Shining From the Underworld
Dmitry Surkov
Introduc4on
1988 2003 – first slot machines Gambling license in Intourist Hotel distribution by Russian Sport Committee
2006 Adoption of Federal Law №244
2009 Initiation of 4 gambling zones in Russia; departure of major gambling businesses out of the country
2009-2014 “there are up to 500,000 illegal gambling institutions operating in Russia” (D. Sugrobov, Interior Ministry)
Source: http://www.casinojack.su/casino-games/istoriya-azartnih-igr-rossiya.html
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Introduc4on
Source: wikipedia.org
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… therefore the gambling ban has led to an expansion of casinos around the city
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Source: ria.ru
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Approach Qualita4ve
Quan4ta4ve
S ociology P oli4cs A rchitecture C ulture E conomics
Territory (econometric + GIS analysis)
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Research Limita4ons Geographical: Moscow area excluding “new Moscow” Informal data: limited sources and experts due to high privacy of informa4on
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Object Defini4on 1. Ac4ve gambling dens
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Object Defini4on 2. Spaces of former casinos and slot machine arcades
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Experts Pavel Sychev, Social Ac4vist, “Molodaya Gvardiya” Member
Vladimir Ilyushin, Vice-‐President of Gambling Entrepreneurs’ Associa4on
Anonymous, former owner of a slot machine arcade in Moscow
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Research Ques4ons
• • • • 11
What can we theore4cally understand about casinos? Where are gambling spots now? Which factors influence their loca4ons? What are possible solu4ons for improvement?
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Theore4cal research Poli4cs: claimed targets vs. results of the gambling ban •
Equa4ng gambling with alcohol addic4on
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“Limita'on of gambling ac'vity for the sake of defending morality, rights and legal interests of ci'zens”
• Major investors have more doubts than reasons to invest. • Legisla4on loopholes. • Up to 90% of Moscow’s gambling businesses con4nued to operate a^er the ban • Well-‐known cases of a_orneys “covering” illegal casinos • “Only 40 people in Russia were held criminally liable” (Alexander Hinstein, An4-‐corrup4on Department) 12
Slide 4tle
malls
entertainment centers Architecture & Culture abandoned/ for rent
betting offices Source: own pictures, mosday.ru, images.google.ru
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Odintsovo experience
• Illegal casinos operate in crowded areas under “betting shop” or “internet club” signs • The society and police are tolerant • Saved the traditions of casino service (complementary snacks)
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Theore4cal and field trip conclusions S: High demand for gambling leads to high presence of informal casinos. P: Gambling industry is not regulated effec4vely, new law on gambling zones prove to be ineffec4ve. A&C: Former casino loca4ons switched to different sites (restaurants, malls, begng offices, etc.) E: Informal shi^ of the gambling industry has led to a huge loss of city taxes and clientele.
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Territory: informal casinos around Moscow
Source: own map, based upon expert’s data
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Empirical research Territory: socio-‐ economic factors Public service
infrastructure
Source: own research
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Territory: socio-‐economic factors Service infrastructure Multinationals
Source: own research
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Territory: socio-‐economic factors Migrants (negative)
prefer safe and reliable public and commercial zones, moderately wealthy areas to anonymously establish their trade Source: own research 19
Territory: infrastructural factors Informal casinos 2 Marketplace ATMS A_rac4ons Hotels Kindergartens Constant Observa4ons R2 Adjusted R2
0.33*** (0.07) 0.04*** (0.01) 0.05** (0.02) 0.09** (0.03) -‐0.04* (0.02) 1.01*** (0.07) 125 0.41 0.39 Source: own research, flickr.com
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Territory: infrastructural factors
Informalcasinos = 1,01 0,33Marketplace + 0,04ATMS + 0,05Attractions + 0,09Hotels 0,04Kindergartens
Source: own research, flickr.com
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Territory: informal sectors’ linkage Coefficientsa
(Constant)
Prostitute supply Betting houses
Standardized Coefficients Beta
Sig. VIF ,000
,393
,000 1,172
,225
,008 1,172
a. Dependent Variable: Informal casinos2
Source: own research, flickr.com
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Econometric + GIS Conclusions • Illegal casino owners in Moscow city center prefer to anonymously set up businesses in relatively wealthy areas; • Gambling venues in the East are located in moderately wealthy and less criminalized areas; • Casino locations are also influenced by some infrastructural factors; • Strong link between gambling and prostitution.
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Solu4ons
• Reconsidering the definitions for gambling activities and equipment • Toughening of sanctions and responsibilities for illegal gambling activities • Organization of regulated gambling zones inside big cities (in addition to existing gambling zones)
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Izmaylovo hotels’ gambling zone
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Comments • Compromise for the state, business and gamblers • Located in a district with a high illegal gambling activity • Legal casinos used to operate here • 7,500 people hotel capacity • Away from residential area • Away from the city-center • Easy access by transport (subway, railway, automobile) • Prostitution legalization too?
Source: images.google.com
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New Arbat gambling zone
Source: own pictures, flickr.com
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New Arbat gambling zone
Source: own pictures, flickr.com
New Arbat gambling zone
Source: own pictures, flickr.com
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Comments
• Compromise for the state, business and gamblers • Located in a district with a high illegal gambling activity (illegal casinos have been uncovered in the area) • Traditionally the most popular spot for gambling activity
Source: own pictures, flickr.com
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Further research
• case-studies of foreign cities with regulated gambling zones (both of hotels and central districts) • development of adapting foreign experience to Moscow conditions (choosing the right direction)
Source: own pictures, flickr.com
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