By Ghana News
Copyright ghanamma
The Chamber of Indigenous Business and Investors (CIBI) has strongly criticised The Fourth Estate and the Media Foundation for West Africa (MFWA) over what it describes as an unethical and misleading investigation into the National Lottery Authority’s (NLA) licencing arrangement with KGL Technology Limited.
In a statement signed by its Executive Director, Mr. Alistair Nelson, the Chamber accused the Fourth Estate of sensationalism and gross misrepresentation of facts regarding the NLA-KGL deal, particularly claims that a GHS3 billion lottery business was handed over to KGL for only GHS170 million annually.
CIBI argued that the so-called “contract” between NLA and KGL is not a procurement contract, but a licencing agreement, issued legally by the NLA Board under the National Lotto Act, 2006 (Act 722) and its accompanying regulations.
“It is very misleading for the Fourth Estate and MFWA to conclude that the NLA-KGL deal is a contract. That is very unprofessional,” the statement read.
Addressing the claim that KGL was given a GHS3 billion business, the Chamber said historical data from NLA shows that the Authority had never generated GHS3 billion annually since its establishment.
According to the CIBI, the total revenue generated by the NLA over eight years (2013–2020) was approximately GHS2.7 billion, with GHS1.3 billion paid out in winnings during that period.
The statement also defended the value of the KGL arrangement, pointing out that between 2019 and 2024, KGL’s annual payments of GHS170 million to the Consolidated Fund far exceeded the amounts paid by the NLA itself between 2013 and 2020. “In fact, the deal with KGL is one of the best the NLA has had,” the Chamber said.
CIBI further noted that KGL bears all operational and financial risks involved in the 5/90 USSD lottery game — including infrastructure costs, prize payments, marketing, and taxes — with no state financial input.
The statement also dismissed claims of monopoly, explaining that exclusive USSD codes are standard practice for all licensed lottery operators, with other companies also operating exclusive codes for specific games.
In conclusion, the Chamber called the Fourth Estate’s investigation “bogus” and “malicious,” urging the media to uphold higher standards of accuracy and professionalism, especially when dealing with technical and commercial matters involving state institutions and indigenous businesses.
