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After Portugal handed over Macau to China in 1999 , Macau became the only place casino gambling was legal in China and was declared a Special Administrative Region. Casino license were handed out to global casino operators such as MGM Resorts International, Wynn Resorts and the Las Vegas Sands Corporation among others and by 2013 gross gaming revenue peaked at $45 billion, comprising over 75% of the enclave’s total revenue and pulling in seven times more money than Las Vegas. Even as the global financial crisis of 2008, and the European debt crisis of 2012 drove world markets sharply down, Macau continued to grow by leaps and bounds. From its inception in 2002, when Macau saw gambling revenue comprise 41.73% of its GDP, total gambling revenue as a percentage of GDP would hit 91.6% by 2010, thanks in large part to the gambling mecca’s focus on Chinese VIPs. By 2017, the government of Xi Jinping in mainland China began to ease up on its anti-corruption campaign and Chinese whales began to filter back into Macau, but all was not smooth sailing. In October of that year the Chinese government arrested 18 of James Packer’s Crown Resorts staff on the mainland, including three Australian executives, a Malaysian and 14 Chinese nationals, who were operating in China attempting to lure Whales on VIP junkets to Crown Resorts casino in Melbourne. While the officials were eventually released, the move sent a chill through the junket market in neighbouring Macau and revenues stumbled again. The new report put out by brokerage house Sanford C. Bernstein Ltd ., cited data from the Communist Party’s own Central Commission for Discipline Inspection to illustrate the uptick in prosecutions. “The most recent three-month average (April [-end] to July) number of investigations is the highest since the fourth quarter 2015.
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