Grant of class 4 operator’s licence

52 Grounds for granting class 4 operator’s licence

(1)

The Secretary must refuse to grant a class 4 operator’s licence unless the Secretary is satisfied that,—

(a)

the gambling to which the application relates is class 4 gambling; and

(b)

the applicant’s purpose in conducting class 4 gambling is to raise money for authorised purposes; and

(c)

the applicant’s proposed gambling operation is financially viable; and

(d)

the applicant will maximise the net proceeds from the class 4 gambling and minimise the operating costs of that gambling; and

(e)

the net proceeds from the class 4 gambling will be applied to or distributed for authorised purposes; and

(f)

the applicant is able to comply with applicable regulatory requirements; and

(g)

the applicant will minimise the risk of problem gambling; and

(h)

any investigations carried out by the Secretary do not cause the Secretary not to be satisfied about the suitability of the applicant or any key person, in terms of subsection (4); and

(i)

there are no factors that are likely to detract from achieving the purpose of this Act; and

(j)

a key person is not a key person in relation to a class 4 venue licence held, or applied for, by the applicant (except in the case of a class 4 venue licence application, which was not or is not required under section 65(3) or (4) to be accompanied by a class 4 venue agreement).

(2)

In assessing financial viability under subsection (1)(c), the Secretary must consider, among other things, the ability of the applicant to reward winners and pay levies, taxes, and other costs, as well as apply or distribute the net proceeds from the class 4 gambling to or for authorised purposes.

(3)

The Secretary may refuse to grant a class 4 operator’s licence if an applicant fails to provide the information requested by the Secretary in accordance with section 51.

(4)

In determining whether an applicant is suitable for a class 4 operator’s licence, the Secretary may investigate and take into account the following things:

(a)

whether the applicant or a key person has, within the last 7 years,—

(i)

been convicted of a relevant offence:

(ii)

held, or been a key person in relation to a class 3 or class 4 operator’s licence, a class 4 venue licence, a casino licence, or a licensed promoter’s licence under this Act or any licence under previous gaming Acts that has been cancelled, suspended, or for which an application for renewal has been refused:

(iii)

been placed in receivership, gone into liquidation, or been adjudged bankrupt:

(iv)

been a director of a company that has been placed in receivership or put into liquidation, and been involved in the events leading to the company being placed in receivership or put into liquidation:

(v)

been prohibited or disqualified from acting as a director or promoter of, or in any way, whether directly or indirectly, being concerned or taking part in the management of, a company under section 382, 383, or 385 of the Companies Act 1993:

(vi)

been prohibited from acting as a director or directly or indirectly being concerned, or taking part, in the management of a company under section 299 of the Insolvency Act 2006; and

(b)

the financial position and credit history of the applicant and each key person; and

(c)

the profile of past compliance by the applicant and each key person with—

(i)

this Act, minimum standards, game rules, Gazette notices, and licence conditions; and

(ii)

the Racing Act 2003 or the Racing Act 1971 (and any rules of racing made under either of those Acts); and

(iii)

previous gaming Acts, and regulations made under previous gaming Acts; and

(iv)

a licence or a site approval issued under a previous gaming Act; and

(d)

any other matter that the Secretary considers relevant.

(5)

The Secretary may take into account matters of a similar nature to those listed in subsection (4) that occurred outside New Zealand.

(6)

If the Secretary decides to refuse to grant a class 4 operator’s licence, the Secretary must notify the applicant of—

(a)

the reason for the decision; and

(b)

the right to appeal the decision; and

(c)

the process to be followed for an appeal under section 61.

Section 52(1)(g): amended, on 3 March 2015, by section 28(1) of the Gambling Amendment Act 2015 (2015 No 3).

Section 52(1)(j): amended, on 3 March 2015, by section 28(2) of the Gambling Amendment Act 2015 (2015 No 3).

Section 52(4)(a): amended, on 3 March 2015, by section 28(3) of the Gambling Amendment Act 2015 (2015 No 3).

Section 52(4)(a)(iii): amended, on 3 March 2015, by section 28(4) of the Gambling Amendment Act 2015 (2015 No 3).

Section 52(4)(a)(iv): inserted, on 3 March 2015, by section 28(4) of the Gambling Amendment Act 2015 (2015 No 3).

Section 52(4)(a)(v): inserted, on 3 March 2015, by section 28(4) of the Gambling Amendment Act 2015 (2015 No 3).

Section 52(4)(a)(vi): inserted, on 3 March 2015, by section 28(4) of the Gambling Amendment Act 2015 (2015 No 3).

Section 52(4)(b): replaced, on 3 March 2015, by section 28(5) of the Gambling Amendment Act 2015 (2015 No 3).

Section 52(4)(c)(iv): amended, on 21 October 2015, by section 11(1) of the Gambling Amendment Act (No 2) 2015 (2015 No 90).

Section 52(4)(d): inserted, on 21 October 2015, by section 11(2) of the Gambling Amendment Act (No 2) 2015 (2015 No 90).