A dealer lays out cards in the gaming room at Casino Malindi. The MPs
will be probing claims of tax evasion, tax avoidance and money
laundering in some betting, gaming and casino businesses. PHOTO | FILE
By EDWIN MUTAI, emutai@ke.nationmedia.com
In Summary
A special committee will be established by Parliament
to look into the activities of Kenya's burgeoning
multi-billion-shilling betting and gambling industry with a view to
streamlining the sector.
The opposition Coalition for Reforms and Democracy (Cord)
has sponsored a motion seeking to establish the select team of the
National Assembly with special focus on tax compliance, claims of
financial impropriety, regulation and benefits to the society and State.
The MPs will also be probing claims of tax evasion,
tax avoidance and money laundering in some betting, gaming and casino
businesses.
Through the deputy Leader of minority Jakoyo
Midiwo, Cord wants the special probe team to also identify best
practices from other jurisdiction on management of proceeds from betting
activities.
The committee, to be co-chaired by Mr Midiwo and
Leader of majority Aden Duale, has 14 days to report back its findings
to the House.
Members proposed to sit in the select committee
include Kanini Kega (Kieni), Thomas Mwadegu (Wundanyi), Soipan Tuya
(Narok women representative) and Samuel Gichigi (Kipipiri).
Others are Samuel Chepkonga (Ainabkoi), Dorcas
Kedogo (Vihiga women representative), Daniel Maanzo (Makueni), Benjamin
Langat (Anamoi) and Mary Keraa (Kisii women representative).
Mr Midiwo said the fast-growing betting and
gambling industry in Kenya has attracted a lot of public interest in the
recent past.
He said betting companies like SportPesa, Elibet,
Betway, Betin Kenya and Mcheza among others are now easily available via
online and mobile platforms despite the industry facing a number of
challenges including insufficient regulatory and institutional
frameworks.
“Deeply concerned ...of proliferation of betting
and gambling activities and attendant negative impacts, also cognisant
of claims of tax evasion, tax avoidance and money laundering in some of
the betting, gaming and casino businesses…this House resolves to
establish a select committee to inquire into the activities of betting
and gambling industry with regard to tax compliance, claims of financial
impropriety …and report back to the House in 14 days,” Mr Midiwo said
Wednesday while giving notice of the motion.
Mr Midiwo sought to clarify that the team will not
encroach on the functions of the 47 County Governments which have
constitutional mandate to regulate the activities of betting and
gambling.
“Although the Fourth Schedule of the Constitution
has devolved the functions of betting and gambling to the 47 county
governments, Articles 95(2), 189(2) and 191(1) and (2) of the
Constitution allow the national government, through Parliament, to
resolve issues of concern to the people and pass law to ensure
uniformity of action across the country,” he said
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