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Argentina's Esquel casino heads to tender after operator abandonment

Lotería del Chubut is working toward a new public tender for the Esquel casino following the abrupt closure by operator Trewelyn in March, leaving workers without wages or severance.

2 min read
Esquel
Key Points
Lotería del Chubut President Ramiro Ibarra said a reopening is not expected for at least six months after a new operator is selected
Trewelyn has not responded to official written notices, prompting the provincial authority to hire a Buenos Aires notary to serve formal documentation at the company's registered offices

Argentina's Chubut province is moving toward a new concession tender for the Esquel casino after operator Trewelyn walked away from the property in March.

The move left employees without wages or severance and prompted criticism from the provincial gaming regulator.

Ramiro Ibarra, President of Lotería del Chubut, met with affected workers to update them on the process. The provincial government has been trying to formally close out Trewelyn's license before opening the bid, but the company has gone silent. 

Ibarra said: "The company has given no sign of anything; in fact, it has not even received the registered letters."

To get around that, the regulator retained a notary in Buenos Aires to serve notice at Trewelyn's declared offices, a workaround that reflects how completely the operator has disengaged. 

He added: "We are notifying them through a notary we hired in Buenos Aires, at their registered offices, to be able to formally close out the administrative matter." He said that Trewelyn "has not been in contact with us or with the workers."

Workers have not received April wages or any severance since the closure. The provincial Secretary of Labor has been providing a monthly financial subsidy to bridge the gap, a commitment made directly by Governor Ignacio Torres. Ibarra confirmed the arrangement would continue through the current month.

On the timeline, he said bidding documents could be published within ten days if preparations stayed on track, with a legally required ten business-day window between publication and the opening of offers. After that, proposals would go through technical and financial review. 

Even under that optimistic sequence, Ibarra was clear that actual reopening is far off. He added: "The timelines we will probably face before a company can invest and have the gaming floor operational will be no less than six months."

The tender documents are expected to include a clause requiring the incoming operator to absorb as many of the displaced workers as possible, though reincorporation would be gradual. 

The casino building itself is owned by Trewelyn, though workers have initiated legal proceedings that could result in the property being placed under court supervision until severance obligations are met.

Good to know

Trewelyn continues to operate the Puerto Madryn casino under the same provincial authority and has paid its concession fees there, while leaving Esquel workers unpaid

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