KEYNOTE ADDRESS BY THE HON. HORACE W. DALLEY, MINISTER WITHOUT PORTFOLIO WITH
RESPONSIBILITY FOR THE PUBLIC SERVICE, IN THE MINISTRY OF FINANCE AND PLANNING, FOR THE
INAUGURAL BGLC GAMING INDUSTRY SUMMIT, AT THE JAMAICA CONFERENCE CENTRE, THURSDAY,
29TH MAY, 2014
“ECONOMIC GROWTH IS A TEAM SPORT”
SALUTATIONS:
 Chairman of the Betting, Gaming & Lotteries Commission – Mr. Gary Peart
 Chairman of the Jamaica Racing Commission – Mr. Linton Walters
 Chairman of the Casino Gaming Commission – Mr. Walter Scott, QC
 Chairman of Caymanas Track Limited – Mr. Christopher Brown
 Executive Director of the BGLC, Mr. Andral “Jack” Shirley
 President/CEO of Supreme Ventures Limited – Mr. Brian George
 Project Coordinator of Rise Life Management Services – Mr. Richard Henry
 Licensees and other Stakeholders in the Gaming Industry
 Other Distinguished Guests
 Members of the media
 Ladies and Gentlemen
INTRODUCTION:
 I am happy to address you this morning at this inaugural BGLC Gaming Industry
Summit. This summit expands on the horseracing summit which was held a year
ago, because, as you know, the gaming industry is a diverse platform, involving
horseracing, lotteries, betting, casino and gaming. Chairman Peart and his team
at the Betting Gaming and Lotteries Commission have worked hard to ensure
that the day’s proceedings are facilitated in an atmosphere of collaboration,
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open, respectful dialogue, team spirit and cooperation; as it is only through our
collective will that growth in the industry and the economy can be realised.
 I am also pleased that this gathering has brought together all the major
stakeholders - sector leaders and regulators, operators, suppliers, attorneys,
investors, bankers and other advisors - in keeping with the broad focus of
finding solutions for the advancement of the Industry; while also meeting the
new and emerging demands of a modern industry. I wish to urge you; therefore,
to take advantage of this opportunity to raise your concerns while at the same
time, benefitting from the information that will be imparted here today.
 I note from today’s Agenda, that the deliberations will focus on several areas of
significance to the Industry. Namely include:
 the Legal and Regulatory Framework
 the Proceeds of Crime Act,
 Responsible Gaming; and the,
 Sector Outlook.
The Legal and Regulatory Framework
 The legal and regulatory framework is central to the gaming industry. This
Administration is well aware of this, and myself and my colleague Minister, Dr.
the Honourable Peter Phillips, have been actively updating the legislative
framework to empower the various Commissions, to adequately monitor and
regulate this industry.
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 The recent passage of the bill to amend the Betting, Gaming and Lotteries Act is
a key indication of our intention.
 The main objective of those amendments to the Act, is to provide the regulatory
framework to ensure the integrity and probity of the games and key
stakeholders within the betting, gaming and lotteries industry. The amendments
further aim to:
a. Strengthen and improve the regulatory oversight of the Betting,
Gaming and Lotteries Commission (BGLC) so as to develop and expand
the industry in an orderly manner ;
b. Increase the Revenue streams through:
i.
the expansion of the sports betting and lottery industries through
the licensing of a variety of new outlets, including mobile outlets;
ii.
introduction of fees for activities undertaken by the Commission in
the gaming machine sector/industry;
iii.
licensing fees for certain persons operating in the betting, gaming
and lotteries industry
iv.
Correct Omissions and Anomalies following from the Betting
Gaming and Lotteries (Amendment) Act 2010 (‘the 2010
amendments’)
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PROCEEDS OF CRIME ACT (POCA)
 Another crucial piece of legislation that the Industry has to constantly be
aware of is the Proceeds of Crime Act (POCA) which was amended last
year to allow for greater reach in the fight against money laundering and
illegal betting and gaming practices in the Industry. The Proceeds of Crime
Act, POCA laws, oblige you to practice due diligence in ways you may not
normally be accustomed to but is an important facility that guarantees
your protection and those of your customers from prosecution.
 The requirement now is for you to become compliant through training and
orientation and developing your in-house POCA Compliance Manuals. Rest
assured, you will be in safe hands with the legal minds at the BGLC and
the Casino Commission, who will guide you through the process.
REVENUE GROWTH
 I now turn attention to the Industry’s revenue performance. The data that I
am about to present reflects the last three financial years starting in 2011.
 The Gaming Industry continues to be one of the highest grossing industries in
the economy recording tremendous growth in several sectors. For the 20112012 fiscal years, the Industry recorded $2.9 billion in government revenue and
taxes, which increased to $3.8 billion for the 2012-13 period and another
impressive showing of $4.5 billion was recorded for the 2013-14 fiscal year.
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 This is not the kind of revenue intake in the economy that any administration
can ignore. At the same time, the scope for expansion, a stronger economy and
the creation of more jobs for our people are what we are interested in.
SECTOR OUTLOOK
 I will now update you on the performance and some achievements that have
been realised or are in progress in the respective sectors.
RACING SECTOR
 Since the last summit, which was specifically for the Racing Sector, a number of
developments have been realised in the horse racing and operational capacity of
Caymanas Track Limited (CTL). CTL is now under the leadership of a new Broad
of Directors led by Mr. Christopher Brown and a newly installed CEO, Mr.
Cedric Stewart, who along with their staff at the CTL, have combined their
efforts to improve the financial position and image of the company and horse
racing in general.
