CASTRIES, St Lucia (CMC):

The St Lucia government has given the go-ahead to a local business to establish the island's first casino, 10 years after Parliament approved legislation to introduce casino gambling here.

The Stephenson King administration has given the nod to Chereki to locate the gaming facility at the Baywalk Mall that is nearing completion at Rodney Bay, north of here.

However, a government spokesman told the Caribbean Media Corporation that the Gaming Authority would still have to give it approval before any such facility could begin operations here.

Four years ago, the Gaming Authority approved a license to a United States Virgin Islands-based company to operate a casino known as Treasure Bay, north of here, but construction on that facility never materialised.

Investment on hold

Chairman of the authority, Lisle Chase, said while the US company has not completely abandoned plans for a casino here, the recent downturn in the international economy might have influenced its decision to place the investment on hold.

Chase said the authority has turned down one other application for a casino licence. He said the Chereki family was seeking a partner to operate the casino.

"When they get a suitable applicant, that applicant will apply for a licence," Chase said, noting that the authority was not asked to determine the suitability of Baywalk for a casino.

"Government took that from our mandate. We have that mandate but Cabinet has the final say. The authority is not autonomous to the extent that it can grant or not grant a license. It merely recommends to the Cabinet to grant or not grant a licence."