PML faces possible bankruptcy over video lottery failure

Polski Monopol Loteryjny (PML) which, along with Totalizator Sportowy, has a national monopoly on lotteries in Poland, is once again facing bankruptcy as PGS, an American company which has been financing PML for the last few years , has decided to pull out of Poland. The Americans loaned money to PML in th e hope they would jointly activate a new type of gambling, called video lott eries, on which they were to spend $300 million. Even though an agreement ha d been reached with the Treasury Ministry, the necessary legislation has bee n held up in the Sejm and video lotteries are still banned in Poland. The Fi nance Ministry estimates that after one year the profits on their sale would bring from zl. 60 million to zl. 240 million to the state budget. In order f or this undertaking to be profitable, however, video lotteries would have to be organized solely by state companies. First the act concerning gaming woul d have to be modified, since at present video lotteries are not listed. Atte mpts at amending the act were initiated long ago during the previous Solidar ity Election Action (AWS) government. However, the draft got stuck in the Se jm and no renewed attempts at passing it have been made. "Because of the pro longed deliberations concerning the draft, the management of PGS decided to stop operating in Poland," reads the letter sent by PGS's management. (Rzecz pospolita, p. B1) A.C.