Kampala — Casino Grande Uganda Limited will be licensed after the Casino and Gaming Bill 2004 is enacted, the finance ministry has said.

The new Casino has equipment worth $2m (sh3b) and they are waiting for permission to start operations, the casino's promoters said.

"There is no law to regulate casinos. A draft law is in its final stages and will soon be tabled before Cabinet and Parliament," a finance ministry source said recently.

"The delay make this bill a law has affected companies especially Casino Grande, which applied for a licence in July 2003. It put forward a proposal to start operating in September last year, but it has to wait for the new law," the source said.

In 2002, Uganda Investment Authority gave Casino Grande a licence, but the finance ministry said the casino should wait for the new law.

The source said the old law can not cater for the modern activities.

According to the source, it is not automatic for a company, which imports machinery to be licensed without controlling their activities.

"There is an argument that since Kampala Casino is operating, why not the new ones. However, there was an error and we can't continue like that," the source said.

The new law will establish the Gaming and Casino Authority to manage and investigate activities of casinos.

"We shall need an investigations section because this is gambling and the activities may involve things like money laundering, which is illegal in Uganda," the source said.

A source close to the management of the new casino said they are planning to take legal action against the Government.