Bar owners facing the prospect of a gaming machine ban have found a loophole in the law which they believe will allow people to carry on gambling.

Government is planning to enforce the Prohibition of Gaming Machines Act 2001 next July which will outlaw the Island's 300-plus machines.

The law will apply to machines which have slots for money or tokens.

But ‘The Beach' owner Rick Olson believes technology used in Pier Six, in which customers pay for a P.I.N. number which allows them to log onto a touch-operated computer monitor, could be the answer.

He said: “Wherever a grey area is, I will certainly try to exploit it.

“It's a great way to do business because you don't keep cash at hand, you don't have to worry about being broken into.”

Tourism Minister Renee Webb, who is in favour of a high-class casino and a national lottery, said machines were “outside the law” at the moment.

But she said if Government could easily amend the law to make it apply to aperture-less machines. She said: “We would not get rid of one to be replaced by another.”

Flanagan's manager San Bezant said the machines took far less space than the current gaming machines and were basically computer monitors run off a home computer.

He is considering switching to the machines.

In reality they are little different from punters playing Internet games on a home computer but Ms Webb, who is also Telecommunications Minister, said it was impossible to regulate the Internet and such gambling was not illegal because the profits were made abroad.

She conceded there would be nothing to stop a Bermudian raking in profits from Internet gambling sites based abroad though accessed from terminals here. But to take profits here would be illegal.

“It really means all the money from gambling goes outside the country rather than staying here. The only beneficiaries are banks who make money on the credit card commission.”

Asked if she supported the Prohibition of Gaming Machines Act 2001 she said: “Obviously that is the law as it currently exists and as a Cabinet Minister I have to support Government laws.

“As to what happens in July, I don't know. As to now it will be outlawed.”

Ms Webb's party is currently having an internal debate about gambling and will put the issue to a public forum on tourism on Thursday.

She indicated Government was a long way from forming a policy and said the public debate on it was healthy and timely, with the impending deadline on gaming machines.

Gambling is already part of Bermuda's culture with bingo, crown and anchor, football pools and betting on horses all popular, said the Minister.

“It's a question of whether or not it becomes regulated,” said Ms Webb. “We have had gambling in Bermuda since before I was born.”

She said she favoured having one Monte Carlo-style casino and a national lottery to support culture and sports like in the UK.

But she is open-minded on other forms of gambling such as gaming.

“I don't have strong views except to say it might be viewed as discriminatory if only tourists could gamble.”

At Pier Six, players purchase a P.I.N. number to punch in and play but at other places gamblers buy a card to push in.

The card or P.I.N. number is given back at the end and gamblers can collect any winnings from the bartender.

Mr. Olson said his current gaming machines could be adapted to take a card reader rather than money if this would circumvent the law.

Once the machinery was shipped in would cost around $200 to install and take a technician ten minutes per machine said Mr. Olson.

He said: “I would take a couple of weeks to get sent over.”

He said he was waiting for the law to be clarified before making the change but he said he didn't expect that to happen soon. “Next spring we will look to see what everyone else is doing.

“You can bet on anything you want every single day in Bermuda.”

Mr. Olson said he didn't know if players were ready to switch to cashless machines.

“If it is the only game in town, people will play it.

“I am thinking about it. I am not making plans. It will only take a couple of weeks to organise if things don't change.

“My understanding is if it doesn't take cash it would be legal, there's a lot of other ways of getting around it.

“Some places pay people in gift certificates which may be redeemable for cash.

“There are all sorts of grey areas, the legislation needs to be rethought.

“Flanagans are paying in gift certificates, which I am sure are redeemable for cash. Who wants $10,000 worth of gift certificates for Flanagan's?”