Touring companies who bring VIP tools in Macau are facing the financial audit from local gaming regulators. The local regulatory companies said this week that junket operators would continue to monitored following months of reports that there is financial misappropriation.
In a recent communication to the website in Asia that deals with gambling, local auditors confirmed that they are currently inspecting more than 60 foreign companies that issue VIP junket to Macau casinos.
The Gaming Inspection of Macau said early this week that it would continue to investigate more touring businesses in a couple of weeks.
The purpose of the audit according to the Gaming Inspection Unit, is to look into allegations that some gaming investors most of whom are from foreign countries come to China in a bid to offer gaming credits to gambling facilities. In return, the touring companies offer travel arrangements to Macau and other parts of Asia at a very high cost thus making real money online slots casino gambling sites.
Some of the people who belong to the wealthy class in China, take the opportunity to swindle money from a section of the individuals who are considered the ‘highly-taxed’ and stash them in foreign banks.
The crackdown on China’s VIP sector was initiated three years ago by President Xi Jinping’s administration with the aim of combating what was then called the looting off of the wealthy class of China’s mainland to the seemingly opportunistic gaming center in Macau. Macau Casino Revenue Shoots Up In March Benefiting Stocks.
The president’s decree bore some fruit, but over time, things have changed for worse following the leniency from gaming regulators. The leniency has so far affected Macau’s economy that is thriving.
In 2013, Macau casinos collected approximately $45 billion, but that amount drastically came down to $28.8 billion two years later after the president’s order on the VIP crackdown.
Following what many market observers call leniency from gaming regulators, the industry recorded a slight revenue increment in 2016. Read how “There’s Need For Gaming Inspectors As Macau Resorts’ VIP Sector Showers In High Revenue.”
According to local auditors, the more than $2 billion revenue increment the industry recorded in 2016 is an indication that something fishy is happening in the VIP sector.
Although there are existing allegations of the ‘foreign companies’, there is also the issue of gaming companies putting a lot of emphasis on the way they advertise their business to attract more visitors especially the VIP docket.
The financial analysis indicated that the VIP sector alone got a rise of more than 17% in the first three months of 2017, which is an apparent show that things will be better in the remaining part of the year.