Logo of Phnom Penh Post newspaper Phnom Penh Post - Court orders closure of Poipet’s Star Paradise casino

Court orders closure of Poipet’s Star Paradise casino

Court orders closure of Poipet’s Star Paradise casino

A Poipet casino has been ordered to close after the Australian-listed owner of its next-door competitor filed charges in the Banteay Meanchey Provincial Court alleging breach of contract, documents posted yesterday to the Australian Securities Exchange show.

Donaco International bought Star Vegas in 2015 from a Thai businessman, Somboon Sukcharoenkraisri, who signed noncompetition clauses as part of the sale, according to Donaco’s latest and previous filings. Donaco later began to operate a gaming floor in next-door Star Paradise, which was still owned by Somboon.

When Donaco stopped operating that gaming floor, Somboon kept it going – in breach of the anti-competitive clause, Donaco says. The Banteay Meanchey court issued an interim injunction to close Star Paradise unless Somboon and two associates make a $360 million deposit, Donaco’s filings say.

The headline for a previous version of this article misidentified the casino that is being ordered to close by the Banteay Meanchey Provincial Court. It is in fact Star Paradise, not the neighbouring Star Vegas. The Post apologises for any confusion caused.

MOST VIEWED

  • Government hits back at threats to pull EBA, suspend UN seat

    The spokesman for the ruling Cambodian People’s Party (CPP) has said the government is in no way concerned after the European Parliament gave it three months to reverse what it called the “systematic repression of the political opposition”. Ignoring the ultimatum could mean facing

  • Chinese influx pushing locals, Westerners out of Preah Sihanouk

    Some within the Kingdom’s tourism industry have speculated that the recent influx of Chinese visitors may hinder domestic tourism as the price of accommodations in the coastal city of Sihanoukville continues to rise. Preah Sihanouk province, which has become a hotbed for Chinese investment

  • Sar Kheng: Sokha requested security

    Interior Minister Sar Kheng on Sunday revealed the story behind the transfer of former opposition party leader Kem Sokha from Trapaing Phlong prison in Tbong Khmum province to his house in the capital. Speaking at the ruling Cambodian People’s Party (CPP) headquarters in Prey

  • ‘Dire consequences’ from sanctions, warns AmCham

    American businesspeople in Cambodia have warned that any sanction against the Kingdom would have “dire consequences” that could push Cambodia even further into the arms of China. In a letter to US senators and representatives dated Monday, the American Chamber of Commerce Cambodia (AmCham) said