BCLB Targets 58 Unlicensed Gambling Platforms in Nationwide Regulatory Sweep

Kenyan authorities have escalated their efforts to regulate the burgeoning gambling industry, targeting unregulated betting operations and tightening oversight over licensed firms. 

The Betting Control and Licensing Board (BCLB) has identified 58 betting websites allegedly engaged in illegal activities within the country, prompting a decisive intervention to protect consumers and enforce national gaming regulations. The BCLB's action follows mounting public outcry over alleged exploitation by unauthorised platforms. In an official communication to the Communication Authority of Kenya, the BCLB details findings from investigations triggered by numerous complaints. 

These platforms are accused of accepting deposits via mobile money services without honouring payout obligations, leading to financial exploitation and widespread frustration among gamblers. The Board has directed mobile service providers to suspend pay bill accounts associated with the identified platforms to stem the financial lifeline of these operations and prevent further exploitation of unsuspecting users.

The crackdown is set against growing concerns over the societal impact of gambling, particularly on Kenya's youth. Advocates for stricter regulation have highlighted the proliferation of betting advertisements across various media platforms as a significant driver of gambling addiction. These advertisements, often broadcast during family viewing hours, have been criticised for glamorising gambling as a quick route to wealth, misleading vulnerable individuals into risky financial behaviour.

In response, the BCLB recently imposed a 30-day suspension on gambling advertisements across all media outlets. This suspension, effective immediately, seeks to limit the exposure of gambling content during the watershed period from 5:00 a.m. to 10:00 p.m. BCLB Chairperson Jane Mwikali Makau emphasises the need for this measure, noting that unregulated promotional campaigns have had adverse socioeconomic consequences, affecting individuals, families, and communities.

The Directorate of Criminal Investigations (DCI) has condemned the prevalence of such advertisements, asserting that they contribute to reckless gambling behaviour. The DCI has pledged to collaborate with the BCLB to enhance oversight and enforce compliance with the advertising suspension, signalling a united front against the negative impacts of unregulated gambling promotion.

The regulatory push extends beyond enforcement actions against unlicensed operators. The Kenya Revenue Authority (KRA) has introduced a rigorous validation framework for the renewal of operating licenses for the 2025/2026 financial year, signalling a comprehensive overhaul of the regulatory landscape. Under this process, betting firms must demonstrate compliance with tax regulations at both the corporate and individual levels.

One of the critical requirements is the submission of a current CR12 form, which provides a detailed record of a firm's managerial structure, including its directors and shareholders. Firms must also update their iTax profiles to reflect this information. Additionally, betting companies must ensure that all tax returns are up to date, with any outstanding liabilities potentially disqualifying them from obtaining a renewed license.

The KRA has mandated that firms integrate their systems with its platforms to enable real-time data transmission and daily tax remittances. This measure seeks to enhance transparency and accountability while simplifying the tax audit process. Companies will also need to secure valid Tax Compliance Certificates (TCCS) to confirm their adherence to tax obligations.

As part of a broader regulatory overhaul, the Kenya Film Classification Board (KFCB) has issued new guidelines requiring betting firms to obtain licenses for audiovisual gaming advertisements. These directives aim to address concerns over the content and timing of gambling-related promotions, ensuring they do not target vulnerable audiences, including minors.