Will the NLRC Hammer Gaming Industry Operators With 2023 Dated Licence?

Nseobong Okon-Ekong highlights gaming industry operators whose licence issued by the National Lotteries Regulatory Commission expires this year

With the first month of the year 2023 gone, the National Lotteries Regulatory Commission (NLRC) is expected to engage operators in the gaming industry whose licences have expired to begin the process for renewal.

The statutes establishing the NLRC is not clear if there is grace or free period for renewal of expired licence. Much of what happens after the initial approval is obtained by a company is at the discretion of the NLRC, which often expects operators to renew their licence in good time before it expires.

Enquiries directed at the commission and its Director General, Mr Lanre Gbajabiamila were ignored as usual.

However, a visit to the NLRC website was very much revealing. Approved operators are listed in order of when their licences were issued and their date of expiration.

For instance, Global Lottery Nigeria Limited obtained its licence on December 6, 2012. Therefore, the lifespan of its operation should have ended on December 5-2022. The Sports Betting licence issued by the NLRC to AlphaGram West Africa Limited, user of the trading name, AlphaGramwa, expired on October 31-2022, having started operation on November 1-2017.

 In the first month of 2023, which just ended, Fortune Games Limited ceased to be a licenced operator of lottery business in Nigeria on January 2, having obtained its 10-year licence on January 3-2013. Digi Bay Limited, trading under the name, Betway and T. M. Gaming Limited, carrying on business under the name, AccessBet, were expected to have ceased operation on January 10, following the expiration of their licences obtained on January 11-2018.

To become a licenced operator of lottery, sports betting, casino and/or any gambling related business, the company seeking approval from the commission must be duly registered with Corporate Affairs Commission (CAC) and meet up with the required capital base, before filing an application for a licence. However, the National Lottery Regulatory Commission reserves the right after thorough inspection of the business premises, operations equipment to decline granting the application.

Further information from the NLRC states, “Every game has rules guiding conduct. The National Lottery Regulatory Commission has the powers under the law, to revoke the licences of any operator who violates the rules.”

April 16, is the last date for Nairabet, the sports betting brand operated by Over the Top Entertainment Limited. Its licence was issued on April 17-2018. In the month of June, two sports betting brands, Blackbet operated by Blackbet Limited and Betbiga operated by Crystal Gaming Limited are expected to end their run of play on June 17 and June 18 respectively.

Will Sportybet, operated by Sporty Internet Limited continue to serve players in Nigeria when its licence expires on July 15? With a growing population estimated at over 213 million, most of them youths within the legal gambling age of between 18 and 40+ years, investors in sports betting and other gambling activities find it extremely profitable. The average spend of these bettors is put at N5,000 per day. Therefore, companies like Naijabet Limited, operators of the betting brand, Naijabet is expected to renew its licence which expires on August 14.

A company like SV Gaming Limited owners of the brand, Betking, which is currently having a successful run can’t think of ending it all when its licence expires on September 3. Neither does anyone expect KC Gaming Limited, operators of the Bet9ja to throw away its winning streak on October 31, when its licence expires.

Other companies whose NLRC approved operations are dated 2023 include EMI Systems Limited powered by Kingdom Lottery and Mobile Lottery Nigeria Limited, owners of MLotto, which are expected to end their businesses on December 3.

Incidentally, an enduring tussle over jurisdiction between the federal government represented by the NLRC and agencies of state governments saddled with the responsibility of regulating the gaming industry in their respective states has resulted in a situation where NLRC licensees are listed as ‘illegal’ operators in the states.

ADVISORY: +18 PERSONS UNDER 18 MUST NOT PARTICIPATE IN BETTING, GAMING OR LOTTERY ACTIVITY