Prosecutors are attempting to coerce Casino di Campione, one of Europe’s biggest and longest trading casinos, into bankruptcy. The casino was built 101 years ago at Lake Lugano and is owned by more than two-thousand residents of the municipality of Campione d’Italia. Several allegations of corruption within the casino have emerged. The prosecutors of the Como province have enacted allegations of financial irregularities against the owners. For the last few years, Casino di Campione has been operating at a loss.
Casino di Campione’s financial statements reveal that the company suffered a US$8.3 million loss in 2012 and its liabilities of CHF65 million surpass the assets by CHF44 million. The prosecutors claimed that the casino has not evidenced the ability to be profitable nor has it been able to attain the budget as set out by the city. The casino is lawfully obligated to pay a certain amount annually to the Campione d’Italia.
Salvaging the Casino
Roberto Salmoiraghi, the mayor of the municipality, has attempted to salvage the casino from bankruptcy by suggesting to reduce the salaries of the municipal staff by 20%. The outcome of Salmoiraghi’s suggestion and other matters regarding the casino will be discussed at Wednesday’s shareholders meeting.
Casino di Campione’s workforce consists of more than 500 employees. The commitment and integrity of the casino’s staff members have been questioned as many employees have performed on a subpar level. The statistics from the human resource department reveal that the average sick days used by an employee annually was 16. The casino was established in 1917. In 2007, the casino was upgraded to a nine-storey property that housed 500 slot machines and 56 tables.
Novomatic Group, an Austrian gambling operator, is contracted by Casino di Campione to run a casino targeting Chinese players called the Dragon Casino. It is uncertain if the casino will commence its intended operations in January 2019 in the midst of the bankruptcy coercion. The prosecutors have filed an involuntary bankruptcy petition, which will be heard in court on the 12th of March. Casino operators have pacified disgruntled customers by ensuring them with stable business operations.