Pubdate: Thu, 27 Apr 2000 Source: Age, The (Australia) Copyright: 2000 David Syme & Co Ltd Contact: 250 Spencer Street, Melbourne, 3000, Australia Website: http://www.theage.com.au/ Author: Linda Silmalis, Sydney with AAP GAMING WATCHDOG CHIEF QUITS OVER DRUG MONEY COMMENTS The head of the New South Wales gaming watchdog bowed to pressure from the Premier when she resigned yesterday after saying on national television that she was sorry a convicted heroin supplier had been banned from the Star City Casino. NSW Casino Control Authority head Kaye Loder told ABC TV's Four Corners on Monday night she was sorry police had banned Duong Van Ia, who had been one of Sydney's biggest heroin traffickers. Ms Loder stepped down from the role hours after Premier Bob Carr warned she would be sacked if she did not resign. Van Ia, known to the casino as Van Duong, was sentenced to eight years' jail in 1998 for supplying heroin. According to casino records, Van Duong gambled $94 million in six months at the casino in 1996, including $24million in one month. Ms Loder had told Four Corners the money had been going back into state revenue via the casino. "I'm sorry to see the money go out of NSW, but I'm speaking personally for myself," Ms Loder said. "If you have a legal casino, at least you regulate the gambling that is available and the state obtains some benefit from the revenue. "If that money is coming from heroin deals and is going into casino gaming and is coming back to the state in the way of revenue, it's a matter of debate about whether or not that's a good thing, or an acceptable thing," Ms Loder said. Mr Carr said he had been surprised and appalled by the comments. "I sought her resignation... because I found her comments on Four Corners were unacceptable," Mr Carr told reporters in Sydney. "We don't want to see people who've made money out of this inhuman trade in addictive drugs be able to put their money, ill-gotten as it is, immoral as it is, through the casino. "It's clearly intolerable to me to have the person who chairs the casino control authority saying that it's somehow acceptable, that it's somehow the lesser of the available evils, to have money accrued through heroin dealing put through roulette," Mr Carr said. Under state laws, police and the authority can ban patrons from the casino. According to NSW Gaming and Racing Department figures for September, 1995, to February this year, 2089 people had been permanently banned from the casino, with 28 of the bans issued under police orders. The reasons for the bans ranged from offences such as leaving children in cars to evidence of drug money laundering. Mr Carr said the comments did not suggest that the laws required tightening. "No one's suggested that the powers in the legislation are inadequate," he said. State Opposition leader Kerry Chikarovski said a report into casino operations was needed to reassure the public that the venue was not a laundromat for drug money. She also said the government needed to ensure that the authority chief's vacated role would be filled by someone chosen on merit and not from within party ranks. "Kaye has been a long-standing member of the Labor Party; she has been involved with the Labor Party for many years," she said. "What we need to see from the Premier is people being appointed on merit, not because they happen to be a Labor mate." A spokesman for NSW Gaming and Racing Minister Richard Face said that while no decision had yet been made, it was most likely the position would be advertised. - --- MAP posted-by: Derek Rea