G-tech reveals illegal games

| 02/08/2010

(CNS): Local law enforcement’s reluctance to police the illegal gaming in the Cayman Islands has been highlighted by the ease with which a consultant firm has penetrated the local numbers game. G-Tech Corporation, a specialist international gaming firm which came to the Cayman Islands this year for a short visit, submitted a proposal to government in July for a legal lottery, demonstrating that its executives had no problem gaining access to the illegal game here. G-Tech suggests that the Cayman people will have a high propensity to play a national lottery because of the “notable and prominent presence of the unregulated lottery”, and that the local population was playing regularly.

The consultants, who were in the jurisdiction for a number of short visits to assess Cayman’s current gambling habits and put together a proposal, had no trouble finding players and providers of the illegal lottery. The research was to inform their report for the Cayman Islands government which included a proposal for G-Tech to run the lottery here should a referendum come out in favour of legalisation.
 
Speaking at last week’s gambling forum, held at the UCCI and organised by Generation NOW, local activist Billy Adam, who  voiced his opposition to legalising gaming, brought a copy of the report and pointed out that G-Tech had been here for a very short period and was easily able to gain access to the illegal market, illustrating how law enforcement is turning a blind eye. He noted, too, how the G-Tech report had also highlighted the point that many service clubs and NGOs were breaking the gaming laws with raffles and prize draws.
 
“The only existing gaming legislation in the jurisdiction is the outdated Gambling Law of the Cayman Islands, dating back to 1967 and revised in 1996,” the authors of the G-Tech report say. “Ironically, many things that happen openly today in the Cayman Islands (club Raffles and fundraisers) are actually illegal under that existing statute, although there is no apparent enforcement effort on the part of the authorities, nor any recognition of the illegality on the part of the populace.”
 
The report also pointed out that Caymanians purchasing Florida Lottery tickets and bringing those tickets back to Cayman were also committing an offence under the existing law. And during the forum Adam noted that the two local telecommunication firms were also falling foul of the gaming laws with their prize texts and other games, which he said were also illegal forms of gambling.
 
Having gained access to the local illegal games, G-Tech sets out the parameters of the unregulated and illegal lotteries played every week in Cayman.  “Although such forms of gaming are unregulated, this does not diminish or negate the fact that the populace is highly familiar with and readily participates in lottery type game,” the report revealed.
 
“During our visits to Grand Cayman, we met with individuals that were selling and wagering the unregulated games. They explained to us that there are a ‘good number’ of people that actually sell the games and that individual wagers on these games can easily be as high as KYD300 per player.”
 
The report reveals that those wagering on games typically purchase their tickets from sellers they are familiar with and trust.
 
“The sellers sell the tickets either via telephone or at their house/store/bar, etc … There are basically two types of games currently being played in the Cayman Islands – Jamaica’s 1 of 36 game and, the Honduras and Belize 1 of 100 games.” The Jamaican game is drawn from the game operated by G-Tech in Jamaica and offers draws three times per day, six days per week in the Cayman Islands, the consultants said.
 
“As there are an estimated 8,000 to 10,000 Jamaicans in the Cayman Islands, this game is extremely popular among this group. We could not get an exact prize payout for the game, but it seems to have the same payout as the regulated game in Jamaica; 26 times the wager,” the report states.
 
The 1 of 100 game is the numbers game 00 to 99 played in Honduras and Belize. The games are offered on a daily basis and drawn seven days per week. It is sold in pieces/fractions in the Cayman Islands. Players are able to buy 3 pieces of this game for CI$1, 16 pieces for CI$5, 50 for CI$15 and 315 pieces for CI$100 315 pieces. The payout is between 65% and 66% of sales.
 
“Players’ wagers/numbers are written on a receipt by the seller,” G-Tech revealed. “The seller will keep the original receipt and a copy will be given to the player. The receipt will have the date, number of pieces/fractions and the amount played. If a player wins, he/she will claim his prize from the seller (the person that he/she bought the ticket from).”
 
