Gambling Act 2003

Gambling - Licensing of casino gambling - General provisions

126: Mortgage or assignment of casino licence

You could also call this:

"Using your casino licence as security for a loan needs Gambling Commission approval"

If you have a casino licence, you cannot use it as security for a loan unless the Gambling Commission approves the person who will hold the security and the terms of the loan. You need to get approval from the Gambling Commission before you can use your casino licence in this way. The Commission will look at who is involved and make sure they are suitable.

If someone who has loaned you money using your casino licence as security decides to take control of the licence, the Gambling Commission must approve this first. The Commission will check if the person taking control and anyone who will influence them is suitable to be involved with a casino licence. They will do this by following the same process as when they consider new licence applications, as outlined in sections 124 and 125.

You or the person who loaned you the money can apply to the Gambling Commission for approval using the correct form. The Commission will then consider your application and make a decision. They must follow the rules when making their decision.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM208695.


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125: Gambling Commission must investigate application concerning casino licences, or

"The Gambling Commission checks people who want a casino licence to make sure they are trustworthy."


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127: Casino licence not transferable, or

"A casino licence belongs to one person or group and can't be passed on to someone else."

Part 2Gambling
Licensing of casino gambling: General provisions

126Mortgage or assignment of casino licence

  1. A holder of a casino licence may not mortgage, charge, or otherwise encumber a casino licence unless the proposed holder of, and the nature, terms, and conditions of, the mortgage, charge, or encumbrance are first approved by the Gambling Commission.

  2. A casino licence may not be transferred or alienated as a result of a mortgage, charge, or encumbrance being enforced unless the proposed transferee or alienee and any person who has or is likely to have a significant influence has first been approved by the Gambling Commission.

  3. A charge holder, mortgagee, or holder of an encumbrance, or the holder of the casino licence, may apply on the relevant form to the Gambling Commission for approval under subsection (1) or subsection (2).

  4. In considering whether to approve a proposed transferee or alienee, and any person with a significant influence under subsection (2), the Gambling Commission must investigate the suitability of the proposed transferee or alienee, and person, in accordance with sections 124 and 125.

Compare
  • 1990 No 62 s 47