Kenyan Betting company SportPesa have been forced to withdraw their business from Kenya after an ongoing dispute with the authorities in the latest happenings in the gambling industry.
With the industry under increased scrutiny and Labour promising to outlaw gambling logos on football shirts, SportPesa say they have taken the decision to quit the African country because of the hostility of the Kenyan government.
Along with several betting companies, SportPesa had its licence suspended in Kenya after the government claimed online betting outfits weren’t doing enough to curb the rise of gambling addiction among young people and also not paying enough tax.
Sportpesa was the main sponsor of the Kenyan Premier League,Gor Mahia,AFC Leopards as they also supported other sports in the country.
A SportPesa spokesperson said: ‘SportPesa is disappointed with the decision by the Kenyan legislature to impose a 20% excise tax on all betting stakes.
‘Until such time that adequate taxation and non-hostile regulatory environment is returned, the SportPesa brand will halt operations in Kenya.
‘SportPesa’s operational closure in Kenya will not impact our business operations in other markets or our global sponsorships.’
It comes after Liverpool and Chelsea were forced to suspend their sponsorship deals with another major betting firm operating in Kenya, 1XBET, amidst questions about the ethics of partnering with companies working in a country with a huge rise in gambling addiction.
Tottenham launched an inquiry into their African betting partnership with 1XBET after The Mail on Sunday drew attention to the company’s suspended licence in Kenya.
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This is the enormous billboard using Tottenham’s star players to promote 1XBET in Nairobi
Spurs terminated the deal last month after the UK Gambling Commission suspended 1XBET’s operations in Britain after revelations that some of its offshore sites took bets on cock fighting, children’s sports and used pornography.
Liverpool and Chelsea were warned by the Gambling Commission that publicising their new betting partner in the UK would thus be breaking the law. 1XBET have agreed to suspend publicity while the clubs investigate further.
1XBET have said they are investigating how their brand came to be promoted on prohibited sites and that they have temporarily halted advertising in the UK.
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