Statutes Amendment (Gambling Measures) Bill

Second Reading

The Hon. A. PICCOLO (Light—Minister for Disabilities, Minister for Police, Minister for Correctional Services, Minister for Emergency Services, Minister for Road Safety) (15:56): I move:

That this bill be now read a second time.

I seek leave to have the second reading explanation inserted in Hansard without my reading it.

Leave granted.

This Government has introduced a range of measures aimed at strengthening responsible gambling environments and eliminating regulations that are no longer required.

Significant reforms were introduced in the Statutes Amendment (Gambling Reform) Act 2013. Most of the measures have now been implemented.

This is an opportune time to identify any need to fine tune the statutory framework applying to gaming.

The Bill proposes to fine tune some provisions in the Gaming Machines Act 1992, the Independent Gambling Authority Act 1995, the Lottery and Gaming Act 1936 and the Problem Gambling Family Protection Orders Act 2004.

Recently, Consumer and Business Services, in association with South Australia Police, raided properties and seized gaming machines held by unlicensed persons. Consumer and Business Services had received information indicating that unlawful gaming machines were being brought into South Australia by unlicensed persons, but action could not be taken until the gaming machine was in the unlicensed person's possession.

The Bill proposes to make it an offence under the Gaming Machines Act for a person to purchase, or enter into a contract or agreement to purchase, a gaming machine, unless licensed.

Another proposed amendment to the Gaming Machines Act is the removal of the prohibition of EFTPOS facilities in gaming areas in hotels and clubs.

Currently gamblers are required to leave the gaming room and withdraw cash using EFTPOS facilities outside the gaming area. This means that the gambler may not be able to be observed or served by trained gaming area staff.

It is considered that there is a better chance of appropriate intervention when the gambler is exhibiting problem gambling characteristics if the EFTPOS facility is located in the gaming area.

Unlike ATMs, EFTPOS facilities involve human interaction at point of cash withdrawal. This provides a good opportunity for interaction between the gambler and trained gaming staff and for trained gaming staff to observe cash withdrawal behaviour.

Other amendments to the Gaming Machines Act include: providing the Liquor and Gambling Commissioner with power to seek input from the Commissioner of Police about any gaming manager or gaming employee, and reducing red tape by removing the requirement that the Liquor and Gambling Commissioner approve the layout of gaming machines in a gaming area.

The Lottery and Gaming Act prohibits a range of activities associated with lotteries, gaming and betting.

A lack of clarity exists as to whether gambling on poker is prohibited under the Lottery and Gaming Act.

Tournament poker that does not involve gambling is a popular activity and is undertaken by many hotels, clubs and other not-for-profit associations. There is, however, concern that some poker games being conducted in public places, under the guise of being tournament poker, may involve gambling and are being conducted without any integrity or responsible gambling regulation.

The Bill proposes to make it unlawful to play at, or engage in, a game of poker in a public place. It also proposes to provide the Minister with the power to make a regulation to prescribe the circumstances in which playing, or engaging in, a game will, or will not, constitute unlawful gaming.

It is the Government's intention to make a regulation to clarify the definition of tournament poker and to ensure that tournament poker that does not involve gambling is not an unlawful game.

The Bill also proposes to amend the Lottery and Gaming Act to provide modern powers of delegation to the Minister. There are also many statute law revision amendments that modernise the Lottery and Gaming Act.

The Independent Gambling Authority Act establishes the Independent Gambling Authority and the statewide gambling barring regime.

The Bill proposes that Independent Gambling Authority Act be amended to provide greater clarity in administrative arrangements. The Bill includes a new staff provision clarifying that the staff of the Independent Gambling Authority are Public Service employees that have been assigned by the relevant Chief Executive. The new provision replaces the Secretary provision which is not specifically required.

Further, to provide flexibility to the Independent Gambling Authority, the Bill proposes to extend delegation making provisions so that its powers and functions can be delegated to any person or body. These delegations can be subject to conditions and can be revoked. This extended delegation provision could facilitate a one-stop-shop arrangement for the gambling sector by delegating business facing functions to Consumer and Business Services.

The Bill also proposes to fine tune the barring framework. It extends confidentiality obligations to authorised persons to ensure confidentiality of information gained through the barring regime is maintained. Further, the power to remove a barred person is clarified by the proposed amendment that would enable the removal of a barred person from a place where specified gambling activities set out in a barring order are engaged in.

I commend the Bill to Members.

Explanation of Clauses

Part 1—Preliminary

1—Short title

2—Commencement

3—Amendment provisions

These clauses are formal.

Part 2—Amendment of Gaming Machines Act 1992

4—Amendment of section 15—Eligibility criteria

This amendment removes the requirement for an applicant for a gaming machine licence to satisfy the Commissioner that the proposed layout of gaming machines in a gaming area is suitable for the conduct of gaming operations.

