Registration deadline for betting companies extended

By John Masaba

The National Lotteries Board (NLB) has extended the registration deadline for betting companies and casinos in the country.

The board had set January 1 as the deadline for the companies to comply with new rules or face closure, but nearly two months after the deadline passed, only a handful had complied.

Among the rules is for all casinos and gaming houses to operate less than 200 metres (about the length of two football pitches) away from churches, markets, mosques and government offices.

Other regulations require operators to deposit a sh200m security bond with the government. Also agents are required to pay sh10m in annual licences.

NLB acting secretary, James Mpiirwe, told New Vision that they have extended the registration to give time to the companies to reorganize themselves.

“Some of them have been falling off because the rules are very tough. We hope that they will have complied by April 1,” Mpiirwe said.

There are about 52 casinos and gaming companies across the country. However, by the January 1 deadline, Mpiirwe said only 30 companies were illegible for the new licenses.

Mpiirwe said the extension would also give the board time to scrutinize the over 600 locations across the country. He said before a company is registered, its premises have to be visited by the NLB staff to ensure they meet the requirements.

Several of the betting companies, however, intimated that they want the rules changed. “We met the board recently and told them that the rule that requires some of our centres to relocate needs to be looked into. What happens if a school or police station is set up after I am already operating in an area,” asked Deus Kikonyogo, Royal Betting’s spokesperson.  

A source told New Vision that the board is reluctant to implement the rules for fear of losing revenue from the lucrative industry.

Last financial year, casinos and gaming companies fetched sh8b to the national coffers and sh12b is expected this financial year. The Government raises money from the sector through licenses. It also taxes the companies 20% of the total funds realized, after paying off the winners.