Macau's Legal Saga Continues: Prosecutor Appeals to Reinstate Fraud Charges Against Suncity's Founder

The saga began in January when Macau's Court of First Instance sentenced Alvin Chau to 18 years in prison, accompanied by a substantial compensation order of nearly $270 million to gaming concessionaires in the country. Chau, however, challenged the fraud charges against himself and Suncity Group.

While the Court of First Instance imposed the initial sentence and compensation, the Court of Second Instance in Macau ruled against the fraud charges, affirming Chau's prison sentence but relieving the company from compensating concessionaires. The total compensation owed to the government surged to $1.1 billion, though concessionaires were no longer in line for payment.

In a recent development reported by IAG, the Prosecutor’s Office is now appealing to the Court of Final Appeal to reinstate the original fraud charges. The appeal seeks to uphold a $265 million payment from Suncity and Chau to five gaming concessionaires in Macau.

The Prosecutor's Office's move extends the legal battle for Suncity Group, adding layers of complexity to Chau's legal woes that date back to his November 2021 arrest. The charges against him include illegal gambling, fraud, money laundering, and alleged ties to criminal organizations.

However, complicating the situation further, earlier this month, the five gambling operators—Venetian Macau, SJM Resorts, MGM China, Galaxy, and Wynn Resorts—who initially sought compensation from Chau and Suncity, declared their decision to abandon claims for over $265 million. The implications of the recent appeal on the operators' stance remain uncertain, raising questions about whether they will reconsider their pursuit of compensation.

The legal saga in Macau continues, with the Prosecutor's Office's appeal injecting new uncertainty into the future of Suncity Group and its embattled founder.