|In South Africa a new legal battle has emerged over the decision to allow Limited Payout Machines to be installed in the KwaZulu-Natal area of the region. A company which agreed a contract with the KwaZulu-Natal Gaming Board is now suing the board following the decision, saying that gambling machines they had been developing according to the agreement are now rendered worthless.|
The suit is due to go to court with both the Premier of the region and Deputy Chairperson of the board having claims worth 30 million rand brought against them by the disgruntled development company. The purpose of the decision to introduce the Limited payout Machines in the area, was to grant that economically challenged region some access to the potential earnings gained from the gambling industry.
The machines designated as acceptable were chosen as there is a limit of 5 rand per wager and a 500 rand payout, which was considered suitable for players who are not financially well off. The company bringing the action against the Premier and the Gaming Board believes this decision has compromised the terms of the contract formed between themselves and the Board to develop similar machines for the area. While the issue remains unresolved distribution of the granted Limited payout Machines has been frozen.