Friday, March 09, 2007

The Newmarket RSA has been fined $9500 and ordered to pay costs of $630 for
offences dating back to 2004. Auckland district president Gary Walker says
no other RSAs have ever been convicted of illegal gambling and the Newmarket
case is upsetting. "We don't condone this sort of irregularity or this type
of thing," he says. "Our RSAs are well-run and controlled, and our staff are
well-trained and maintain a close relationship with the Department of
Internal Affairs. "In all our years this is the only incident of its type."
Internal Affairs Department prosecutor Mark Woolford told Judge Lindsay
Moore the club had operated eight unlicensed gaming machines between October
2004 and November 2005. The machines generated profit of more than $62,000,
which was spent on the upkeep of the club, the Auckland District Court
heard. An investigation into this revealed the money was used in authorised
ways and that no misappropriation of funds took place.
Internal Affairs gambling compliance director Mike Hall said the renewal of
the club's licence was refused in September 2004 on the grounds of financial
viability, including continuous failure to pay the problem-gambling levy. Mr
Walker says the Newmarket club failed to upgrade its gambling machines in
accordance with a new electronic monitoring system because of financial
issues. From March 19 all non-casino licensed gaming machines must be
connected to the system.
Mr Hill says the system controls and monitors the operation of every
non-casino gaming machine, providing the department and operators with
independently verifiable data. He says it reduces the opportunity for
dishonesty and helps ensure gambling is fair. "Some venues are not
connecting to the system and will have to cease operation from March 19," Mr
Hill says. "To continue operating machines not connected to it will be to
conduct illegal gambling. "The department will be checking to ensure that in
this situation gaming machines have been shut down and removed from the
premises." Judge Moore ordered the forfeiture of the Newmarket RSA's
machines and discharged co-defendant and club manager Joan Morrow without
conviction on payment of $500 costs. The RSA moved out of Melrose St,
Newmarket, on January 17 after the premises were sold for $1.6 million last
year. It has steadily lost members over the years because of old age, which
prompted the move to a smaller venue. The Newmarket RSA has about 650
members.