The Casino de Juegos de Talca S.A. accused alleged illegalities in the awarding of the operation permit, however, the Santiago Court of Appeals ruled in favor of the SCJ.
Chile.- The Santiago Court of Appeals dismissed the claims presented by the Casino de Juegos de Talca S.A (CJT), against the Superintendence of Casino Games (SCJ), after in November 2023, it granted the operation permit to Sociedad Ríos Claros S.A, belonging to Dreams, in the commune of Talca, in the Maule region. Thus, the award remains in place and Dreams will be able to move forward with its project to build the new casino.
In the first claim presented, CJT denounced that the property was not suitable for installing and operating a casino, arguing that it could only be used for an agricultural, industrial, and livestock exhibition.
In this regard, they demanded that the SCJ use its powers to revoke the operation permit granted to the Dreams Group to build a casino on the land of the former Fital, owned by the Central Agricultural Association in Talca.
For its part, the Court concluded that the claim did not comply with the corresponding legal procedures, given that the challenged resolutions did not deal with the granting, denial, or renewal of permits, but referred to internal administrative resources, which are not susceptible to being claimed before the Court. Consequently, the legality and transparency of the process were ratified.
Furthermore, the ruling specified that "as far as the SCJ has omitted the fact that Ríos Claros has not considered the mitigation works that must be executed due to the floodable condition of the property, which would have consequences on the bank guarantee slip, the truth is that the mentioned society accompanied the mentioned slip, as required by the SCJ, and all costs derived from the construction of the project and the eventual mitigation works, are the responsibility of the operator and the respective permits must be granted by other bodies, so it is not possible to demand guarantees for mitigation measures that, in addition to being eventual, as said, it is impossible to determine their scope and cost."
In the second claim, the current casino in Talca accused the SCJ of committing an illegality by accepting a lease registration three months after the technical evaluation and maintaining the reservation of the opening of envelopes where Dreams indeed offered four times more than the current operator.
The Court's ruling emphasized that the SCJ had acted in accordance with the law by refraining from knowing the resource, since the Casino de Juego de Talca had lost its status as an applicant after the awarding of the operation permit to Sociedad Ríos Claros S.A. in November 2023.
According to the document, the challenged resolution was not susceptible to review under the framework of Law No. 19.995, and the allegations of CJT had already been resolved in a previous claim before the Court.
These two rulings reinforce the validity of the process of awarding operation permits for gambling casinos in Talca and confirm that there are no irregularities that question the decisions made by the SCJ. In turn, the Court reaffirmed the transparency and legality in the administration of these permits, ensuring that the process is carried out in accordance with current regulations.
See also: Alleged collusion of casinos in Chile: the president of Dreams rejects the accusation and assures that the FNE misrepresented his messages
In a statement sent to the local media Bio Bio, from the Casino de Talca they maintained that "more than celebrating this ruling, the reality is another: the resolution of the Court ratifies a project that had already been rejected by the technical authorities, because it would increase the risk of flooding for dozens of families."
"Moreover, it makes it clear that the Casino cannot operate without the sectoral permits and that, if it does not comply, the guarantee slips will be executed. This is not a victory for Dreams, it is a reminder that they still do not have a free way to build on a wetland without complying with environmental and sectoral regulations," they added.
It is worth remembering that last year it was confirmed that the Casino de Juego de Talca, operated by Corporación Meier, will continue to operate until the new establishment of Sociedad de Ríos Claros, from Dreams, is inaugurated.
This put an end to a conflict derived from the decision of the SCJ to grant the operation permit of the casino in the Maule Region to Sociedad de Ríos Claros, from Dreams, which implied the closure of the establishment operated by Corporación Meier, putting at risk more than 300 jobs.
Furthermore, the mayor of Talca had warned that a thousand people would be indirectly affected and "the municipality and the city would stop receiving about a thousand million pesos annually during these two years, while the new casino that had been awarded the concession is put into operation." Legislators from the region also intervened to achieve this extension.
The new gaming establishment will have an investment of USD21m. This ambitious plan will include a casino, a boulevard of restaurants and shops, an amphitheater for 1,500 people, a museum, and children's play areas, within the historic fairgrounds of the former Fital.
It is expected that construction will begin during the first half of 2025 and that the execution period will be approximately a year and a half, so that the casino can begin to receive its visitors by the end of 2026.
The project will occupy 7,000 m², a small part of the total 90,000 m² of the fairgrounds, and aims to offer local entrepreneurs a modern space to exhibit their products and attract thousands of visitors. The project is part of a broader plan for regional development, generating jobs and contributing to local economic growth.
Dreams Maule will include a casino, an amphitheater with a capacity for 1,500 people, a boulevard with restaurants and shops, and green areas. Additionally, the project will have event halls and a museum, all designed to offer a complete entertainment experience.