Tuesday, December 18, 2012

Pokies decision hanging on a thread

Hi everyone - sorry for the delay in posting the last few posts re the VCAT hearing. I have been away for a few days, recharging the batteries after the hectic week in VCAT. I will be posting the final submissions from the hearing this week. Apologies for the delay. In the meantime I have posted the round-up story below which was printed in this week's Midland Express. - cheers, Jeff :)
The VCAT hearing to decide the Castlemaine pokies fight is hanging on a thread and the final decision - not expected until February - could go either way.
The hearing was called after Mount Alexander Shire Council appealed the Victorian Commission for Gambling Regulation's (VCGR) decision earlier this year to grant Maryborough Highland Society (MHS) a licence to open a club, complete with 65 poker machines, in the old railway goods shed, in Kennedy Street, Castlemaine.
The matter was heard by VCAT deputy president Mark Dwyer in Melbourne.
The hearing was adjourned on August 24 this year after the first five days of legal argument and resumed last Monday for a further five days.
Highlights of the hearing were:
· The Club will be the owner of the entitlements for the 65 poker machines and will form a board to run the club, while MHS will manage the day-to-day activities of the club in return for a $250,000 management fee.
· The venue will need to generate $33.69 million of gaming revenue in the first nine years to stay on track with its budget. This breaks down to $3.5 million of gaming revenue that would be needed in the first year of operation.
· The $50,000 cash component of MHS' $200,000 community contribution per annum, which includes $150,000 in-kind, wasn't guaranteed until the dying minutes of the hearing.
Compelling evidence by local residents from both sides was the main feature of the week.
John Walter of Stoneman's Bookroom in Castlemaine; Alex Perry of The Good Table; psychiatrist Dr Gianni D'Ortenzio, People Not Pokies president Jeremy Forbes and Chan Nyok, former president of the East African Community in Castlemaine were called to give evidence in support of EPIC.
Bill Jefferies, Jenny Rixon and Ian Braybrook gave evidence in support of The Club and the Maryborough Highland Society.
Two key witnesses were former president of the Maryborough Highland Society's (MHS) board, John Inglis and EPIC president, David Stretch.
Both men spoke with passion and conviction and each appeared to have a strong impact on the hearing.
The momentum appeared to swing from one side to the other several times during the hearing, with the council and Enough Pokies in Castlemaine (EPIC) looking to be on top midway through last week.
Maryborough Highland Society barrister Peter Caillard appeared to be trying to buy time while waiting for the written version of his final submission to arrive on Wednesday.
Mr Caillard's presentation was followed by very strong final summaries from council's barrister, John Rantino and EPIC barrister Susan Brennan.
Ms Brennan described the hearing as a "great moveable feast" with a trickle of information at the beginning and repeated changes to MHS' information, budgets and documents including the Management Agreement.
"It's very much been a case of them plugging the gaps," Ms Brennan said. "We believe that we now have a completely different legal structure in front of us compared to when we started - we have a different contract, lease terms, MHS constitution, personnel involved, forecast budget and evidence.
"We would say it is a different case to that presented to the commission."
Mr Caillard made a late bid on Friday to swing the decision back his way in the dying minutes of the hearing when he told the tribunal that his client would be willing to accept a condition to guarantee the MHS' $50,000 cash contribution to the community was paid each year.
He said if there were insufficient funds for the proposed venue operator, the Castlemaine Sports and Community Club (The Club) to pay the amount then MHS would "pick it up".
Mr Caillard said there was some doubt over whether the tribunal could impose such a condition and furnished Mr Dwyer with a few alternatives.
One alternative was to pay the $50,000 annually to council to distribute as it sees fit to problem gambling services in the municipality.
He said another alternative could be to include a requirement in the management agreement between MHS and The Club that it must be paid.
Mr Caillard said his final option was already in place, under existing VCGR laws which states that a promised community contribution has to be paid otherwise the applicant (MHS in this case) could face serious repercussions such as losing its venue operator's licence for the Maryborough Highland Society club; and/or disciplinary action.
Only time will tell if it was enough to convince the tribunal to ultimately approve the new venue in Castlemaine.
Deputy president Mark Dwyer took all of the information on board and said a decision wasn't likely to be handed down until February, 2013.