The Department of Internal Affairs

Te Tari Taiwhenua | Department of Internal Affairs

Building a safe, prosperous and respected nation



 

Electronic monitoring of gaming machines comes closer


17/6/2004
The electronic monitoring system (EMS) for all gaming machines in pubs and clubs has come a step closer with the Department of Internal Affairs short-listing six organisations for the next stage of the tender process.

The Director of the Department of Internal Affairs’ Gaming and Censorship Regulation Group, Keith Manch, said that the six short-listed are:

  • EDS/Intralot
  • Fortune Gaming Corporation
  • Independent Gaming Monitoring
  • Scientific Games
  • Telecom/Unitab
  • Unisys/Mikohn.

Mr Manch said these six organisations will be invited to submit proposals and the Department will select the preferred supplier after a thorough analysis of the proposals received.

It is expected that rollout of EMS will begin with the first machines being connected late 2005 or early 2006. It will be completed by 18 March 2007. The Department will provide updated information on the tender process, deadlines for gaming machine societies to connect their machines and other details as they are confirmed.

There is a misconception in the gambling sector that machines will not have to be connected until 18 March 2007. While this is the final date set in the Gambling Act, there will be various deadlines before then and most machines will be connected well before that date.


Background: gaming machines in pubs and clubs
  • 22,000 gaming machines are operated at more than 2,000 pubs and clubs.
  • Gamblers’ losses (gaming machine societies’ net profits) were just under $1 billion last financial year.
  • Turnover was approximately $6 billion.
  • It is cash only gambling, i.e. the net profit is almost $1 billion in coins and notes.
  • Incorrect banking and inaccurate record keeping are the most common problems identified by Department audits.
  • Current record keeping is manual; venue and society staff visit each machine and write down meter readings.
  • Banknotes and coins are impossible to trace; accurate record keeping and banking are crucial when large volumes of cash are involved.
  • EMS will:
- monitor how much money is gambled on each machine
- monitor how much each machine pays out in prizes to gamblers
- monitor how much money should be banked
- ensure that all software being used on machines is identical to the approved versions
- assist in detecting software failures
- assist in detecting tampering with a machine or software
- turn machines on and off and alter machine configuration.


Media contact:

Keith Manch Phone 04 495 9449
Director Cellular 027 445 6420

Vince Cholewa Phone 04 495 9350
Communications Advisor Cellular 027 272 4270