5—Amendment of section 18—Form of application

This amendment is consequential on the removal of the requirement that an applicant for a gaming machine licence satisfy the Commissioner that the proposed layout of gaming machines in a gaming area is suitable for the conduct of gaming operations.

6—Amendment to heading to Part 4AA

This amendment is consequential to the insertion of proposed section 44AAA.

7—Insertion of section 44AAA

This clause inserts a new section as follows:

44AAA—Commissioner may notify Commissioner of Police of appointment of gaming managers and gaming employees

Subclause (1) provides for the Commissioner to provide a copy of a notification of the appointment of a gaming manager or gaming employee to the Commissioner of Police. Subclause (2) provides that the Commissioner of Police, as soon as reasonably practicable following receipt of a notification, must make available information about any criminal convictions of the gaming manager or gaming employee and may make available any other information relevant to whether the Commissioner should issue a prohibition notice under section 44AA of the Act.

8—Amendment of section 45—Offence of being unlicensed

This clause amends section 45 to create a new offence of purchasing or entering into a contract or agreement to purchase a gaming machine without being licensed to do so, with a maximum penalty of $35 000 or imprisonment for 2 years.

9—Amendment of section 51A—Cash facilities not to be provided within gaming areas

This clause amends section 51A to remove the prohibition on providing EFTPOS facilities within gaming areas.

10—Amendment of Schedule 1—Gaming machine licence conditions

This amendment removes the condition of a gaming machine licence requiring the layout of the gaming machines within a gaming area to be in accordance with the layout approved by the Commissioner. The amendment is consequential to the removal of the requirement for the Commissioner to approve the layout of gaming machines within a gaming area.

Part 3—Amendment of Independent Gambling Authority Act 1995

11—Amendment of long title

This clause updates the long title of the Act to refer to the Independent Gambling Authority.

12—Substitution of section 10

This clause substitutes section 10 as follows:

10—Staff

Proposed section 10(1) provides that the staff of the Authority will consist of Public Service employees assigned to the Authority. Proposed section 10(2) provides that directions given to an employee by the Authority in relation to the exercise of its functions prevail over directions given by the chief executive of the administrative unit of the Public Service in which the employee is employed to the extent of any inconsistency.

13—Amendment of section 11B—Delegation

This clause amends section 11B to allow the Authority to delegate certain functions and powers to a person or body, and permits the further delegation of those powers and functions if the instrument of delegation so provides.

14—Amendment of section 14—Powers and procedures of Authority

These amendments remove the references to the Secretary of the Authority, consequential on proposed section 10.

15—Amendment of section 15I—Powers to remove etc

The definition of barring orders in section 15B refers to a person being barred from a place or from taking part in specified gambling activities. This clause amends section 15I(1) to reflect this definition, giving an authorised person power to require a person to leave a place if the person suspects on reasonable grounds that a person who is in, or who is entering or about to enter, that place is barred from that place or from taking part in specified gambling activities at that place.

16—Amendment of section 17—Confidentiality

The clause amends section 17 to include a requirement limiting the disclosure of confidential information by an authorised person obtained in the course of exercising powers, functions or duties under this Act or a prescribed Act.

Part 4—Amendment of Lottery and Gaming Act 1936

17—Amendment of section 4—Interpretation

Subclause (1) amends the definition of unlawful gaming to include playing at or engaging in a game of poker in a public place. The regulations may prescribe circumstances in which playing at or engaging in a game of poker will or will not constitute unlawful gaming. The amendment in subclause (2) is consequential on the amendment in subclause (1).

18—Amendment of section 61—Unlawful gaming and playing of unlawful games

This clause inserts a new subsection (4) which makes it an offence to organise or promote unlawful gaming with a maximum penalty of $2,500.

19—Insertion of section 117

This clause inserts a new section as follows:

117—Delegation

The section provides that the Minister may delegate to a person any of the Minister's powers or functions under the Act.

Part 5—Amendment of Problem Gambling Family Protection Orders Act 2004

20—Amendment of section 3—Interpretation

This amendment removes the definition of Secretary and is consequential on the staffing provision in proposed section 10 of the Independent Gambling Authority Act 1995.

21—Amendment of section 13—Notification of making, variation or revocation of problem gambling family protection orders by Authority

This amendment removes the reference to Secretary and is consequential on the staffing provision in proposed section 10 of the Independent Gambling Authority Act 1995.

22—Amendment of section 18—Report to Parliament

This amendment removes the reference to Secretary and is consequential on the staffing provision in proposed section 10 of the Independent Gambling Authority Act 1995.

Schedule 1—Statute law revision amendments of Lottery and Gaming Act 1936

The Schedule makes various amendments of a statute law revision nature to the Act.

Debate adjourned on motion of Mr Gardner.