Last week, dozens of Grassroots Trust poker machines were suspended after the operator refused to pay $500 000 in taxes. The suspension was aimed to punish the operator, but pub owners are the ones feeling the pinch as a result of lost profits. According to Reg Hennessy, owner of Hennessy's Irish Bar and The Locker Room, bars will be affected more than Grassroots Trust.
He believes that the government’s punishment punishes the wrong people, as the suspension is unlikely to cause any significant damage to the pokies operator. Pub owners, on the other hand, will lose profits, as players will go to other locations to play pokies. "No regard has been given to the impact this will have on venues. It's like the passengers on a bus being fined because the bus was late," says Hennessy.
Grassroots Trust has come to a resolution with the local government, agreeing to pay 40% on all future profits. In addition, the cut that pubs receive will be decreased from 14% to 11%. Hennessy is especially incensed at this news, as it means that the trust does not receive any true punishment for its failure to comply with local gaming laws.