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Where a venue operator enters into an agreement to purchase a gaming venue from another venue operator, regulatory approval must be obtained from the VCGLR before settlement can take place.
In order to operate gaming machines in a venue in Victoria, venue operators must:
When transferring ownership of an approved gaming venue, including gaming machine entitlements, gaming machines and equipment, the following processes must be completed before settlement can take place:
On settlement, the venue’s liquor licence and gaming machine entitlements must then be transferred to the new owner.
To remove a premises from a venue operator’s licence, the venue operator must complete and submit a transfer and remove application kit. This application can be completed online and there is no fee required.
To include a premises on a venue operator’s licence, the venue operator must complete and submit a transfer and include application kit , ensuring that all questions have been answered and all requested attachments have been provided.
The application must be submitted with both gaming and liquor licence fees. The fees can be paid jointly if payment is made by credit card, or separately with two cheques. For the current application fees, please refer to the Gambling fees and fines and Liquor licence application fees.
To transfer the venue’s liquor licence, both parties must complete and submit the transfer and remove application kit and transfer and include application kit referred to above.
The transferee (proposed licensee) cannot supply alcohol until the transfer application is granted by the VCGLR. Approved applicants receive an official grant letter and licence bearing their trading name from the VCGLR. Penalties apply for the sale of liquor by an unlicensed person.
Where gaming machine entitlements are included in the sale of a gaming venue, the vendor must request the transfer of the gaming machine entitlements by making an application through the Online Services Portal. On receipt of the application, the VCGLR will provide documentation that will need to be completed by both parties prior to the transfer being processed.
The transfer of gaming machine entitlements cannot be finalised until the VCGLR records the transfer on the Entitlement Transfer Market Register.
The venue operator purchasing the gaming venue is required to enter into a Venue Monitoring Services Agreement with the monitoring licensee, Intralot Gaming Services Pty Ltd (IGS), to link the gaming machines to the monitoring system.
Enquiries about entering into this agreement should be directed to IGS on 1300 764 495 or www.igsmonitor.com.au .
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It is important to provide sufficient notice of the sale of a gaming venue so that all regulatory requirements are met before settlement. In this regard, venue operators should notify the VCGLR as soon as a settlement date has been scheduled. Where possible, this should be at least seven days before the settlement date. Settlement should be scheduled during business hours (between 9am and 5pm Monday to Friday).
The VCGLR will liaise with IGS to ensure taxation obligations are recorded against the appropriate venue operator. Any adjustment of taxation liability for the day of settlement should form part of the settlement.
To ensure continuity of gaming and appropriate allocation of taxation liability, the VCGLR must also be advised as soon as settlement takes place. Late notification of settlement could mean the gaming venue is operating illegally and the previous venue operator may incur taxation liability.
Once the VCGLR has received advice that settlement has taken place, the premises will be removed from the vendor’s venue operator licence.
The VCGLR will include the premises on the buyer’s venue operator licence and transfer the venue’s liquor licence on the day of settlement. Gaming machine entitlements will also be transferred to the buyer, attached to their new premises and recorded on the Entitlement Transfer Market Register to ensure regulatory requirements are in place for continuity of gaming.
For more information, download the information sheet, Regulatory requirements for transferring ownership of a gaming venue.
Upon sale of a venue the outgoing venue operator must pay any outstanding Jackpot Special Prize Pool (JSPP) balance to the RGF.
Any outstanding balance in the venue’s JSPP is only applicable to that venue, and cannot be transferred between gaming venues owned by the same gaming operator, or transferred to the incoming venue operator as part of the settlement/sale process.
The incoming venue operator can choose to commence the venues linked jackpots from anywhere within the specified prize range limit (approved minimum start-out to maximum prize value) of the jackpot. Incoming venue operators wishing to do this should contact Intralot prior to commencing trade to ensure the necessary arrangements are in place.