Inside Asian Gaming

inside asian gaming January 2016 20 Changing times call for changing rules. What changes will the new DICJ Director make? At a time when central government policies have caused a fundamental shift in the Macau gaming industry, local authorities are yet to address its exposed fragilities with up-to-date regulation. In his first article for IAG, Rui Pinto Proença takes a fresh look at the regulations governing the Macau gaming industry,how we got here and where we are heading, especially with regard to regulating junket operators and their activities. T o regulate is a fine art, and an unrewarding one at that. In fact, the most successful regulation is the one that goes unnoticed; that neither draws the lobbying eyes of the industry it conditions, nor the popular scrutiny of the society that it intends to benefit. When mastered, regulation can be a very powerful weapon. It may smother or foster an entire industry, but is only truly achieved when it makes us all believe that Adam Smith was indeed right – there really is an invisible hand that naturally guides the self-interested businessman towards the production of socially beneficial results. I dare to argue that even Mr Smith, often attributed with the paternity of modern laissez- faire economic policy, would agree with most governments that the gaming sector requires regulation, perhaps to a similar extent as the Rules of the game The (In)visible hand Rui Pinto Proença is a partner at MdME, where he heads the firm’s Corporate and Gaming practice. MdME is a full service Macau law firm and a member of the MLGTS Legal Circle, an integrated alliance with renowned law firms in Portuguese speaking jurisdictions. MdME is also the Macau member firm of Lex Mundi, a world leading network of independent law firms, with in-depth experience in 100+ countries and access to more than 21,000 lawyers worldwide. By Rui Pinto Proença