hours and lay off staff when gaming machines are scrapped in 2004.

Mr. Olson, who owns The Beach, said the income from gaming machines allowed him to provide live entertainment three times a week and made it economical to open until 3 a.m. seven nights a week and all day on Sunday.

With tourism in decline and visitors complaining there is little to do, Mr.

Olson said it would be another blow to the industry if he does not open on a Sunday.

And Jay Correia, the chairman of the restaurants and bars division of the Chamber of Commerce, warned many bars will struggle to operate profitably when the machines disappear.

MPs voted on Friday to ban gaming machines by July 2004, rejecting an Opposition amendment to scrap them by January 1 next year.

Mr. Olson, who imported around 60 machines for different bars and clubs, told The Royal Gazette yesterday: "The Beach provides live entertainment three nights a week. If I didn't have the income from the machines, I couldn't do that.

"Once these machines leave, I might have to cut operating hours back and might not be able to open all day on a Sunday or until 3 a.m. seven nights a week. I might be looking at jobs.

Gaming machine ban could lead to job cuts "If you are looking at making Bermuda an exciting place, it's definitely not that if you can't find a drink on a Sunday.'' Mr. Olson applauded Premier Jennifer Smith for giving operators a three year breathing space, and he accused the United Bermuda Party of spreading misinformation.

He said Shadow Legislative Affairs Minister John Barritt was wrong to say the machines could be calibrated to ensure huge profits for the owners, and Shadow Finance Minister Grant Gibbons erred when he said the machines could pay for themselves in three months.

"I'm very glad with the way the Premier has handled the matter,'' he said.

"She has been very fair and given people time to sort things out. The Premier is talking about three more years and that gives people time to get their investment back.

"I am very disappointed with the Opposition because they have been providing the public with false information.

"The Premier has been very communicative, but the other side haven't bothered to do their homework and they've been trying to mislead the public for political gain.

"You can't calibrate machines (in the way John Barritt suggested). That's a false statement. Grant Gibbons said you make your money back in three months, but it takes between a year to three years to make your money back.'' Mr. Olson repeated the call for a casino in Bermuda to give visitors something to do.

"I think we definitely need a casino because its a boring island with no tourism. It's a last resort but they're there in every other major country, so why can't Bermuda have a part of that? "If you think getting rid of the machines is getting rid of gambling, you're fooling yourself.

"If you want to have five star hotels and the top end of the market, you need a casino. There are probably a hundred companies who would love to come to Bermuda to open a casino.'' Mr. Correia told The Royal Gazette last night: "I am disappointed. The machines have been helpful to a number of pubs that haven't got revenue from restaurant sales in the past.

"Everyone that has them has been very happy with the revenue and I don't think they are the blight on society that some people have been saying they are.

"I know some bars will struggle to stay in the black and operate profitably and will struggle to find other ways to stay in business.'' A spokesman for Flanagan's pub and restaurant expressed disappointment that the machines are being scrapped.

He said: "It will be disappointing to lose them, because its been a revenue we've been expecting for several years. It also helped our sales when we've had the drop in tourism.''