SportPesa, the number one sports betting operator in Kenya has been urged to reapply for a new sports betting license. Only on this condition, the company will be allowed to proceed with providing its services in this African country.
Peter Mbugi, the Betting Control and Licensing Board acting director told that the Kenyan betting operator requires applying for a license once again. The operator needs to do this to continue its work after its operations were frozen in July.
The official stressed that the BCLB would assess the operator’s license application soon as they do this with others.
As a matter of fact, SportPesa turned out to be one of 27 betting companies whose licenses were frozen by the country’s watchdog because of reportedly unpaid taxes. Eventually, the dispute centered on the cabinet’s stance that the 20% tax on players’ gains included the stakes returned to the player – thus making it a tax on betting turnover. Instead, operators ascertained that the tax applied only to actual gains.
Previously, SportPesa revealed that its digital relaunch was inevitable after agreeing on terms with the Kenya Revenue Authority. However, Thursday’s announcement drops a hint that sports bettors might require waiting a bit longer before SportPesa resumes its operations.
The suspended operators had to suspend their payment channels on the Kenyan government’s order. Despite a number of legislators came up with an offer to help, the country’s cabinet kept to its stance. Betway revealed in August that its license in the African country had been reinstated right after they accepted the 20% tax imposed by the government.
Meanwhile, the government explained that such strict measures are required to protect young Kenyans from one-eyed betting operators.