Casinos bid has ACCC on alert

The Australian Consumer Watchdog has launched an inquiry into the the Hong  Kong business man Tony

Tony Fung

Fung in relation for his bid for two casinos in Cairns.
The ACCC has stated that:

" that they are concerned about Hong Kong billionaire Tony Fung’s bid to own two casinos in Cairns. 
Mr Fung made a $269 million bid to buy the Reef Hotel Casino in Cairns, as well as Canberra’s casino, and build the $8.15 billion Aquis six-star mega-casino resort 15km north of the CBD at Yorkeys Knob. 
The Australian Competition and Consumer Commission says it is worried about one person owning two casinos in one city. 

“The proposed acquisition has the potential to reduce the number of casino owners in Cairns from two to one, removing potential competition between the Reef Casino and the Aquis Resort,” ACCC Commissioner Jill Walker said in a statement.
“The ACCC is concerned that the proposed acquisition has the potential to deprive customers of the benefits of competition between these casinos; such as promotions, rebates, or reductions in the price or improvements in the quality of other goods or services provided in conjunction with casino table games.”
The ACCC has released a Statement of Issues seeking further information on the competition issues which have arisen from its review to date and is available on the public register.
“The ACCC will continue to investigate the extent of expected competition between the Reef Casino and the Aquis Resort in the absence of the proposed acquisition. We will also look at competition between these casinos and other local venues with gaming machines,” Ms Walker said.
An Aquis spokesman said the Fung family would make further submissions to the ACCC before a July 17 deadline. “We remain confident that the ACCC will approve the transaction,’’ he said.
Aquis is one of two regional integrated resort developments short-listed by the Queensland government.
The development is in the pre-planning phase and must obtain several approvals before building can begin after next year’s wet season".

Then on July 5, 2014 a senior company director attacked the ACCC for the scrutiny of the proposed takeover of the Cairns Reef Casino.

ATTACK: Keith DeLacy has attacked
 the Australian Competition and Consumer
 Commission’s scrutiny of the proposed
 $269 million takeover of the Reef Hotel Casino.

The director in question is Keith Delacey who is a former treasurer in the past Queensland Government admits that he is a Director of the Cairns Reef Casino and hold 5ooo shares within the Ref Casino.

It would be common sense to anyone especially those holding a Director's position and having 5000 shares that they would welcome the inquiry to clear the way for the purchase so one would question the outcry by Mr De Lacey.
Why do you question the inquiry Mr De Lacey?
The ACCC is there to protect all.



Read the full story: http://www.cairnspost.com.au/business/scrutiny-of-accc-over-reef-hotel-casino-in-cairns/story-fnjpusdv-1226978487381

We await the outcome of this inquiry.