November 13, 2023 3 min read


Macau Gambling Operators Abandon Compensations from Suncity

Five operators that previously sought compensations from Suncity Group and Alvin Chau decided no longer to pursue such claims

Late last month, the Court of Second Instance in Macau confirmed an 18-year prison sentence against Alvin Chau, the former CEO and founder of the junket operator, Suncity Group. The former CEO was indicted for money laundering, illegal gambling, fraud and association with criminal organizations. In addition to Chau, some 20 other people were also sentenced for a similar list of criminal activities.

Recently the Court of Second Appeal in Macau ruled against a request by gaming companies that sought compensations from Suncity Group as well as Alvin Chau. While gambling operators had the option to try once again and pursue financial damages, local media outlets reported that they no longer have such intentions.

Collectively, five operators sought more than $265 million in compensations from Suncity Group. The highest claim for damages belonged to Wynn Resorts which reportedly was after $96 million in compensations. Another gaming company, Galaxy, was after $70 million in compensation, while MGM China sought some $42.5 million. SJM Resorts was after $22.2 million, while the Venetian Macau was seeking nearly $37 million in compensation.

Yet, it looks like the five operators would no longer pursue compensations from the former junket giant. According to local media outlets, the gaming companies have taken the joint decision not to pursue compensations from Alvin Chau and Suncity Group following the Court of Second Appeal’s decision.

Crackdown against Junkets Decreases Their Number

The Court of Second Instance in Macau recently confirmed that Chau was responsible for obtaining approximately $2.25 billion in illegal proceeds from betting “under the table.” Some $921 million was also obtained from proxy betting operations.

Chau was arrested two years ago in November 2021. His arrest marked the start of the downfall of casino junket operators. Macau sought to crack down on this lucrative sector that generated billions in proceeds over the last ten years due to ties to criminal activities such as money laundering. Consequently, many leading operators that collaborated with junkets severed all ties.

Earlier this year, MGM China confirmed that junkets have a marginal impact on its revenue. At the time, the company revealed that junkets contribute only by 3% of the gaming revenue. The crackdown against junket operators resulted in a significant decrease in their number. A report released in January this year estimated that at the start of the year, the number of junkets decreased to a total of 36. This marked a staggering decline considering that 10 years ago, there were more than 230 active junket operators.


Jerome is a welcome new addition to the Gambling News team, bringing years of journalistic experience within the iGaming sector. His interest in the industry begun after he graduated from college where he played in regular local poker tournaments which eventually lead to exposure towards the growing popularity of online poker and casino rooms. Jerome now puts all the knowledge he's accrued to fuel his passion for journalism, providing our team with the latest scoops online.

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