Business

Opinion: KGL makes millions for sustainability of NLA, and uses its profits to support national development

By Wilberforce Asare

Copyright asaaseradio

Opinion: KGL makes millions for sustainability of NLA, and uses its profits to support national development

Integrity and credibility are built on consistency, but unfortunately, it seems our colleagues at Fourth Estate and Media Foundation for West Africa are gradually undermining their own integrity and credibility in relation to their investigative work about the NLA-KGL deal, and I say so due to these facts:

On 19 September 2025, Fourth Estate and Sulemana Briamah claimed that NLA has exchanged a prime business for a peanut of GHS 170 million from KGL for the year 2025.

On 9 October 2025, Fourth Estate and Sulemana Briamah indicated that NLA received GHS 157.6 million from KGL for 2024, and surprisingly, today, 16 October 2025, Fourth Estate and Sulemana Briamah are misinforming their gullible readers that “KGL makes millions in profit while NLA makes zero”.

The question many intelligent Ghanaians are asking Fourth Estate and Sulemana Briamah is that, if, per their own narrative published on 19 September 2025 and 9 October 2025, if NLA received GHS 157.6 million in 2024 from KGL, and is to receive GHS 170 million from KGL in 2025, then on what basis is Fourth Estate telling Ghanaians that KGL makes millions in profit while NLA makes zero?

So, according to the mathematical brains of Fourth Estate, GHS 157.6 million (2024) + GHS 170 million (2025) equals ZERO PROFIT for NLA?

In total, NLA would obtain GHS 327.6 million (GHS 157.6 million + GHS 170 million) from KGL for the financial years 2024 and 2025.

This amount of GHS 327.6 million paid by KGL to NLA will definitely increase if the monies NLA received from KGL in 2019, 2020, 2021, 2022, and 2023 are added.

Also, on Monday, 13th October 2025, Fourth Estate published that, “in 2019, for the first year of the NLA-KGL deal, NLA’s PROFIT for the State reduced to GHS 17 million”. So, if NLA could make a profit of GHS 17 million for the State in the first year of the NLA-KGL deal in 2019, then why is Fourth Estate turning 360 degrees to say that “KGL makes millions in profit while NLA makes zero”?

KGL profit in 2024

For the avoidance of doubt, KGL makes a profit of GHS 70 million while paying GHS 157.6 million to the NLA. This data clearly shows that NLA made more money than KGL earned in profit in 2024.

A fact check from the Ghana Revenue Authority (GRA) also indicates that KGL paid taxes to GRA in 2024, an amount higher than the profit earned by KGL in 2024.

By the end of 2025, both the National Lottery Authority (NLA) and Ghana Revenue Authority (GRA) shall receive payments from KGL which would be eventually higher than the profit of KGL for 2025.

At the beginning of their “JANDAM” investigative journalism, Fourth Estate lied that KGL was controlling a GHS 3 billion prime business. Still, today, 16th October 2025, the same Fourth Estate and Sulemana Briamah are telling us that, “KGL makes millions in profit while NLA makes zero”.

What kind of inconsistency is that? How can a “billionaire KGL,” according to Sulemana Briamah and Fourth Estate on 19th September 2025, be now instead of “making millions as profit” instead of making billions as profit?

This should let the gullible readers of Sulemana Briamah and Fourth Estate understand that they are being “fooled” by Jandam Journalism.

DEBTS of NLA in the absence of NLA-KGL deal

From the audited accounts of NLA below were the DEBTS of NLA from 2012-2019:

2012 – – – GHS 16, 754,642.18

2013 – – – GHS 56, 917, 633.63

2014 – – – GHS 11, 597, 177.79

2015 – – – GHS 18, 306, 364.73

2016 – – – GHS 21, 035, 212.20

2017 – – – GHS 14, 601, 385.04

2018 – – – GHS 560, 155.27

2019 – – – GHS 26, 624, 188.53

Based on the aforementioned debts of NLA from 2012 to 2019, would it be appropriate and justified to blame the NLA-KGL deal? Certainly not.

The provisional license for the NLA-KGL deal was signed in November 2019, so the agreement cannot be held responsible for the NLA’s past debts.

NLA began incurring losses long before NLA issued an exclusive provisional license agreement to KGL in November 2019.

The total debts of NLA BEFORE the NLA-KGL deal were around GHS 233, 121, 889.28 million, as accumulated debts, which comprises:

Unpaid Lotto Prizes to winners of the national lotto.
Unpaid Contractors
Unpaid Withholding Tax (Income Tax) to the Ghana Revenue Authority (GRA).
Unpaid SSNIT Contributions.
Unpaid Technical Service Providers (TSP) Fees.
Unpaid Lotto Commission to Lotto Marketing Companies.
Unpaid Provident Fund
Unpaid Staff Union and Association Dues Deductions.

Some of the problems of NLA are:

existing revenue sharing agreement with Technical Service Providers (each receiving 6% on the gross revenue generated by the Authority via Point of Sale Terminals).
25% commission to Lotto Marketing Companies retailing lotto products via Kiosks and Point of Sale Terminals (previously it was 20%).
Illegal lottery operations.
Higher Win-Ratios
No capping on the amount of money used for staking Lotto by the public.

NLA Transfers to Consolidated Fund have nothing to do with NLA-KGL Deal

The NLA’s duty to transfer money to the Consolidated Fund is a political and management decision that has absolutely nothing to do with the NLA-KGL deal.

KGL is responsible for paying its fees to the NLA in accordance with the terms and conditions of its license agreement.

