President John Mahama has directed the Finance Minister, Dr Casiel Ato Forson, to subject the contract between the National Lottery Authority (NLA) and KGL Group to comprehensive review.
This is contained in a letter sighted by 3news, written by the Secretary to the President, Callistus Mahama.
“I refer to the various publications by The Fourth Estate and to the preliminary consultations held with the Honourable Attorney-General and Minister for Justice, as well as the Honourable Minister for Finance, on matters arising from the contract between the National Lottery Authority (NLA) and KGL Technology Limited.
His Excellency John Dramani Mahama, President of the Republic, has directed, with immediate effect, that the said contract be subjected to a comprehensive review and, where necessary, renegotiation to ensure complete protection of the public interest, value for money, and strict compliance with applicable laws, regulations, and government policy,” parts of the letter read.
President Mahama further directed that “The review shall, among others: a. Examine the legal basis, scope, duration, and financial terms of the contract; b. Assess revenue-sharing arrangements, fees, commissions, exclusivity provisions, and any contingent liabilities to the State; c. Determine compliance with the Constitution, the Public Procurement Act, the National Lottery Act, and any relevant approvals; d. Evaluate performance obligations, transparency requirements, data ownership, and audit rights; e. Identify any clauses that unduly prejudice the State or constrain regulatory oversight.”
he urged all parties to cooperate fully with the review team and provide unfettered access to contracts, addenda, correspondence, financial records, and operational data as may be required.
“The Attorney-General, in collaboration with the Minister for Finance and the Minister responsible for the National Lottery Authority, is to constitute a joint technical team to undertake this exercise and submit recommendations to His Excellency within a specified timeframe.
Where the review establishes grounds for renegotiation, the team is to ensure that revised terms secure improved fiscal returns to the State, strengthen governance and accountability, preserve regulatory authority, and align the arrangement with government policy and best international practice,” the President stressed.
Per the Fourth Estate’s investigations, in 2024, the NLA signed three separate licensing contracts with KGL. One is a 15-year licensing deal for KGL to exclusively operate NLA’s most prized 5/90 lottery online and via USSD mobile short code in Ghana.
The other two are 10-year licenses granted to KGL to exclusively operate NLA’s 5/90 lottery online and via USSD mobile short code in Nigeria and Cote d’Ivoire, respectively.
