Well, talking about Gambling, no bigger and prominent Gambling is more obvious than our two Casino resorts, building in process. It seems that all hopes are pinned on these two gigantic projects that the whole Nation has taken up as their engine towards "Golden Period". But the recent news report worries me. Some foreign workers were protesting outside MOM against their employers who intend to cut their pay or even force them to be sent back to their country of origins. These foreign workers work for one of the big construction company which I believe is one of the main contractors of the Casino resort at Marina. And it was reported that when the matter has been settled, the workers return to their construction site, doing nothing more than AREA CLEANING! I mean, 100 people doing AREA CLEANING?
It worries me. I was thinking to myself, WHAT IF, a BIG BIG IF, any of these two Casino resorts failed to take off even before they are built, what will happen to us? Our schools and polytechnics has trained so many students ready to be employed for these casino resorts. Our banks have given out so much loans to finance these casino resorts construction (not only the owners, but constructors, subcontrustors...etc). What IF anyone of them or even Both of them fail? Are we staking our whole economy on these Casino resorts?
Well, maybe some may say I am really paranoid, how could these BIG casino companies go bust? This is especially so when our PAP government has claimed to conduct all due diligence in screening these casino companies.
It seems a little bit unbelievable but nowadays, when even the big 4 investment banks in USA could go bust, what else isn't possible? Anyway, with this little question in mind, I did a research. I have found that LV SANDS, the owner of Singapore Marina's Casino Resort, has filed for Chapter 11 (bankruptcy protection) in USA before! It was
1998 when Sands filed for bankruptcy, right after the 1997 financial crisis, though we all believe that USA is not affected by this financial crisis at all. Then there is another recent article I have found on the net. Its entitled
"Is LV Sands headed for Bankruptcy?"
In this article, it claims that LV Sands' share price has dropped from a high of $148 to $14.05! It has lost a lawsuit without allocating the amount of money to pay for the damages. Its earnings has plunged dramatically, with Return on Equity (ROE) dropping from 67% to a mere 5.38%. All these are worrying signs, not only for LV Sands, but the whole Singapore!
I could hardly imagine what would happen to Singapore IF, a BIG IF, Sands goes under. The PAP government has put Singapore into a BIG GAMBLE that we may be ill afford to play.