What NLA does with the money paid by KGL is NOT the business of KGL, just like KGL cannot dictate to the Ghana Revenue Authority (GRA) on how it uses the taxes paid by KGL to the State. Would you also blame KGL if GRA is unable to transfer KGL’s paid taxes to the Consolidated Fund?

For the purposes of education, it is tough to even fault the Board and management of NLA if they fail to transfer monies to the Consolidated Fund on monthly basis as stated in Section 32(4) of National Lotto Act, 2006(Act 722) because Section 32(4) of Act 722 can ONLY be fully implemented if Section 32(3) of Act 722 has been fully implemented.

According to Section 32(3) of Act 722, “The Authority shall pay out of the Lotto Account prize monies for winners of National Lotto and commissions to Lotto Marketing Companies licensed by the Authority”. This provision must be satisfied before you can proceed with the implementation of Section 32(4) of Act 722, which states that, “The Authority shall transfer the net balance in the Lotto Account every month to the Consolidated Fund”.

So, what if there is NO net balance in the Lotto Account after the payments of:

Prize monies for winners of the National Lotto as stated in Section 32(3) of Act 722?
Commissions to Lotto Marketing Companies licensed by the Authority as stated in Section 32(3) of Act 722?
Operational and capital expenditure from the Lotto Fund as stated in Section 50 of Act 722?

For political expediency, the NLA mostly robs winners of the national Lotto, Lotto Marketing Companies, Technical Service Providers, and operational and administrative expenditures to transfer money into the Consolidated Fund. For instance, the NLA in:

(a) In 2012, transferred GHS 20 000,000.00 to the Consolidated Fund, yet the Authority was indebted to winners of national lotto, Lotto Marketing Companies, Technical Service Providers, etc., for GHS 16 754 642.18.

(b) In 2013, transferred GHS 25,000,000.00 to the Consolidated Fund, yet the Authority was indebted to winners of national lotto, Lotto Marketing Companies, Technical Service Providers, etc., at GHS 56,917,633.63

(c) In 2014, transferred GHS 11 850 000.00 to the Consolidated Fund, yet the Authority was indebted to winners of national lotto, Lotto Marketing Companies, Technical Service Providers, etc., for GHS 11 597 177.79.

(d) In 2015, transferred GHS 33,270,000.00 to the Consolidated Fund, yet the Authority was indebted to winners of national lotto, Lotto Marketing Companies, Technical Service Providers, etc., for GHS 18,306,364.73

(e) In 2016, transferred GHS 16 000 000.00 to the Consolidated Fund, yet the Authority was indebted to winners of national lotto, Lotto Marketing Companies, Technical Service Providers, etc., for GHS 21 035 212.20.

(f) In 2017, transferred GHS 30 000 000.00 to the Consolidated Fund, yet the Authority was indebted to winners of national lotto, Lotto Marketing Companies, Technical Service Providers, etc., for GHS 14 601 385. 04

(g) In 2018, transferred GHS 33,927,000.00 to the Consolidated Fund, yet the Authority was indebted to winners of national lotto, Lotto Marketing Companies, Technical Service Providers, etc. for GHS 560,155.27

(h) In 2019, transferred GHS 16,962,000.00 to the Consolidated Fund, yet the Authority was indebted to winners of national lotto, Lotto Marketing Companies, Technical Service Providers, etc., for GHS 26,624,188.53.

(i) In 2020, transferred GHS 22,400,495.24 to the Consolidated Fund, yet the Authority was indebted to winners of national lotto, Lotto Marketing Companies, Technical Service Providers, Contractors, Suppliers, etc., for GHS 66,725,129.91.

From the evidence above, based on Facts and Data, it is very clear that, for NLA to transfer monies to the Consolidated Fund in accordance with Section 32(4) of Act 722, there is a need for the NLA to breach Section 32(3) of Act 722. This has always been the case since the enactment of the National Lotto Act, 2006(Act 722).

From 2012 to 2020 (9 years), NLA transferred a total of GHS 209,409,495.24 to the Consolidated Fund, yet within that same period, NLA was indebted to winners of national lotto, Lotto Marketing Companies, Technical Service Providers, Suppliers, etc., for GHS 233,121,889.28.

So, what is the justification for Fourth Estate and Sulemana Briamah to needlessly blame KGL Technology Limited as the cause of NLA inability to transfer money to the Consolidated Fund in accordance with Section 32(4) of Act 722? Completely no basis at all.

And why should NLA necessarily transfer monies to the Consolidated Fund if they haven’t been able to pay winners of national lotto, commissions to Lotto Marketing Companies, Fees to Technical Service Providers, Salaries and benefits of NLA Workers, etc.?

KGL Contributions to the National Development of Ghana

About 50-70% of KGL’s Profits are invested into Corporate Social Responsibility (CSR) and Corporate Social Investments (CSI) across the country to champion national development, and some of the CSR and CSI activities of KGL are as follows:

Construction of multimillion-dollar ultra-modern Mental Health Facility in Kumasi in collaboration with Otumfuo Osei Tutu II.
Face-lift for Accra Psychiatric Hospital.
Support to Akropong School for the Blind.
Donations to Flood Victims at Keta
Democracy Cup initiative by the Parliament of Ghana.
Sponsorship to the Ghana Football Association
Sponsorship to the Ghana Black Stars and other National Football Teams.
Millennium Marathon
Scholarships to Orphans, Needy, and Destitute Children.
Two million Ghana Cedis annually to support NLA Good Causes Foundation.
Three Million Ghana Cedis annually to support NLA-KGL Stabilization Fund.
Refurbishment of NLA’s Draw Studio, Brennan Hall.
Payments of Live Lotto Draws of NLA
Several others not mentioned.

Razak Kojo Opoku (PhD)

Former PR Manager of NLA

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