The Lagos State Lotteries and Gaming Authority has directed telecommunications operators and value-added service providers facilitating gaming in Lagos to verify the licensing and tax-compliance status of the businesses using their platforms within 30 days.
Also, the public notice requires transaction records and directs providers to stop onboarding unauthorised gaming operators and suspend facilitation of services without the required authorisation.
This makes licensing verification an operational issue for distribution partners as well as gaming businesses. Operators relying on USSD, SMS, short codes, mobile applications or carrier billing should establish what evidence their partners need to continue providing services.
Telecoms Approval Does Not Replace Gaming Authorisation
The authority says approval from the Nigerian Communications Commission for telecommunications or VAS activities does not authorise lottery, betting or gaming services in Lagos.
Its notice cites the Supreme Court’s 22 November 2024 judgment on state competence over lotteries and games of chance. The requirement applies to gaming activity reaching Lagos customers through telecommunications channels, according to the authority.
For affected businesses, the practical distinction is between permission to provide communications infrastructure and authorisation for the gaming activity delivered through it.
Historical Records Will Support Tax Assessments
Providers must submit transaction, carrier-billing and revenue-share records covering 22 November 2024 to the notice date. The authority says verified data will support assessments of outstanding taxes and other fiscal obligations, including applicable penalties and interest.
The notice also requires affected gaming operators to regularise their licensing position and settle assessed arrears within the compliance period. Operators and intermediaries should therefore reconcile the legal entities, services and financial records involved.
Incomplete records could complicate verification even where a business holds relevant authorisation.
Directors Are Included in the Compliance Warning
The notice highlights potential liability for directors and principal officers where a company offence involves their consent, connivance or neglect.
The authority says it will issue statutory notices and pursue available enforcement measures after the compliance period where it identifies unlicensed or non-compliant activity.
Those statements describe the announced enforcement approach. They do not establish that a particular operator has committed an offence or already lost access to telecommunications services.
iGW Market Relevance: Verify the Distribution Chain
Our AMR Platforms and Partnerships question is whether each gaming service reaching Lagos customers can demonstrate the authorisation and records its distribution partners require.
Teams should connect licence verification to contracts, billing data and escalation responsibilities. The immediate decision is who owns that evidence and how it will be assembled across their commercial and compliance teams within the compliance window.
Source: LSLGA public notice – PUNCH News
