Northern Territory Consolidated Acts Northern Territory Consolidated Acts(1) A ground for cancellation or suspension of a gaming machine licence arises if:
(a) the licensee:
(i) ceases to use the licensed premises for the conduct of gaming;
(ii) obtained the licence on false, erroneous or misleading information;
(iii) acquires, installs, uses or otherwise deals with a gaming machine in contravention of this Act;
(iv) fails to comply with a provision of Part 8;
(v) fails to comply with a condition to which the licence is subject;
(vi) fails to forward or lodge an affidavit in accordance with section 44(2); or
(vii) fails to comply with section 39(5)(a);
(b) the licensee or an associate of the licensee:
(i) is convicted of a crime;
(ii) is convicted of an offence against this Act;
(iii) fails to discharge the licensee's or associate's financial commitments, becomes bankrupt or compounds with creditors or otherwise takes advantage of the laws in force for the time being relating to bankruptcy;
(iv) is the subject of a winding-up, either voluntarily or under a court order, appointment of a liquidator, appointment of a receiver or receiver and manager or is placed under judicial management or administration;
(v) fails to comply with a written direction given to the licensee or associate by the Commission or Director; or
(vi) fails, when required, to supply information or material to the Commission, the Director or an inspector, or supplies information or material that to the knowledge of the licensee or associate is false, erroneous or misleading in a material particular; or
(c) the Commission:
(i) considers that the licensee has not made all reasonable efforts to comply with section 112;
(ii) considers that the licensee has not made all reasonable efforts to enforce rules required to be enforced under section 90;
(iii) considers that the licensee or an associate of the licensee is not a fit and proper person in respect of financial stability, general reputation, character or business reputation to be a licensee or to be an associate of the licensee;
(iv) becomes aware of any information or matter that, had it been known when the application for the licence was being considered, the decision under section 25 may have been that the licence be refused;
(v) considers, if the licensee is a club:
(A) that the club has ceased to be a non-proprietary club;
(B) that the proceeds from the conduct of gaming are being applied in a way that does not promote the objectives of the club;
(C) that payments for the rental or lease of the club's licensed premises are unreasonable;
(D) if a lease, agreement or arrangement made by the club provides that a person or voluntary association of persons is entitled to receive, or may receive, a payment, benefit or advantage during, or at the end of, the lease, agreement or arrangement, that the provision is unreasonable;
(E) if members of the executive, governing or management body (however described) of the club are required to be nominated, or may be nominated, by a person who is not a member of the club or by a voluntary association of persons, that this is not in the best interests of the club's members;
(F) if the club does not own the club's licensed premises and an executive officer or employee of the club is also the lessor, or an associate of the lessor, of the club, that this is not in the best interests of the club's members;
(G) if an executive officer or employee of the club is a creditor, or an associate of a creditor, of the club, that this is not in the best interests of the club's members;
(H) that payments made under the club's objects are not in the best interests of the club's members;
(J) that payments made for things purchased by the club are unreasonable;
(K) that salaries, wages, allowances or benefits paid or payable by the club to the club's executive officers or employees are unreasonable; or
(M) that payments for services provided to the club are unreasonable or are on the basis of a percentage of the club's income, profits or earnings from the conduct of gaming or spending related to the conduct of gaming;
(vi) considers that there has been an unauthorised interference (whether by the licensee or someone else) with an electronic monitoring system installed on the licensee's licensed premises; or
(vii) considers that the financial circumstances of the licensee have changed since the granting of the licence and that the licensee is no longer financially viable.
(2) Where the Commission is of the opinion that any act, omission or other thing that constitutes a ground under subsection (1) is of such a serious nature that the integrity of gaming or the conduct of gaming may be jeopardised or the public interest may be adversely affected, the Director shall issue to the licensee a written notice to show cause why action should not be taken with respect to the gaming machine licence under this section.
(3) Where the Director is of the opinion that any act, omission or other thing constitutes a ground under subsection (1), whether or not it is of such a serious nature that the integrity of gaming or the conduct of gaming may be jeopardised or the public interest may be adversely affected, the Director:
(a) shall notify the Commission; and
(b) shall, when directed by the Commission, issue to the licensee a written notice to show cause why action should not be taken with respect to the gaming machine licence under this section.
(4) The Director shall issue a copy of a notice issued under this section to any other person whom the Director considers has an interest in the gaming machine licence.
(5) A notice issued under this section shall set out the grounds giving rise to its issue and shall specify a date, being not earlier than 7 days after its issue, on or before which cause is required to be shown.
(6) Subject to this section, a notice under this section shall be in such form and contain such matters as the Director thinks fit.
(7) A person to whom a notice under this section is issued may give a written answer to the Director at any time not later than the date specified in the notice.
(8) A person to whom a copy of a notice is issued under subsection (4) may make such submissions to the Director as the person thinks fit at any time not later than the date specified in the notice.
(9) The Commission shall consider answers given in reply to the notice to show cause under subsection (7) and submissions made under subsection (8) and, if the Commission considers that:
(a) answers given or submissions made in reply to or in respect of the notice are satisfactory, the Commission shall not take any action or any further action in relation to the notice;
(b) answers given or submissions made in reply to or in respect of the notice are not satisfactory but action to cancel or suspend the gaming machine licence is not warranted, the Commission may issue a letter of censure to the licensee, censuring the licensee in respect of any matter connected with or giving rise to the notice to show cause;
(c) answers given or submissions made in reply to or in respect of the notice are not satisfactory or if no answers are given and no submissions are made, the Commission may by written notice give such directions to the licensee as the Commission considers appropriate to ensure that any matter connected with or giving rise to the issue of the notice is rectified within the time specified in the notice; or
(d) answers given or submissions made in reply to or in respect of the notice are not satisfactory or if no answers are given and no submissions are made, the Commission may cancel, or suspend for such period as the Commission determines, the gaming machine licence.
(10) If a direction given by the Commission under subsection (9)(c) is not complied with within the time specified in the notice, the Commission may cancel or suspend the gaming machine licence.
(11) Where the Commission is of the opinion that any act, omission or other thing that constitutes a ground under subsection (1) is not of such a serious nature that the integrity of gaming or the conduct of gaming may be jeopardised or the public interest may be adversely affected, the Commission may by letter censure the licensee in respect of any matter connected with or giving rise to the ground.
(12) Where the Director issues a written notice to a licensee under this section, the Director shall submit to the Commission the notice and answers, any submissions made and such other information or material in the Director's possession as the Director considers is relevant.
(13) If the Commission cancels or suspends a gaming machine licence, the Director shall, as soon as practicable after the licence is cancelled or suspended, give the licensee written notice of, and the reasons for, the cancellation or suspension.
(14) The cancellation or suspension of a licence under this section takes effect from the date of the issue of the notice under subsection (13) or from another date specified in the notice.
(15) On receipt of a notice of cancellation under subsection (13), the person to whom the notice is addressed shall deliver the licence to the Director not later than 14 days after receiving the notice.
Maximum penalty: 40 penalty units.
(16) The Commission may:
(a) revoke the suspension in respect of the unexpired period of suspension; or
(b) reduce the period of suspension,
imposed under this section.