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Business News of Monday, 4 August 2003

Source: Business and Financial Times

Government Bows To Pressure

Government has withdrawn from Parliament, the Gaming Bill, which sought to place a ban on private lottery in the country. Though no reasons were given, sources at Parliament say the withdrawal was due to the stiff opposition by private lotto operators.

The Finance Ministry however rejects the claim that government was under pressure from stakeholders to withdraw the bill, but says the withdrawal was due to some flaws it has detected.

Operators of private lotteries have contested certain aspects of the bill, which suggests that majority of operators have accumulated huge debts in corporate tax and VAT to the tune of ?7.3 billion, while others have no tax records, whatsoever.

They have challenged the Finance Minister to name members who do not have tax records. According to them, they will not be in a position to deny or confirm whether the proliferation of private lotteries has led to a reduction in the revenue base of the Department of National Lotteries, but stated that their presence in the lotto business is to complement the efforts of DNL.