The consultants were able to purchase a ticket during their visits and reproduced it the report.
 
“The sellers are responsible for prize payments,” the report goes on to say. “During the times when a seller feels that he/she is facing a potential large liability, they are able to pass their risk over to individuals (‘un-official insurers’) that buy the risk from the seller for a commission. Therefore, ifa number with a high liability hits, the ‘insurer’ will take the risk for the prize payout liability.”
 
The consultants said they also found that there are already individuals in the islands that cover or insure such risks.
 
While here, G-Tech also found that Power-Ball and Florida Lotto games are also informally or illegally sold in the Cayman Islands, and although they did not meet any sellers while they were here, they were told by several people that those games are regularly sold in the islands and people travelling to or through Florida very commonly purchase tickets for those games specifically for resale in the Cayman Islands.
 
During their time here assessing the potential market G-Tech concluded that a lot of Caymanians would play because of a high GDP and evidence of a lot of illegal playing, and estimated the total sales would be in the range of US$ $9 – $11 million on an annual basis. 
 
“This estimate is based upon our preliminary observations and the market research performed to date in the Cayman Islands and subject to additional focus group research yet to be performed.   Assuming the above estimate of annual sales of USD $9 – $11 Million, the Government would receive funds in the range of USD $1.2 – $1.4 Million from the lottery on an annual basis once fully operational,” the report reveals, which is less than a ¼ percent of the country’s revenue needs.
 
The consultants also recommend that authorities separate the question of a national lottery from casinos as the two are viewed very differently, and while G-Tech is involved in both, the firm says communities often see a lottery as less problematic.“ Relative to lottery, casino gaming is viewed quite differently and in general less favourably by the public in many places,” the firm stated in the proposal.
 
“We believe that the Government of the Cayman Islands would be wise not to combine the two forms … to the populace or in any referendum … Separate referendums would be advised so as not to confuse the issue in the minds of voters and not to unintentionally misread or influence the public’s opinion of one form of gaming via the perception of the other.”
 
The consultants said they believed that Cayman could support around 60 terminals for a lotto game to begin with but the firm would be able to bring in a range of other games and scratch cards over a three year period.

G-Tech Gambling Proposal for the Cayman Islands

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  1. Anonymous says:

    What in common-sense does the politicians and authorities in Cayman do not understand ???

    LEGALISE the numbers game into a NATIONAL LOTTERY…and end the stupid hypocrisy, one and for all.

    Its ridiculous that the MINORITY of people who DO NOT play the numbers game in Cayman are still dictating to the MAJORITY that do…

    And having the RCIPS caught squarely in the middle.

    Can anyone say with surety that members of the police and civil service in Cayman DO NOT play numbers themselves ?

    And break the very laws that they are sworn to uphold and enforce ?

  2. anonymous says:

    It is  believe that the numbers game started in the 80s and has become a way of life for some folks in building homes, down payment on property, savings, securing a car loan, educating children, travelling and assisting with some of their financial burdens.  Many of the poorer class in Cayman have been lucky in achieving some goals in their life,  by not having to work for years to receive.   Caymanians are not spend-drift people and they are disciplined on  their spending limits, and continue to support  their families, but still take a  gaming chance. 

    People from all walks of life have participated in the numbers games but have chosen to be discreet. Raffles only allow chances of 1st, 2nd and 3rd prizes, ( this is another form of gambling) and in these games hundreds of people can win  "no chances" of being a winner, that is meanly one of the reasons they try the "Florida Lottery" etc.  It is unknown the amount of money that leaves the Cayman Islands for the USA, Honduras, Belize, Jamaica and many more places – It is understood that many persons have gone back to their countries with Millions of dollars to establish their businesses, with no financial returns to these Islands.

