The state of Pennsylvania has penalized two of its most notable casinos last week with six-digit fines due to numerous infringements and safety violations. After reaching the agreement with both parties, the Gaming Control Board has ordered them to pay a whopping $130,000 plus additional $30,000 for non-compliance of guidelines…
The company behind The Meadows Racetrack & Casino, Washington Trotting Association, Inc. is initially slapped with $80,000, as a result of an investigation aimed at the venue’s employees. According to the GCB reports, the establishment has issued more than $830,000 in complimentary services since 2009. In Pennsylvania, only select employees have the power to provide complimentary services, and there is a limit on the amount of money that can be awarded.
In the same fashion, the GCB punished Valley Forge Casino Resort with another $80,000 for failing at two critical aspects: safeguarding revenues and assets, as well as maintaining reliable and correct financial records. The fine also includes infractions regarding regular audits plus segregation of other functions and responsibilities.
The association has even pressed charges against an employee who tried to fraudulently collect settlements. Other penalties address non-compliance and poor following of the framework in regard to Spanish 21, a version of blackjack.
On the other side, Pennsylvania generates around $1.4 billion in tax revenue each year, thanks to its stand-alone and racetrack casinos. Nevertheless, despite being one of the first states to legalize sports wagering, many investors are afraid that a 36% tax rate could keep players away from coming. At this point, only Penn National and William Hill have applied for the license, and hopefully other sportsbooks will soon join.