Nigerian gaming regulators express concerns over 15-year concession for revenue assurance platform

Gaming regulators from 23 Nigerian states have voiced apprehensions regarding the recent decision by the Federal Executive Council (FEC) to grant a 15-year concession to Messrs Yuan Resources Limited for the implementation of a revenue assurance platform within the lottery and gaming sector.

The concession awarded to Messrs Yuan Resources Limited involves the deployment of a revenue assurance platform through a Public-Private Partnership (PPP) model specifically tailored for the lottery and gaming industry. This 15-year concession signifies a significant development in the sector.

The decision, finalized on May 14th and 15th, 2024, operates within the parameters of the Design, Finance, Build, Operate, and Transfer (DFBOT) arrangement.

The Federation of State Gaming Regulators (FSGR) has raised concerns over potential legal implications stemming from this decision. Emphasizing the constitutional authority vested in state houses of assembly to oversee lottery and gaming operations, the FSGR cites Section 4(7) of the 1999 Constitution (as amended) which grants states the legislative power over matters not listed in the Exclusive Legislative List.

FSGR 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 issues its ruling. FSGR also eferences a previous Supreme Court ruling in the case of Attorney General of Lagos State v. National Sports Lottery Limited, which affirmed the authority of State High Courts to regulate lottery operations within their jurisdictions.