Court proceedings have been launched by the government of Malta to re-obtain possession of three sites in the city of Birgu, with the building of the former Casino di Venezia being among those.
The country’s government said in a statement on the matter that it has brought to court Vittoriosa Gaming Ltd., Port Cottonera Hotel Development Ltd., and Galleys Development Ltd. The three business entities are requested to pay their outstanding debts and return the three sites in question to the government.
The Maltese Commissioner of Land had granted to Port Cottonera Ltd. several buildings around Birgu on a 99-year emphyteusis. Under the contract, the company was to annually pay to the government the amount of €582,343.55 in a 4-year rebate. Furthermore, the rent was to increase 15% every 10 years. The government was authorized to terminate the contract provided that Port Cottonera did not pay its rent for two consecutive months.
In April 2001, parts of the Port Cottonera Emphyteutical Site were sub-leased to Galleys Development, Scamps Developments Ltd., and Port Cottonera Hotel Development. In October 2002, Port Cottonera sold its rights to certain parts of the Emphyteutical Site to Galleys Development. The parts in question included the building of Casino di Venezia.
After the sale was completed, Galleys Development together with Scamps Developments and Port Cottonera Hotel Development announced that they would take the responsibility to pay MTL175,000 in ground rent. The remaining amount of MTL75,000 was to be covered by Port Cottonera. In June 2011, Scamps Development sold its sub-lease to Vittoriosa Gaming.
The government pointed out in its statement that no rent payments for the Port Cottonera Emphyteutical Site, which includes the Casino di Venezia site, have been made for two consecutive months. The companies have been sent a letter from the Commissioner of Land to pay their rents.
Having failed to make their due payments, the three business entities have been brought to court. The government argues that they should pay the owed arrears and return the land.
Jose Herrera, Parliamentary Secretary for Competitiveness and Economic Growth, said that the government wants to “regenerate” the sites as this might have a positive effect on Malta’s tourism industry.
Casino di Venezia closed doors in 2013, as it seemed not to be adhering to the conditions of its gaming license. The gambling venue offered to its visitors a total of 49 slot machines and 14 table games, with blackjack, roulette, and French roulette being among those.
