‘Disregard attacks on KGL by lotto coys’
The Greater Accra branch of the Association of Lotto Marketing Companies (ALMCs) has called on the general public to disregard claims made against KGL by a splinter group.
The Association said that the issues being raised by the splinter group are untenable, because measures were being put in place so that the LMCs continue to be in business.
The members of the group said their policy was to help the National Lottery Authority (NLA) to promote policies and programmes that would ensure an integrated growth where the Authority would grow together with all its stakeholders, including all the LMCs without any hindrance, and that anything that would undermine this agenda would not be countenanced.
Yesterday, the LMCs called on the government to revoke the licenses of a private lotto company, KGL Group.
According to the LMCs, the activities of KGL are collapsing the lotto industry, hence, the call for a revocation of its license.
Mr Kwaku Antwi-Boaou, Executive Member of Interim LMCs, who addressed the media at a press conference, said people want Ghanaians to believe it is ‘Banker-to-Banker’ that is collapsing the lottery business, but that is not so.
He said that the shady deal that the National Lottery Authority (NLA) signed with the KGL is what is collapsing the industry.
“We are aware of the menace of Banker-to-Banker, but that’s not what is collapsing our businesses, it’s the KGL that’s collapsing our business.”
Mr Antwi-Boanu explained that since the emergence of KGL, the NLA had gone down to the extent that it was not able to pay its agents the commission it used to pay them.
“Since the emergence of KGL, their sales have seen a downward trend. NLA is gone down to the extent that first, we were getting our commissions between the first and second week of the month, but now, they wait till 23rd-24th before they pay us. This is because there is no money there.”
But in a statement jointly signed by Andrew Ofori Kwarteng, Regional Secretary, and James Bastine, Financial Secretary of ALMCs, said that the major problem confronting the NLA and the LMCs was rather the massive encroachment being perpetrated by the Banker-to-Banker operators, their agents, and writers who have covered 75% of NLA market for so many years with impunity, without paying anything to the NLA.
“We wish to state in clear terms that KGL is not the one destroying the business of Lotto Marketing Companies, but rather the increasing operations of Banker-to-Banker lottery.
“Even now that they claim to have obtained some licenses, which seems to be under some suspicious terms, what they are paying to the NLA can be described as miserly donations, which is nothing to write home about as compared to what KGL has paid to the NLA for only one year, but is not making ugly noises like them. The modus operandi of the Banker-to-Banker is such that if care is not taken, the NLA would completely collapse.”
The ALMCs continued that the nefarious activities of the Banker-to-Banker against the NLA compelled the Authority to introduce the electronic sales (*959# powered by KGL) for the 5/90 game, which is the most popular product of the Authority among others.
They indicated that KGL Technology Limited was also a lotto marketing company, which has been granted a license by the Board of the NLA under the lotto Act 2006 (Act 722) to operate online lotto, so, therefore, it is permitted by law to operate as such.
They, therefore, called on the government, the NLA, and the media not to pay any attention to this group, known as Concerned Lotto Marketing Companies.