Statements by Alsart on the matter

Most of undergroung gambling halls closed in Ukraine this week

2010-12-22
Reading time 1:50 min

The letter already arrested two Procurators of Dnepropetrovsk region who were blamed in covering of underground gambling. This step forced other public servants to move quickly in terms of closing underground gambling halls at their territories. Amazing but they immediately realized that There are underground gambling halls. 

Sources from Alsart company affirm that the only fact that is absolutely clear is that gambling in a form it exists now cannot be banned or recovered. “Crucial changes should be made – it is obvious. Two days were enough to close all Internet and raffle clubs practically all over the country and nobody knows what will be the next step.”

The firm also adds that the high level of bureaucratism within the business was a common point and everybody used to pay for keeping business alive, and that bribes to police were normal thing for owners of raffle and Internet clubs and this situation seemed insufficient for public prosecution officers who also decided to have their part from this “money pie”. 

Alsart states that an obvious evidence of this intention has become shut-down of Premier Palace Casino – one of the oldest casinos in Kiev which operated for years despite different legislation changes.

When asked if they that this initiative has been caused by the desire to improve situation with gambling, they say they doubt it. “We are sure that this step is simply another way of gathering money from gambling.”

To improve the situation, the government of Ukraine discusses the possibility of creating separate gambling zone. The country is still in deep economic recession and every year looses more than us$ 250 million because of gambling ban although business exists and develops despite all restrictions. 

According to formal figures in 2011 the expected income for governmental budget is estimated at us$  35,293,000,000 although expenses will count for us$ 40,369,810,000. “One should not be a great analytic to understand that allowance of gambling will help to cover this difference and to get additional income” .

Head of Alsart Group Lyubov Loginova suggests: “We sure that in 2011 gambling will be allowed to some extent. Government is the first who is interested in getting taxes as much as possible that is why these rumors around business permitting are so strong. That is why the question of establishing standards of gambling in Ukraine is much discussed”.

“For the moment situation looks like lull before the storm – all over the country gambling halls are closed. But this only the temporary state which cannot lasts for a long time. There are only two ways for the development of this situation – in 1-2 weeks all will return to the previous state or at the beginning of 2011 we will have the opportunity to observe the new stage of gambling in Ukraine”, Loginova concluded.

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