Macau implements new law to crack down on illegal gambling practices

Macau’s new “Law to Combat Crimes of Illegal Gambling” came into effect today, October 29, introducing tougher measures to tackle illicit gambling practices in the city’s casinos and integrated resorts.

Published in the Official Gazette on October 28, the legislation aims to address various forms of illegal gambling, including the “multiplier” practice, unauthorized online gambling, and unlicensed currency exchange.

The law establishes stricter penalties, with prison terms ranging from one to eight years for activities such as illegal gambling, online gambling, and mutual betting, a significant increase from the previous maximum sentence of three years. 

Additionally, individuals participating in illegal gambling may face up to six months in prison, while those involved in unauthorized currency exchange, including “money exchange gangs,” could face sentences of up to five years.

The “multiplier” practice, a form of under-the-table betting that inflates the value of on-table bets, was highlighted in recent criminal cases involving former junket bosses accused of tax fraud. The new law explicitly prohibits this practice as part of a broader crackdown on unregulated betting activities.

The legislation also bans the promotion or operation of unauthorized online gambling, with Macau’s government recently stating it has no plans to grant licenses for the operation of this vertical.

To strengthen enforcement, the law includes provisions for undercover investigations and night-time searches, significantly expanding the powers of law enforcement. Macau’s Judiciary Police noted that the law provides a stronger legal basis to confront illicit currency exchange and gambling operations across the city’s casinos and resort areas.

Although some industry members initially voiced concerns over the stringency of the law, it was ultimately passed by Macau’s Legislative Assembly on 16 October and was officially signed by the President of the Legislative Assembly, Kou Hoi In, on 21 October.