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Legal Battle Intensifies Over Lower Saxony Casino Licenses

Published date: 2025-02-14

The dispute over casino licenses in Lower Saxony has escalated as Spielbanken Niedersachsen GmbH (SNG) announced plans to appeal following the dismissal of its lawsuit challenging the recent concession award. The Administrative Court of Hanover upheld the decision to grant the casino concession to the Merkur Group, a subsidiary of the Gauselmann Group.

SNG, which has operated all ten casinos in Lower Saxony since 1995, contends that the awarding process lacked transparency and fairness. Managing Director Max Rösle emphasized the company's commitment to safeguarding the future of the state's casinos and the associated jobs, expressing firm belief that the concession award did not meet legal standards.

The controversy began in November 2023 when the Lower Saxony Ministry of Finance awarded the casino concession to the Merkur Group. SNG challenged this decision, alleging procedural improprieties. However, the court recently ruled in favor of the Merkur Group, affirming the legality of the concession award.

Despite the legal setbacks, SNG has been permitted to continue operating the casinos under a transitional license valid until September 2024, ensuring uninterrupted service during the ongoing legal proceedings. The company has declared its intention to exhaust all legal avenues to contest the concession award.

On the other hand, the Merkur Group plans to implement its development strategies for the Lower Saxony casino locations promptly. Their proposals include creating additional jobs and extending offers to current employees. David Schnabel, CEO of Merkur Spielbanken, highlighted the company's commitment to optimizing the casino venues and providing long-term career opportunities for staff.

As the legal battle continues, the future of casino operations in Lower Saxony remains uncertain, with significant implications for the regional gaming industry and its workforce.


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