 We have appointed an Enterprise Team to oversee the divestment of a
profitable CTL;
 We have given you Sunday racing;
 CTL has significantly reduce its debt to stakeholders and other partners,
 It has lessened its operating costs,
 improved the image of Horse Racing;
 They have created and diversified revenue that has seen better
attendance at the Track.
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 Most importantly, the stakeholders and CTL are not in any acrimonious
relationships. This is reflected in the upcoming agreement to be signed
between CTL and the Bookmakers.
 With all the efforts being made to become profitable, CTL now continues its
thrust to generate revenue and further reduce its debt by new policies and
initiatives such as Slot machines at the track (to come on stream), Telephone
betting and account wagering along with regulating the bookmakers to have
them now enter into the CTL tote system.
 I must commend Chairman Chris Brown, Vice Chairman Andrew Azar and CEO
Cedric Stewart for the tremendous work they have done to lessen the tension at
the Track.
LOTTERY SECTOR AND TELEPHONE AND TEXT BETTING
 On the matter of the Lottery Sector, I wish to, at the outset, commend Supreme
Ventures Limited for continuing to operate a profitable enterprise. In order to
expand the Lottery Sector, Telephone Betting and Text Betting will now be
possible as a result of the amendments that I mentioned earlier. Those
amendments will enable the expansion of the Industry through job creation and
economic growth and the stakeholders can expect to benefit from the increased
sports betting outlets facilitating World Cup fever and all future eligible sporting
events.

In light of these developments, the Government cannot sit idly by and allow the
multi-billion dollar leakage through the illegal sales of lottery tickets, sports
bets, and internet gaming. Thus, these critical amendments will serve to
legitimize and protect investors.
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 Fact is, the operation of a national lottery is not a simple effort. Technology has
helped to make this easier; however, the Government cannot and will not,
renege on its responsibility to ensure that those who wish to operate a lottery
company, must pass the rigorous test of being fit and proper.
CASINO SECTOR
 As such, the MOFP is currently reviewing bids for the three proposed Vegas-style
casinos that are earmarked for Jamaica. The granting of such licenses is
dependent on whether the prospective licensees are fully compliant with the
GOJ’s requirements. Much is at stake with only three licenses to be awarded.
However, there is no room for error, and all efforts are painstakingly being
made to ensure due diligence and suitability.
 Particularly those gaming lounges in the Exclusive Gaming Area will be happy
to hear that they still have a few years before the Casinos become active.
However, we predict that your current clientele are not likely to shift, as the
Casinos will require players to be guests in the Integrated Resort. Nevertheless, I
urge gaming lounges to be proactive and review your business models to ensure
your unique positioning and customer retention in the market.
INTERNET GAMING
 On the matter of Internet Gaming, the GOJ is reviewing the possibilities for this
platform over the next year. Internet Gaming is a multi-billion dollar industry
world-wide and according to the last Juniper Research study in the US, it is
expected that internet placed bets will reach $100 billion by 2017. Internet
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Gaming is happening right now in Jamaica. Therefore, it is time that we make
that progression to this methodology of gaming, as Jamaicans are already well
equipped with the devices to facilitate this. The adequate protections for minors
and other vulnerable groups will have to be in place, as we have no intention of
compromising their safety.
 Adherence to responsible gaming is the standard of true governance of the
Industry.
RESPONSIBLE GAMING
 The work of RISE Life Management will continue to be vital as the Casinos come
on stream and as access to gaming machines and Gaming Lounges increase
island-wide. Therefore, it is imperative that all gaming facilities practice
Responsible Gaming and adopt a Responsible Gaming Code of Conduct to
ensure the protection of all vulnerable groups.
 The Voluntary Self Exclusion Programme currently upheld by a few gaming
lounges, must be expanded into all other gaming establishments, for the
support of those who have gambling addictions and feel unable to control their
problem. Protection of the vulnerable is a moral obligation and the greater
cause for a tighter, more effective advancement towards the national goals – of
being “the place of choice to live, work, raise families and do business”.
EASE OF DOING BUSINESS
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 Jamaica’s development is predicated on our ability to retool and restructure the
country’s agencies and statutory bodies, ministries and departments to foster
greater ease of doing business. This is closely measured internationally and is
critical to attracting investment. One element of this is the move towards
electronic submission and processing of applications and payments.
 Another key element is that of adhering to the Public Sector Transformation
Unit’s recommendations to condense operations for efficiency and to achieve
greater cost savings, by merging like entities. The merger between the JRC and
the BGLC has now been approved and is proceeding, after many years of debate
and careful consideration.
 We look forward to the upcoming completion of the construction at Hagley Park
Road which will facilitate the physical merger. We then will be facing the task of
merging the Jamaica Racing Commission Act with the BGL Act to govern the two
entities under one instrument.
CONCLUSION
 As I conclude, I wish to reinforce the view that ALL stakeholders must recognise
that securing the growth and development of Jamaica’s economy is a team
sport.
 The licensees must play their roles in designing and marketing the best products
they can create.
 The regulators, BGLC, JRC and the CGC, must play their part in licensing
compliant, fit and proper applicants and identifying and apprehending those in
breach.
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 The GOJ must enact the laws and maintains the structures in place to increase
the ease with which you can do business.
 And the judiciary must too play their part in applying the fines prescribed by the
laws.
 A fully functioning team like this must achieve the goals of prosperity and
protection for all who are compliant.
 This is a relatively small community of stakeholders, so development cannot be
achieved without each of you playing your part. The alternative is to be left
behind in the global progression if we do not act on the prospects now.
 I thank you.
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