The Tribune

LEANDER Brice, President and CEO of A Sure Win, said he is “cautiously optimistic” about the regulation of the web shop sector, adding that his company is “ready and willing” with the highest industry standards.

In a statement released on the weekend, Mr Brice expressed hope that the government continues to take a practical and well-measured approach to the gaming industry’s regulatory process as the deadline for implementation approaches.

“I am cautiously optimistic about the way the process is going thus far,” said Mr Brice. “I accept that the process of regularisation requires a lot of change within the industry and that there will undoubtedly be growing pains whenever a major change is taking place.

“However, while there are many great things about this process, there are still a few key points that must be addressed in the interest of maintaining a thorough and practical approach to regulating the industry.”

The Gaming Act was enforced on November 24. The first web shop licenses are expected to be issued by May 2015.

Web shops that do not pay their tax arrears by December 1 for the period July 1 to November 24, 2014, will be unable to obtain a licence.

Operators also have until December 8 to lodge sworn affidavits with the secretary of the Gaming Board, to say whether they will operate during the transitional period.

Mr Brice said his company is “ready and willing” to comply with the highest standards, but he reemphasized that a deft hand is needed in order to create a regulatory framework that nurtures rather than hinders the industry.

“For a number of years the local gaming industry has been evolving into one of the most forward-thinking, technologically sophisticated industries in the region – all built under the stewardship of Bahamian ownership with hundreds upon hundreds of Bahamian employees contributing to its success. So, it’s not a question of whether we are capable of adapting, but whether all players in this process have done their due diligence to ensure that regularisation serves as a springboard rather than an obstacle for those of us who are able to rise to the occasion.”

“A Sure Win has a lot of exciting plans for the future and we are working hard to bring our vision of being the most innovative, socially responsible gaming services provider in the Bahamas into fruition. With that said, it is of the utmost importance that we create a regulatory environment that has the best interest of all stakeholders in mind. Every decision we make from this point forward has reverberations that will echo throughout the local economy and job market.”

According to the Gaming House Operator Regulations, web shops will be taxed at a rate of 11 per cent of the taxable revenue or 25 per cent of earnings before interest, taxes, depreciation and amortisation depending on which one is greater.

Annual gaming house license and monitoring fees would cost $250,000. There also will be additional license fees for essentially all web shop employees.

Operators, whose businesses gross turnover of less than $5 million will be required to pay a penalty of $350,000 in lieu of taxes that could not be collected when they were operating outside the Act, the regulations said. Businesses whose gross turnover exceeds $5 million will be required to pay a penalty of $750,000 for the same reason.