This archive report was first published on 16 July 2019.
Published on July 16, 2019, hundreds of jobs are on the line as the government intensified its crackdown on betting companies in Kenya.
The Interior ministry ordered the arrest of any players caught operating without licences on Friday, with 27 affected firms considering laying off staff starting next week.
According to a source at SportPesa, as many as 600 members of staff could be laid off starting Monday, affecting approximately 400 employees at the call centre, 100 technical staff based at Sameer Business Park on Mombasa Road, at least 60 marketing staff spread across the country, and up to 40 managers.
Mobile phone companies blocked the playbill numbers of 27 betting firms on Friday, stopping any more deposits in their mobile wallets. An attempt by the Saturday Nation to deposit money in one of the firm's account hit a snag after the mobile companies effected the directive by the betting control board to block the playbill numbers of 27 firms whose licences are yet to be renewed.
"Failed. Dear Customer, this Paybill is unavailable due to the government directive to suspend Betting Paybill numbers. Kindly contact your Betting Company," a message from Safaricom said.
The Betting Control and Licensing Board (BCLB) gave gamers 48 hours to withdraw their money before the government shuts down the pay bill numbers. This deadline expired on Saturday.
Interior CS Fred Matiang'i directed regional police commanders to arrest owners of betting firms operating in their regions without licences, stating that if the firms do not have a licence, they are engaging in crime.
SportPesa said it was extremely disappointed by the 'malicious actions' by the betting board to block its payment systems despite the existence of a court order.
"This is the latest in a series of abrupt measures from BCLB that only serve to discourage and disrupt business. The prejudicial process that has been followed by the regulator has the potential to drive the industry underground as well as have far-reaching repercussions on the social and economic agenda of the country," the firm said in a statement.
Other firms, among them Betin and Mozzabet, also said they had complied with all tax obligations.
SportPesa has enjoyed a roaring success since it set up shop in Kenya in 2014 to become a betting sensation and one of the fastest-growing companies in the East African region.
