This archive report was first published on 16 July 2019.
Kenya's government has intensified its crackdown on the betting industry, with 17 foreign directors of major firms facing deportation over tax evasion allegations.
According to reports, the Interior Cabinet Secretary has served deportation orders to the directors, including those of Sportpesa and Betin, who have been accused of failing to remit Ksh26 billion in taxes to the Kenya Revenue Authority (KRA).
The government has been critical of the firms, accusing them of using the courts to frustrate tax collection efforts. Despite earning over Ksh200 billion from the Kenyan market, the foreign directors repatriate the revenue to their home countries but still fail to pay their dues to the taxman.
The move comes after the Central Bank of Kenya (CBK) wrote to banks seeking to monitor the accounts of 27 betting firms whose licenses have been cancelled. The government has also ordered telcos to suspend the paybill numbers and SMS codes of the firms.
On July 10, 2019, the Betting Licencing and Control Board (BCLB) wrote to telcos, instructing them to suspend the pay bills and short codes of the firms until further notice.
The government has cancelled the licenses of several betting firms, including Sportpesa, Betin, and Betway, and has warned that it will conduct sustained vetting of all licenses in the gaming sector. Players who fail to meet the regulation threshold will be de-bared.
