Casino Nepal to operate under new management

Casino Nepal, the oldest casino of the country, is resuming operations from December 26 under new management.

Sikkim-based Mahjong Entertainment has already signed an agreement with Soaltee Crowne Plaza for the operation of the casino. Casino Nepal will now be called, Casino Mahjon and will operate under new management, said a senior official of the casino.

The casino was previously run by Nepal Recreation Centre (NRC), but it lost its operating license after failing to settle outstanding royalty dues to the government. After that, its workers´ union had resumed its operation in July 2012 saying they would run it under their own management.

The union had even operated the casino for about three months without due consent of the hotel. However, the casino was again shut down some two months ago.

"The new management is preparing to invest around Rs 350 to Rs 360 million," the official stated. The new promoters of the Casino comprise Manoj Subedi, Binaya Shah and Binod Shrestha, among others, and they have put in the money through Mahjong Entertainment, the official disclosed.

The new management has also formed a management committee, inlcuding representatives from major political parties and NRC to look after its overall operations.

Despite the agreement between hotel and the management, the government officials said unless the hotel renews the license of the casino, it will not have the authority to run it.

"Currently no hotels have renewed their licenses. Unless they renew it or obtain new license, they will not be able to operate it legally," said Ranjan Krishna Aryal, joint-secretary of Ministry of Culture, Tourism and Civil Aviation. On the other side, a reliable hotel source said that they have informed the government about the agreement with the new management.

Presently, the casino has more than 1,068 employees. However, the new management has decided to hire only 950 from among them. It has also announced to give away Rs 500,000 for staff above 55 for their retirement. Likewise, those who have worked for 20 years have been offered Rs 200,000, and those who have worked for 10 years have been promised Rs 120,000 under volunteer retirement scheme.

The government in June, 2011 had scrapped the operating license of NRC which was running Casino Nepal along with other three casinos. Casino Nepal had outstanding royalty of Rs 130 million too pay to the government and another Rs 500 million to settle to the staff in salary when the government scrapped its license.

source: republica,4 Dec 2012