Alex Dadey
The Director-General of the National Lottery Authority (NLA), Mohammed Abdul-Salam, has stated that the Presidency is supportive of the contractual agreement between the NLA and KGL Technology Limited, as it falls within the NLA’s legal mandate.
Speaking on Channel One TV’s Face to Face on Tuesday, Mr. Abdul-Salam said the agreement between the two entities has gone through several engagement involving key institutions including the Ministry of Finance, the Attorney-General’s office and the office of the President.
He said following a letter written by the Board of the NLA to the Attorney General’s office for advice on the contract, the Presidency subsequently directed the formation of a committee to review the agreement for possible renegotiation.
“The presidency has equally issued a directive indicating that it was within the NLA’s mandate to enter such agreements with KGL and others for the purposes for providing regulation for the industry.
“Except that in terms of the revenue share, which we have always stated, the NLA needed to gain much more from that contractual agreement than it is presently having. The state stands to benefit, negotiations are currently ongoing to improve the share of the state in terms of what monies come to us,” Mr. Abdul-Salam stated.
Mr. Abdul-Salam, however, said that since the committee completed its work, the Presidency has issued a directive affirming that the NLA has the mandate to enter into agreements with private partners like KGL for regulatory and operational purposes in the lottery sector.
He mentioned that concerns remain over the revenue-sharing arrangement, but stated that the NLA believes the State should derive greater benefit from the contract than it currently does.
“We initiated processes, engagements which had to even go as far as the Ministry of Finance and even to the Presidency. We had to be directed to involve the AG. Initially the NLA through the board wrote to the AG to give its position regarding the contractual agreement between the KGL and NLA.
“Then we had the Presidency directing the formation of a committee to do a review of the contract and all that. Those process have been walked, there is a completion” he added
The Director-General further said negotiations are ongoing following the review process, with the aim of improving the financial returns to the State and ensuring a more favourable revenue structure.
A Daily Guide Report