead with revising regulations for local casinos in order to boost both transparency in the sector and tax revenue. Industry representatives are asking officials to reconsider the plan. Mike Laidman reports.
Local casinos have been in the middle of many corruption charges lately, including sex service allegations, false sales reports, tax evasion, and excessive fees for casino agents.

The province has announced that it will revise the business regulations governing gambling businesses in order to provide better management transparency and increase tax revenues.

The revision includes obligatory accounting record keeping for casino games, formal contracts between casinos and agents, and the imposition of taxes that make up the Tourism Promotion Fund on incomes for casino agents.

INTERVIEW
Go Dong-wan / Provincial casino watchdog agency (Dec.17)
We can’t currently impose taxes on incomes for casino agents. We will be able to collect after the revision, and that money will go into the Tourism Promotion Fund. This is the key to the revision.
<인터뷰 : 고동완 / 제주특별자치도 카지노감독과장(지난 17일)>
"전문 모집인들에게 지급되는 수수료 부분에 대해 관광진흥기금 부과를 못했는데 앞으로는 수수료에도 부과하겠다는 것이 중점 내용입니다."

But local casinos are asking the province to reconsider the plan, saying it would not be effective.

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8 local casinos hold press conferences

They say they fully understand the island’s attempt to boost transparency, but that the new rules don’t take into account the situations in other casinos.

Most of all, they are expressing concern over the regulations that would tighten fees earned by casino agents. They argue they need these agents, and that the changes will lead to a severe loss of business.

In the end, the revisions would cut the Tourism Promotion Fund and ultimately be an ineffective measure.

SYNC
Lee Seung-hun / Representative, MajeStar Jeju Shilla Casino
If casino agents have to pay higher taxes than on the mainland, they’ll leave the island. That will lead to business losses, unstable employment, and a shrinking Tourism Promotion Fund. We therefore want the province to withdraw the revisions.
<싱크 : 이승훈 / 마제스타 신라호텔 카지노>
"제주지역 카지노들이 내륙의 업체보다 과도한 기금을 부과받게 되는 것은 전문모집인의 이탈, 업체경영의 악화, 도민 고용불안, 제주
-----수퍼체인지-----
관광진흥기금의 축소 등 악순환의 위험에 빠질 수 있기 때문에 이번 개정안은 철회돼야 합니다."

The casinos are also emphasizing the need of casino promotion policies along with casino regulation and control.

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Several casinos seek limit for agent fees

Several casinos say that agent fees in particular need to be limited because cut-throat competition among local businesses is hurting fair competition.

197,800 non-Koreans visited Jeju’s casinos from January through October this year. That’s 35 percent fewer than during the corresponding period in 2014.

[reporter]
Mike Laidman

Now insiders are waiting to see what steps the province will take towards the proposed revisions.

Mike Laidman, KCTV