By Ajibola Adedoye
Gaming regulators from 23 Nigerian states have raised concerns over the
Federal Executive Council’s (FEC) recent decision to grant a 15-year concession to Messrs Yuan Resources Limited for deploying a revenue assurance platform in the lottery and gaming industry.
The decision, made on May 14th and 15th, 2024, comes under a Design, Finance, Build, Operate, and Transfer (DFBOT) arrangement.
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According to the statement signed on Thursday, May 16, 2024, “The Federation of State Gaming Regulators (FSGR) warns that this development might be subjudice, as the Supreme Court is currently handling are slated case, Suit No. SC/1/2008, between the Honourable
Attorney-General of Lagos State and the Honourable Attorney-General
of the Federation”.
According to the statement, “This case seeks to interpret Section 4 (7) of the 1999 Constitution regarding gaming regulation authority in Nigeria .
“The FSG emphasizes the constitutional right of State Houses of Assembly to regulate lotteries and gaming activities. Section 4 (7) of the 1999 Constitution (as amended) grants states legislative power over any matter not included in the Exclusive Legislative List.
“Furthermore, the Constitutions supremacy is underscored by Section
1 (1) and (3), stating that any law in consistent with the Constitution is
void to the extent of the inconsistency.
“Judicial decisions have reinforced this interpretation. For instance, the Federal Court of Appeal in Edetv v. Chagoon (2008) confirmed that pools betting and casino gaming are residual matters, thus falling under state jurisdiction.
“Additionally, the Supreme Court ruling in Attorney General of Lagos State v. National Sports Lottery Limited (2023) upheld that state high courts have the authority to determine lottery operations within their states” the statement stated.
The FSGR however call on the federal government to acknowledge the
constitutional and judicial positions on gaming regulation.
It urges President Bola Ahmed Tinubu, the Senate President, the Speaker of the House of Representatives, and other key officials to uphold the rule of law and suspend any actions related to the concession until the Supreme Court delivers its verdict.
Despite proposing solutions like adopting the South African Gaming
Regulatory Framework to the National Lottery Regulatory Commission
(NLRC), the FSGR has yet to receive a response.
The FSGR’s member states continue to stress the need for federal compliance with the constitutional provisions and respect for state legislative powers to ensure stability in the gaming industry.
The signatories of this open letter include regulators from states such as Abia, Akwa Ibom, Anambra, Bayelsa, Benue, Cross River, Delta, Ebonyi, Edo, Enugu, Ekiti, Imo, Kogi, Nasarawa, Ogun, Ondo, Osun, Oyo, Plateau, Rivers, Taraba, Lagos, and Kaduna.
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