St. Lucia Star
Written By: Nicole Mc Donald

Casino tourism is expected to rise even in this economic climate. Is St Lucia missing out because of stringent laws?
While in opposition former Prime Minister Sir John Compton made it very clear that his opinion was that casinos were the devil! The ‘Father of the Nation,’—who is credited with having dreamed up most of St Lucia’s current industries and infrastructure—at the thought of a casino being built in St Lucia forecasted that “crime would sky-rocket.”
At the time Compton was responding to the fact that the Gaming Control Authority had approved a license for American Bernie Burkholder, formerly of Treasure Bay casinos. Sir John even called on churches to take a stand. Father Michel Francis responded by saying that the Catholic churches’ silence “was by no means consent” and that a casino would do “untold damage to the island’s social fabric.” But Compton is gone now and apparently with him some of the ideas he had when he led the United Workers Party back into power in 2006.
Needless to say Treasure Bay has yet to build a casino in St Lucia even though a site was mapped out near Pigeon Island and the Gaming Control Act was amended in 2003 to accommodate their application allowing for a stand-alone casino. So why is the casino issue making news now? BBC Caribbean reported earlier this week that Cabinet had approved for a casino at Baywalk, loosely known as the Chreiki mall, which is currently under construction in Rodney Bay. Construction began in August 2007 on the shopping mall, set to house 60 stores, indoor parking, as well as the island’s first casino!
Chairman of the Gaming Control Authority, Lisle Chase, confirmed this information to the STAR this week, but said that though Cabinet had approved a site for the casino the Gaming Control Authority had not yet recommended that an operator be approved to run the casino. In fact one operator who applied to run the casino had already been denied. This is not surprising said Chase who admitted that an operator of a casino must be squeaky clean and undergo stringent background checks.
Needless to say, the laws concerning operating a casino in St Lucia and the current economic climate have both ensured that the vision of some that St Lucia may one day have a burgeoning gaming industry is on pause.
“Gaming has not gone in any direction. The idea was to provide amenities for our tourism industry . . . St Lucia, I don’t think in anybody’s mind would ever be a prime gaming destination. There are many studies that show when people travel only a small percentage travel because there is gaming in a destination. However, a very significant percentage of people who go to a destination will go to a casino to game if it is available,” said Chase.
As for the first license the Authority granted to Treasure Bay, Chase said not to count them out just yet.
“They got their license in 2006 and they changed their management structure thereafter. Since the new (UWP) administration took over the Treasure Bay people have come back on a number of occasions to revisit the project with this administration. At the time that they had indicated they were ready to move, we were hit with the global crisis. They obviously got cold feet. I mean this is a lot of money to put into a small Caribbean jurisdiction.”
Of course there were also the issues that Treasure Bay had with the fact that the Gaming Control Act of 2000 prevented locals from gaming at a casino. In a time when tourist arrivals are down drastically even hotels are trying to tap into the local market to keep their rooms occupied.
“Treasure Bay was worried that there would not be sufficient business to support capital expenditure,” Chase admitted.
Back in 2005 Treasure Bay’s Burkholder was very clear about the issue of it being illegal for locals to patronize casinos to the point that the developer said he would have to review his level of investment in the island. He sent out a challenge to then Prime Minister Kenny Anthony to amend the law.
“There is absolutely no difference in somebody going into a casino and playing black jack or a slot machine as compared to somebody going to a restaurant or a show. It is a legitimate business. It is highly regulated. It is unpractical and unwise to exclude all St Lucians from enjoying this amenity,” said Burkholder.
Kenny Anthony at the time said he would not budge on the issue and took an overprotective approach, stating: “We feel that our citizens need to be protected; protected in a very narrow sense, not that we think they can’t take care of themselves but we have maintained that the fact that there are certain mores, certain precepts in our society, certain anxieties felt throughout the length and breadth on these matters and that the views of ordinary St Lucians should be fully respected in this matter. Maybe when St Lucians reach a certain point of their development then whatever restraints they feel they have in these matters they will free themselves of these restraints.”
A representative for Treasure Bay had told this reporter in 2006 that if St Lucians wanted to use their casino they would have to battle the clause in the legislation themselves; that Treasure Bay would have to operate within the laws. Vice president and general manager for Treasure Bay VI Corp Barbara Shattles however made the point that a casino is not just about gambling but entertainment.
“St Lucians will have to push that if they want it,” said Shattles. “I don’t think anyone in St Lucia is working on that or pushing that at the moment. But when you have a casino that is going to bring in big name entertainment I can’t imagine that the St Lucians wouldn’t say: ‘Wait a minute, I might want to go see Kenny Chesnie and this is not fair.’ But that is between St Lucians. We are going to run that casino just exactly how the regulations read.”
There are indications, however, that the UWP administration is not of the same mindset as the former SLP and that the present government does not agree with the ‘Father of the Nation’ that casinos equals crime. In fact sources close to the Baywalk development hope that by next year the Gaming Control Act will be amended to allow locals to use the casino. After all, the casino will be located in a mall, which no doubt will be frequented by locals. The logistics of controlling who is local and who is not when they enter a casino could create a problem. Not to mention the fact that the law could be challenged on whether it is unconstitutional; that a St Lucian can be denied the same rights that a visitor to St Lucia has. Our source was very concerned that St Lucians who can afford it travel to other countries to spend their money at casinos when we could keep that money in circulation in St Lucia by providing a casino.
For his part the Gaming Chairman did not want to speak directly to whether the law should be changed.
“Whether it is right or wrong to stop locals from gaming really comes down to a matter of social conscience. Whether you believe that gaming in a casino environment is more harmful to locals than cockfighting, or people spend a lot of money on the lottery . . . Gambling is built into an awful lot that people do. It is really going to be difficult to police this,” Chase admitted.
Having been to casinos all over the world Chase was not ready to admit that the advent of casinos in St Lucia would immediately translate into social decay.
“I have not seen what people fear most. I know that the mob or the mafia is entrenched in certain parts of the world but I would hope that St Lucia will always maintain a certain approach to the regulation of casinos to ensure that we never go down that road,” said Chase adding that he cannot see St Lucia turning into a mini-Las Vegas.
Chase advised that those applying to operate a casino in St Lucia “come with clean hands.”
“Don’t come simply with an idea that you are going to operate a casino. Don’t think that you can get around the system by who you know. That is not going to happen. Successive governments have proven that they do not interfere with the work of the authority. We are not obstructionists in any way, it is made up of business professionals and we understand the business imperative of getting the casino going.”
Since the Gaming Control Authority came into being it has only received two applications. Countries in the Caribbean that have reaped huge benefits from the gambling industry include Aruba, Puerto Rico, Curaçao, Dominican Republic and the Bahamas. Even in the current economic climate Aruba is estimating growth in this sector. Joanna Walding, the UK director of the Aruba Tourism Authority, says: “The increasing mainstream profile and consumer popularity of gambling makes it likely that ‘casino tourism’ will be a growth sector in the months and years to come. The majority of clients won’t be regular gamblers but will see the casino as a fun way to spend an evening or two during their trip.”
Isn’t it time we too began to think out of the box?