    People have a mind to know what is good or bad – no one is forced, or their hands held to purchase lottery tickets or play numbers. Their will should be their guide – it’s almost like "leading a horse to the well and trying to let him drink the water".

     

     

    • Anonymous says:

      Generalizations are always inaccurate and to classify Caymanians as of a single type ignores existing problems but that is not the topic of this thread.

      Gambling also has different types of players. The casual player and the gambling compulsive woh will spend rent money or children’s milk money for one more play. To the gambling addict it is like crack.

      It would be naive to suggest that there are no Caymanian gambling addicts. If the voters choose to allow gambling in Cayman then plans need to be made to deal with the local gambling addicts who will become problematic to themselves and their families.

      Anyone who gambles knows a gambling junkie.

  3. i na no mouse! says:

    A say una betta leee ma numbas loone….LMAO

  4. Just Sayin' says:

    I have to say it’s been heaven ever since I found out that raffle tickets are against the law.  Now I have no problem saying no to people walking the floors at work or standing outside supermarkets trying to guilt me into handing over my hard earned cash.  I can now very honestly state "No thank you, I don’t believe in gambling".

    • anonymous says:

      Any "ticket" means a  "CHANCE" even if it is money you’ve paid for a parking space, a train ride, and airline ticket, at a gate of entry, a lottery, raffle it is in hopes of achieving something for your monies worth. Many are unavoidable.

  5. WOW! says:

    Aside from all the usual arguments we hear about gambling, lottery etc… I want to hear more about how G-Tech appeared on the horizon. 

    One question for Government; do you know how to use GOOGLE? XXXXX

    • Anonymous says:

      Could it be that they did use google? After all they go the answer they wanted.

  6. Young Man says:

     I am 19 years old now and i could have told all una dat wen i was 15… Our government so slow, they just cant seem to comprehend anything… They have to get outside people to tell them this when they can do it themselves.. Of course raffle is gambling, you are buying tickets with numbers on then to win prizes just like buying numbers to win money… R-A-F-F-L-E is just G-A-M-B-L-E in hiding… 

    Come on our government, try to pay more attention and observe what is happening

  7. Anonymous says:

    G-Tech didnt say how much they were going to make from it?

  8. Anonymous says:

    Don’t call it a Lottery. Call it a raffle because raffles are not gambling.

  9. Anonymouse says:

    So G Tech was allowed to come here, participate in an illegal Lottery and publish their findings with the assumption that the Government will Legalize gambling and give them a monopoly to run it. Why were they not arrested and charged for participating in an illegal lottery and moreover condoning it for their own benefit?

    Well I can only assume that what they did was with our Government blessings.

    I wonder though, should gambling be legalised and G.Tech be handed the monopoly on a platter, who will be their local partners and who will be their Jamaican partners.

    XXXXXX

  10. Anonymous says:

    Well, if G-Tech can come here, buy numbers and then publisha report about it and not be arrested, I’d say the decision is already made! On to the next topic please, legalize it and stop wasting time and money depating it.

     

     

    • Anonymous says:

      That is exactly how the UDP has trained you to think.

       

      • Anonymous says:

        I was being sarcastic. What I am saying is the decision is already made and there is nothing we can do about it.

        for the record I never attended UDP training camp.

  11. Anonymous says:

    Best thing is to legalise gambling and allow the locals/caymanians to buy it as they spend alot of money every year on the illegal gambling.  Besides what would be better than a caymanian winning and spending it in their own country?  =)

    • Anonymous says:

      If a non-caymanian won a big prize, what then?  

    • Anonymous says:

      The topic is different, but the issue is the same old one. If we legalize gambling, certain locals among us, who run the numbers, will have competition. God forbid. To many, competition is a bad thing as it diminishes our right to come first.

    • Become says:

      The government may as well earn some money from the gambling. Gambling is already going on illegally and the government gets nothing out of it.

  12. Anonymous says:

    I am for legalising lottery. Its a waste of manpower to police it.

