The Gambling Commission is to hold a full hearing that may suspend the licence of the Sky City-associated Dunedin Casino for up to six months.
The Internal Affairs Department says the casino breached its licence by allowing a Dunedin woman, Christine Marie Keenan, to gamble $5 million between May 2002 and August 2004. The licence required the casino to operate a "responsible gambling programme" under which "problem gamblers" had to be identified and excluded.
Ms Keenan's gambling stopped when she was arrested, and later jailed for three years, for stealing $470,000 to fuel her habit. The rest of the money came from selling her house, a marriage settlement and inheritances.
The casino asked the commission for a preliminary ruling that it could only be punished for its actions after July 1, 2004, when the Gambling Act replaced the former Casino Control Act.
But in a written decision issued yesterday it rejected the request and decided to hold a full hearing on July 31 and August 1.
Casino risks losing licence over $5m gambler
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