Gaming regulator PAGCOR has found former Macau junket leader Suncity Group unsuitable to hold a license to operate junkets in the Philippines following an investigation into allegations the company withheld funds from customers.
In a lengthy report published last week, PAGCOR said there was “substantial evidence to support the claims against Suncity” and its former CEO Alvin Chau, and that both are therefore declared unsuitable to hold any authority or license to operate a junket business in the country. However, it adds that Suncity Group and Chau can have their authority restored if they return all front money owed to players and adopt certain procedures to ensure such front money is not mingled with capital or operational funds in future.
The report does not make reference to the arrest and detention of Chau last November, nor the fact that Suncity ceased its junket business in December.
Manila’s IR operators also confirmed to Inside Asian Gaming at the time that Suncity’s VIP rooms had already been closed throughout most of 2021 due to the COVID-19 pandemic.
PAGCOR launched its investigation into Suncity in August 2021 after two groups of complainants alleged that they had been unable to withdraw funds they had previously deposited with the company.
One group of 22 complainants stated that they had deposited a combined HK$154.5 million with Suncity “on the condition that they can use or withdraw their respective placements at any time and at any location where the Suncity Group operates.”
In total, PAGCOR said there were 29 complainants owed HK$160.8 million in front money.
Suncity claimed last year it planned to honor its obligations but said it had been unable to return money to some customers due to the “absence of the account holder, the lack of proper and acceptable authorization for representatives, noncompliance with agreed withdrawal procedures, or noncompliance with anti-money laundering safeguards” that the company had in place.
In issuing its report last week, PAGCOR said it orders Suncity to release the front money back to the complainants within one month of receipt of its decision.