    The fine used to be $40 years ago and confiscation of the monies.

    It costs more in time and resources to prosecute it than the country can afford.

    • Anonymous says:

      Methinks that makes too much sense – that’s why it’s never going to happen!!!

  13. Anonymous says:

    I wonder where Billy ADAM got that report?

    The UDP is truly transparent to have released this report.

    Thank you UDP.

    • Anon says:

      A hilarious attempt at spin. If this were a matter of UDP transparency it would have been released by the UDP govt. to the public, and would not have been something which we could receive as a surprise from Mr. Billy. 

  14. 100% Caymanian says:

    THE IDEAL THING TO DO!

    I agree that gambling should be legalised, our government is crying broke

    they could benefit alot of profit from this.

    Am down with this 100%

    Caymanian Born

     

  15. anonymous says:

    They are absolutely correct. Because of the high propensity of the illegal lottery being played validates the concept that a legal lottery will be highly successful. any 2 year old knows that.

    I believe that Big Mac using Pastor Peguero as a Thermometer Support commissioner is only a formal exercise. Big Mac has no other option but to legalize illegal gambling. People will continue to gamble playing the numbers, legal or not.

    XXXX

    Last and most important reason. Big Mac is not going to continue to struggle with many sleepless nights to balance the budget, begging the UK for permission to borrow money  to balance our budget, XXXXX I know Big Mac Better than that! he’s too smart.

    Trust me, Big Mac Will legalize the lottery, Christian or no Christian. It has nothing to do with his Christianity, he is the Premier and MUST MAKE A DECISION TO STOP ILLEGALGAMBLING. THE PEOPLE WON’T STOP GAMBLING, SO HE HAS TO LEGALIZE IT. God won’t hold it against him, its on them!  Pastor Peguero’s role is just a formal exercise!

    • Anonymous says:

      > THE PEOPLE WON’T STOP GAMBLING, SO HE HAS TO LEGALIZE IT.

      Your logic is shocking. Applied consistently your logic would indicate that you believe that since some people won’t stop using drugs that we should legalize that too.

       

      • Anonymous says:

        Actually, yes.  There is no question for me that ganja should be legalized.

        I have never smoked a joint in my life and don’t expect to once its legal, but I certainly couldn’t care less if my neighbor is smoking a joint on his property.

        The cost and bloodshed from the tragic "War on Drugs" is a blight on our modern society.

        Please explain to me why vicodin and nicotine are legal drugs and ganja is illegal.  I dare you to try.

         

        You won’t, because there is no valid reason.

        • Anonymous says:

          Why just ganja? I’m partial to heroin myself and would like to shootup anywhere and anytime I like. Is that hurting you or anyone else?

          Also guns should be freely available to anyone, and a fixed quota of 2 or 3 people could be shot each month for "dissing" you without any charges being brought.

          Just think how our crime rate would tumble if we just changed the laws so that everything that is now a crime was no longer a crime? 

          • Anonymous says:

            Obviously, the pro-drug war cartel on this website can’t come up with a valid answer to why vicodin is legal and ganja is illegal.

            That is why they answer with sarcasm and silliness.

  16. Anonymous says:

    There are dozens of fundraising raffles already as well as weekly solicitations from LIME, Fosters and other merchants for "scratch and win", "text to play" type sales incentives.  There really is no difference.  Ironically, the odds of actually winning are far better on a blackjack table than they are with any one of those sales programs. 

    It all comes down to whether CIMA believes that Cayman households possess the ability to be responsible.  Clearly they don’t think we are intelligent enough to restrain ourselves.

     

  17. Anonymous says:

    I just shake my head reading this article. Erase these useless laws as the lack of enforcement is an affront to decent people. How can people believe this is a country based upon rule of law? The rule in this little country is anything goes.

    You know the RCIP have been told to lay off the numbers racket but the question is by who?

  18. Right ya so says:

    …..duh!