Jeju’s Gold Mountain Casino Faces 3-Month Suspension

Gold Mountain Casino in Jeju, South Korea, could face a three-month suspension of gaming operations following an investigation into allegations that employees cheated customers during blackjack games.

The foreigner-only casino has been given an opportunity to challenge the proposed penalty. The Jeju Special Self-Governing Province Government is reviewing the operator’s submissions before deciding on the sanction, according to information provided to GGRAsia by a provincial official.

The official said the suspension could be shortened if mitigating circumstances are accepted. However, a three-month operational halt is the prescribed administrative penalty for the regulatory violation under consideration.

Blackjack Case Involves Alleged KRW100 Million Loss

The case centres on allegations that casino employees cheated three Chinese customers out of approximately KRW100 million (US$75,531) during blackjack games on June 7 and 8.

Earlier reports had put the alleged losses at KRW80 million. Information from the provincial authority indicates that the amount under investigation is approximately KRW100 million.

The regulatory case concerns the alleged use of altered gaming equipment. According to the official quoted by GGRAsia, this type of infringement carries an administrative sanction that can temporarily halt casino operations. The regulatory proceedings are separate from the criminal investigation into the alleged conduct.

Casino Can Seek Mitigation of the Penalty

For a first violation of this type, the prescribed penalty is a three-month suspension of operations. The provincial government is assessing the casino’s representations and may reduce the suspension if it finds sufficient grounds for mitigation.

The authority cannot impose a suspension longer than three months for a first infringement. A second violation, however, could result in the casino losing its licence.

Gold Mountain Casino therefore faces a potential temporary shutdown rather than automatic licence revocation in the current case. The final duration of any suspension will depend on the provincial government’s assessment of the operator’s submissions.

Prosecutors Pursue a Separate Investigation

The matter was referred to prosecutors in Jeju on September 11, the provincial official told GGRAsia. Prosecutors are conducting a separate investigation into the allegations.

The administrative process will proceed independently of the criminal case and any subsequent court ruling. The provincial authority does not need to wait for prosecutors to conclude their investigation before deciding whether to impose the regulatory penalty.

The government is therefore examining the alleged infringement and the casino’s response through its own administrative procedures.

Gold Mountain Casino Changed Ownership in 2024

The casino previously operated as Megaluck Casino under Hong Kong-listed New Silkroad Culturaltainment Ltd. The business was sold to South Korean company Geumsan Co Ltd in 2024.

The ownership details were included in industry information published in May by South Korea’s Ministry of Culture, Sports and Tourism, which has overall responsibility for the country’s casino sector.

Jeju has exercised certain regulatory powers over the island’s foreigner-only casino industry since 2009, with the provincial government responsible for licensing oversight of local casinos.