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Dispute over casino licenses in Austria not yet decided

16 April 2015

The poker is on for the Austrian casino licenses

In the end of June last year Austria has already been assigned by the Ministry of Finance with three new casino licenses for Vienna and Lower Austria. The licenses went two times to the Novomatic Group for the sites Prater and Bruck / Leitha and the Palais Schwarzenberg a Swiss-German consortium awarded the contract. The top dog, Casinos Austria, ended up empty handed had lodged a complaint with the Federal Administrative Court end of July 2014. In the Alpine republic a court with such extensive process has a longer period than the usual six months’. The renowned newspaper “the Press” reported in its online edition that after nine months nothing has happened. The plaintiff, in this instance Casinos Austria welcomes the length of the proceedings since while the competition has to wait; Casinos Austria equips the existing casino in downtown Vienna. The other two parties are now somewhat impatient and the German-Swiss group has as a result set a deadline application on Good Friday and Novomatic will also bring such an application forward if the process does not move soon, stated company’s spokesperson Hannes Reichmann.

Novomatic plans Austro-Vegas

The Supreme Court has now time, within two weeks until the beginning of May, to give a “reasonable deadline” to the BVG for decision-making. This is usually about three months. The specified launch of the new casinos on July 1 from the concession modesty can therefore of course no longer be perceived. The Casinos Austria argues the cause of faulty communications from the Ministry of Finance and speaks of policy interventions. These allegations are denied by the Ministry of Finance. If the Federal Administrative Court cancels the decisions, the concessions have to be re-tendered and if the present decisions are confirmed, the matter is decided. The casino Baden / Gauselmann Group has already invested around one million euros in the planned Grand Casino in Vienna Palais Schwarzenberg has to be patient now. Novomatic has a great interest in a speedy decision. Due to the slot machines prohibition in Vienna the great Admiral game hall of the Group in the Prater which was supposed to be developed into a full casino had to close their doors and Novomatic lost several million.

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