The Belgian Council of State has put a halt to the 15-year casino license granted to Napoleon Games in Brussels, following a challenge from the current license holder, Viage.
Viage contended that the license award did not meet the necessary selection criteria, lacked adequate justification, and included significant errors in its evaluation, as reported by The Bulletin. Additionally, Viage pointed out a potential conflict of interest involving Philippe Close, the mayor of Brussels, who is also on the board of Anderlecht football club, a major partner of Napoleon Games. Close did not withdraw from the meeting where the contract was awarded.
The Council of State ruled in favor of Viage's request to suspend the €750 million (approximately US$872 million) contract.
In its decision, the court highlighted various deficiencies in the awarding process, particularly regarding the rationale behind the decision and adherence to European regulations. It noted that “not all aspects of the tender specifications were sufficiently considered” and that some factors evaluated “seemed irrelevant to the concession's subject matter.”
Furthermore, the court determined that the process did not align with European rules concerning foreign subsidies that may disrupt the internal market.
The City of Brussels now faces several choices. It can either restart the awarding process, which would take several months as the current license expires on December 31; reaffirm Napoleon Games as the chosen bidder by bolstering the legal justification for the decision; or reevaluate the bids submitted under the suspended process.
However, any of these routes might provoke another appeal from a bidder that is not selected.
“We are pleased with the Council of State's ruling,” stated Siham Makrache, a spokesperson for Viage. “We hope the case, which we have worked on for years, will be reviewed correctly.”
Viage expressed its desire to avoid restarting the concession process, as this could delay matters by another year. The operator is seeking certainty rather than temporary fixes or extensions.
Having operated the Brussels casino since 2010, Viage was a close second among the five bidders in the recent selection process.
Mayor Close acknowledged the Council of State's decision through a spokesperson, stating, “We are carefully reviewing the judgment to determine our next steps. At this point, it is premature to provide further comments.”
Didier Wauters, the Brussels alderman responsible for trade and economy, expressed surprise at the ruling but noted that the Council of State adhered to the auditor's recommendations.
“We need to thoroughly analyze the judgment and will convene with the entire college of aldermen to discuss this,” he remarked. “I cannot confirm whether we can implement a temporary extension of the current license to avoid the casino's closure.”
The Brussels casino generates €10 million (around US$11.63 million) in annual royalty revenue for the City of Brussels.