The Dunedin-based Southern Trust, one of the largest gaming-machine societies in New Zealand, has lost its bid for name suppression over a decision to suspend its licence for five days.
Following the decision by the Department of Internal Affairs to suspend its licence, which could cost it an estimated $800,000 in lost earnings, the Southern Trust lodged an appeal with the Gambling Commission and sought name suppression.
However, in a December 22 decision obtained by the Otago Daily Times, chief gambling commissioner Peter Chin, who is also Dunedin's mayor, declined the request for name suppression.
Mr Chin declined to comment on the case, as did the Department of Internal Affairs on its decision to suspend the trust's licence, shutting down the trust's machines.
Southern Trust chief executive Karen Shea said, when contacted, she was disappointed name suppression had not been granted pending the appeal, but was confident the trust would win the appeal, with a decision expected next month.
A five-day suspension, with its machines shut down, could cost the trust an estimated $800,000.
Of that, $300,000 would have been expected to be returned to the community, she said.
That money goes to community, sport, education, health and arts groups.
The trust sought name suppression from the commission on the grounds publication of its name would cause undue hardship.
Knowledge of the suspension decision and impending appeal would make the trust's venues vulnerable to approaches from other societies, and there was no recourse available if the department's decision proved to be incorrect.
These were two reasons cited for name suppression.
The dispute between the department and the trust started more than a year ago and involved the interpretation of legislation, particularly around venue enhancements.
"It is not an issue of dishonesty or wrongdoing. It is about two different interpretations of legislation," Ms Shea said.
At the centre of the dispute was the trust paying for four venues - in Christchurch, Wellington, Bay of Plenty and Auckland - to be upgraded.
Under the upgrades, which cost tens of thousands of dollars, venues were made "lighter and brighter" with the Southern Trust branding also added.
Two of the venues were sold shortly afterwards and were now aligned with a different gaming machine society, she said.
The Southern Trust had sent letters last week to its 100-venue operators, spread throughout the country, explaining the situation.
Asked what she thought of the department's decision, Ms Shea was unequivocal.
"I think it is nonsense."
The dispute had industry-wide repercussions, with other gaming machine societies likely to be affected, she said.
