The appeal hearing by Sands China Ltd. on a government decision not to approve the company’s application for a land concession for the so-called parcels seven and eight in Cotai is underway, a source close to the process told Macau Business Newsletter.

The first court session took place just before Chinese New Year.

The appeal was submitted in January 2011.

Sands China Ltd. had submitted a detailed development application to the Macau government to make use and develop parcels 7 and 8 of Cotai.

However, in December 2010, the Lands, Public Works and Transport Bureau announced it would not be granting the lots of land to Sands and would keep the land as reserve.

Sands China applied to the chief executive for a review of the decision and filed an appeal with the Court of Second Instance, which is now being heard.

Should the group win the appeal, it is still possible for the chief executive to again deny the land concession based upon public policy considerations, according to Sands China.

Sands China Ltd. had already invested US$100 million-plus in the sites before the government’s decision.