The Malta Lotteries and Gaming Authority (LGA) is to begin a full crackdown on Malta’s thousands of Video Lottery Terminals (VLT), better known as fruit machines, in March. Unregistered machines will be confiscated and owners slapped with heavy fines of between EUR6,990 (Lm2,962) and EUR23,300 (Lm10,002.69).

After what the LGA describes as the first step of the process ? that of quantifying and registering the number and use of VLTs in Malta ? next year it will move on to other measures including the installation of CCTV cameras at establishments where they are located.

There are an estimated 4,000 VLTs dotting the corners of hundreds of bars and cafés across Malta and Gozo, generating an estimated gross income of over Lm20 million per year.

But due to the practically non-existent regulation of their importation, ownership or use, there are no concrete statistics on their numbers or revenue generation.

But matters are expected to change in the near future, with the LGA having begun its bid to crack down on and strictly regulate the area by rolling out a strict licensing and registration regime.

In a stark contrast to the way things have been done in the past, where machines were placed in establishments and operated indiscriminately without any checks and balances, VLT operators will themselves need to be licensed, their machines registered and their premises approved.

The owners of VLTs will have until March to licence themselves and register their machines, each of which take in an estimated average revenue of Lm100 per week.

In March police are to begin doing the rounds; any unlicensed machines will be confiscated and violating owners will face stiff fines.

Operator licence applications, which became available on 1 November, carry a EUR2,500 (Lm1,073.25) non-refundable application fee. They will also be required to put up weighty bank guarantees of EUR12,000 (Lm575.16) for operating one to 10 machines, EUR20,000 (Lm8,586) for 11 to 20 machines and EUR60,000 (Lm25,758) for more than 20 machines.

The guarantee will go toward securing the payment of fees and taxes, any fines imposed, as well toward the payment of winners.

Moreover, the machines themselves will carry a registration fee of EUR1,000 (Lm429.30) each.