Pokie operator bows out

Dunedin-based gambling society, Caversham Foundation Limited, has surrendered its gaming machine operator's licence.

This follows a Department of Internal Affairs’ proposal to cancel the licence because Caversham had failed to generate sufficient funding for the community and its gambling operation was not financially viable.

In June 2005 Caversham was licensed to operate gaming machines at 48 venues. By the time it surrendered its licence it had only one venue, The Buffalo Club at Queenstown, with one machine.

Acting Gambling Compliance Director, Debbie Despard, said that in the year to 31 March, 2011, Caversham had a surplus of only $90,000 or 8 per cent of its gross take from its gaming machine operation to distribute to the community – well short of the 37.12 per cent required under the Gambling Act; and its financial forecast indicated insufficient gaming machine proceeds to allow the payment of operating costs, let alone a return to the community.