New Definition of Casino Business Similar Acts Established
Up to 50 Million KRW Reward for Reporting
A legal basis has been established to punish illegal gambling activities similar to casino operations, such as Hold'em pub illegal gambling, which has been rampant recently.
Legal grounds to sanction the operation of illegal casinos at Hold'em pubs have been established through amendments to the Tourism Promotion Act. [Photo by Yonhap News]
On the 1st, the Ministry of Culture, Sports and Tourism announced that the partial amendment to the 'Tourism Promotion Act,' which defines 'casino-like activities' and establishes grounds for sanctions against such activities, passed the National Assembly plenary session on the same day.
The current 'Tourism Promotion Act' does not have provisions prohibiting casino-like activities, limiting the punishment of illegal gambling in Hold'em pubs to only gambling offenses and operating gambling houses under the 'Criminal Act.'
The revised law newly establishes a definition of 'casino-like activities' and includes a prohibition on such activities. Accordingly, illegal gambling in Hold'em pubs is now included as a prohibited act under the 'Tourism Promotion Act' as a 'casino-like activity.'
Additionally, illegal gambling in Hold'em pubs and other casino-like activities are now subject to monitoring by the Gambling Industry Integrated Supervision Commission, and whistleblowers can receive rewards of up to 50 million KRW.
The Ministry of Culture, Sports and Tourism explained that, given the difficulty in detecting illegal gambling in Hold'em pubs, activating internal reporting and tips will enhance the effectiveness of crackdowns.
According to the legal amendment, those who engage in casino-like activities face imprisonment of up to seven years or fines of up to 70 million KRW. This is a higher level of punishment compared to the previously applied gambling house operation offense under the 'Criminal Act' (imprisonment of up to five years or fines of up to 30 million KRW).
Recognizing the spread of illegal activities in Hold'em pubs, the Ministry of Culture, Sports and Tourism formed a joint special task force (TF) in July last year with the Gambling Industry Integrated Supervision Commission, the Ministry of Gender Equality and Family, the National Police Agency, and the Ministry of Food and Drug Safety to devise measures to eradicate illegal activities. In addition to the amendment of the 'Tourism Promotion Act,' they are conducting a nationwide survey of Hold'em pub operations, strengthening crackdowns on illegal activities within Hold'em pubs, and designating Hold'em pubs as harmful establishments for youth.
Kim Geun-ho, Director of Tourism Industry Policy at the Ministry of Culture, Sports and Tourism, stated, "We expect that this amendment will enable effective crackdowns on illegal cash transactions occurring in Hold'em pubs and similar venues."
Lee Jin-sik, Secretary-General of the Gambling Industry Integrated Supervision Commission, said, "The passage of the amendment will be an important clue to eradicating illegal gambling in Hold'em pubs. We will continue to cooperate with related ministries to strongly respond to illegal activities in Hold'em pubs."
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