Businessmen seem to agree that the casino business in the border town has increased tourist traffic. However, they raise questions about the casinos not following the rules. They say that Indian tourists should be allowed to come safely to play in the casino. It seems necessary to check whether they only bring money with them or any other items when they come.

They emphasize that the arrangements, standards and conditions set by the state should be followed while operating a business. ‘Due to casinos, there is a tourist boom in border cities including Bhairahawa, which has also saved other businesses,’ said Thakur Kumar Shrestha, former president of the Siddhartha Chamber of Commerce and Industry. ‘However, casinos should also follow the rules.’ He said that state bodies should be vigilant about the possibility of players coming to play in casinos bringing in weapons.

Recently, after complaints about casino operators not following the law increased, the concerned bodies have started showing interest. Activities against the rules in casinos are also being made public on social media and in the media. Chandra Prakash Shrestha, president of the Siddhartha Hotel Association, also says that operators should be vigilant to make the casino business dispute-free.

‘Businessmen also had to check customers when they entered the casino and keep a record of their identities, CCTV cameras had to be installed so that the faces of people entering the casino were clearly visible,’ he said, ‘The administration also had to be careful, keeping in mind that customers would not come while being very strict.’ He said that the environment where businessmen are criticized for allowing Nepalis to enter some casinos should be prevented.

The concerned government bodies have also stated that casinos operating in the border areas of the country have become controversial because they did not follow the standards and conditions set by the Regulation 2082. These bodies say that questions have been raised against them after the casino operators ignored the provisions of the regulation. Casino regulatory bodies, including the Department of Tourism and the Revenue Investigation Office, District Administration Office, and others, have sought clarifications by pointing out the problems seen in the operation.

The district administration, which is responsible for security management, has drawn attention to the fact that the policies, rules and conditions set by the state must be followed. According to the regulatory body, there is an objection to various casino operators placing tables to gamble when games should be played only through modern machines or electronic devices. The regulations have banned the entry of Nepalis into casinos. However, the casino has sought an answer saying that it has made a fake Indian Aadhaar card and allowed Nepalis to enter. The Revenue Investigation Office, Butwal, suspecting revenue leakage due to non-compliance with the standards and conditions, has already demanded details.

After it became public that the rules were ignored, the Department of Tourism issued a 12-point directive to the casino on Kartik 29. It has been mentioned that the serious attention of the department has been drawn based on complaints that the casinos operating under licenses from the department have not fully complied with the conditions, standards and instructions that must be followed according to the law. The department has also directed to mandatorily comply with the provisions, conditions and instructions mentioned in the Anti-Money Laundering Act 2064, the Tourism Act 2035 and the Casino Regulations 2082. The instructions issued to the casino state that the casino operators should follow the instructions issued by the Tourism Department to casino operators regarding the prevention of money laundering and financial investment in terrorist activities, foreign currency transactions should not be conducted without obtaining a license from the Nepal Rastra Bank for foreign exchange transactions, regular details should be submitted to the department as per the Casino Regulations 2082 and the instructions issued by the department to casino operators regarding the prevention of money laundering and financial investment in terrorist activities, the customer identification system and biometric details of casino players should be updated and provided when requested by the department, CCTV records should be kept for at least 6 months to record all activities at the casino site, and casinos should not be operated by making agreements with third parties.

Ban on operating casinos in places other than those licensed, before paying the winnings from the casino to a player, the licensed company must immediately deduct the contingency profit tax in advance from the winnings of such players as per the prevailing law, after deducting the contingency profit tax, the licensed company must provide the player with a certificate of profit tax payment and send its details to the concerned internal office and inform the department, playing games via internet-based or online means will be prohibited, adequate security should be ensured inside and outside the casino and hotel premises, and the instructions of local security bodies must be fully complied with as per the law.

The department has stated that if significant provisions and conditions are not followed during the casino monitoring, action will be taken as per the law. A week and a half ago, the Revenue Investigation Office, Butwal, had also written to the casino on Wednesday, demanding details and information on 9 different points. As necessary information was required to be obtained regarding revenue leakage/control, the details of the current year from the fiscal year 2081/82 were asked to be submitted within three days.

The revenue investigation asked what type of license the casino has obtained and the details of the games currently being played, details as per Sub-rule 2 of Rule 14 of the Casino Regulations 2082, details as per Rule 18 of the said regulations, details of cash and financial transactions, details of contingency profit tax filing, details of Nepalis entering using Aadhaar cards, details of whether or not there has been a transaction of banned Indian notes, whether or not the rule to keep CCTV camera records for at least 6 months has been followed, and details of tax payments for the previous fiscal year and license renewal for the current fiscal year were asked to be submitted.

As requested by the office, only a limited number of casinos have submitted the details to the office. Chief District Officer Madhav Prasad Pokharel said that the Department of Tourism, the casino regulatory body, is looking into the shortcomings of the casinos with interest. ‘After the state makes a policy, everyone should follow it,’ he said, ‘the same is true for casinos. We have called casino operators to a meeting and given instructions.’ He said that if the standards and conditions set by the casino regulations are followed, the shortcomings will be improved. ‘No activity can be carried out that affects the society,’ he said, ‘The administration is concerned about security issues.’

The Department of Tourism had shown interest after complaints about casinos setting up tables and gambling and allowing Nepalis to enter, contrary to the regulations. Director and Information Officer of the Department of Tourism, Leeladhar Awasthi, said that complaints about casinos allowing Nepalis to enter have increased. ‘Complaints are coming from everywhere about Nepalis entering,’ he told Kantipur, ‘We have also raised the issue among the stakeholders.’

According to district administration sources, none of the casinos operating in the district have followed the standards as per the regulations. ‘We have not monitored it,’ said an administration official, ‘but the casino operator itself has admitted that even 50 percent of the standards have not been followed.’ According to him, it has been found that casinos are not allowing Nepali citizens to enter and not keeping records of those who go to play in the casino. Casino operators in Bhairahawa, however, refused to respond to such complaints.

‘Fight-like’ in Jhapa

Gamblers were enjoying themselves under the flickering lights inside the casino of Ratna Hotel in Biratnagar, the capital of Koshi Province. In a few moments, the pleasant atmosphere suddenly turned turbulent. The casino itself turned into a fight ground after a clash between controversial businessman Abhishek Giri and a group of UML district committee member Kiran Lama. Although Nepali citizens are prohibited from entering the casino, such activities are going on openly due to the silence of the police administration.

This incident is not limited to that, it is a reflection of the political patronage, legal violations and economic crimes going on in casinos. When the police arrived, both groups had fled. This fight was not just a personal dispute. It happened because of casinos that have been operating illegally in Biratnagar and eastern cities for years. Nepali citizens are prohibited from playing in casinos. However, the main customers of all casinos in the eastern region are Nepalis. There was a clash between the Giri and Lama groups after a dispute while playing in the casino. Such incidents have been happening repeatedly in casinos operating in the eastern region. Some incidents come to the surface, some are kept secret. Not only in Biratnagar, but direct violations of the law are taking place in Birtamod in Jhapa, Dhulabari in Mechinagar, and Kakadbhitta.