The National Lottery Authority (NLA) has taken exception to media reports that it has an 11-year contract with KGL Technology Limited.
The NLA management’s reaction which was contained in a news release signed over the weekend said, “In our estimation, the publication only presents manufactured lies, outright fabrications and it does not represent the true account of the contract between NLA and KGL Technology Limited.”
Continuing, the statement stated that “it is also not true that the gross revenue sharing between NLA and KGL is 25% and 75% respectively,” adding that “there is no such agreement existing between NLA and KGL Technology Limited.”
According to the NLA, some sections of the media have been attacking the authority without ascertaining the bare facts, saying that “not seeking credible information will continue to result in the churning out of untruths,” adding “the NLA management doesn’t want to believe that some media entities are nurturing a mischievous agenda against NLA and KGL.”
It said those behind the publications should realise that 5% of KGL’s revenue will have to be spent on CSR.
NLA the statement indicated that, it is also aware KGL is in talks with the Minister of Tourism, Arts and Culture, Dr. Awal Mohammed, to sign a GH¢10 million Sponsorship of Tourism and Traditional Sites.
“The NLA is also aware about talks between KGL and the Minister of Sports for the sponsorship of Black Stars AFCON 2022 and other sporting events.
“The strategic partnership between KGL Technology Limited and NLA is a game-changer to the revenue mobilisation efforts of NLA. It would never cripple the NLA financially as was reported,” the statement said.
The financial challenges that were encountered by NLA, according to the statement, were largely due to illegal live lotto draws of Alpha Lotto Limited on GTV, illegal operations of 5/90 Short Code by Alpha Lotto Limited, illegal high commission of 30-40% paid by Private Lotto Operators as against the 20% standard commission for the lottery industry and the shortage of Thermal Paper Rolls for the accredited Lotto Marketing Companies of NLA.
The statement said KGL Technology Limited and all other companies licensed by the NLA do not conduct their own independent parallel Lotto Draws, especially on television, except Alpha Lotto Limited, and the statement said NLA is taking the necessary measures to deal with the breach.
“The main purpose and existence of NLA is all about Lotto Draws and NLA can never surrender such functions to Alpha Lotto Limited or any other Private Lotto Operator/Agent or collaborator,” said the statement.