Tatts says state of Victoria to appeal compensation ruling

    The state of Victoria plans to appeal a ruling by the Supreme Court of Victoria awarding Tatts Group more than A$451.1 million ($424.2 million) in compensation, plus interests and costs of $89.3 million, for losing its operating monopoly.
    The state lodged an appeal with the Victorian Court of Appeal, which Tatts said it plans to defend.
    Tatts sued the state for compensation following the expiry of its gaming operator’s license in 2012. The company said it had an accord dating back to 1995, under which Victoria would receive “substantial” license fees from Tatts’ pokies business on condition it would receive compensation should a license be awarded to other companies.
    However, the court declined a separate $686 million compensation request from Tabcorp. It instead accepted the state’s argument that changes made to legislation in 2008 and 2009 implied a repeal of a statutory provision that would have entitled the company to compensation.