Governors fight to gain control of casino trade

What you need to know:

  • The Fourth Schedule of the Constitution assigns the registration and management of public entertainment, including betting, casinos and other forms of gambling, to county governments.
  • It mandated the role to the Betting Control and Licensing Board and advised casino operators to ignore county notices purporting to license them.
  • “It is clear that the TA and Betting Control and Licensing Board are acting in bad faith and deliberately frustrating the objects of devolution,” Mr Ruto said.

Governors are fighting for control of casinos, betting and other gambling business in the counties.

They said a decision by the Transition Authority to wrest control of the sector from the counties would deprive them of revenue.

In a statement yesterday, Council of Governors chairman Isaac Ruto accused the National Government of contravening the Constitution by revoking counties’ mandate to take up the function.

“Article 6 (2) of the Constitution is clear that governments at the national and county levels are distinct. Each level should respect the other in the performance of functions,” the statement, also signed by Garissa Governor Nathif Jama Adam who chairs the council’s trade and investment committee, said.

The Fourth Schedule of the Constitution assigns the registration and management of public entertainment, including betting, casinos and other forms of gambling, to county governments.

However, in an earlier notice, the Interior and Co-ordination ministry removed the function of licensing casinos from the counties, saying, this could be a security threat.

SECURITY RISK CLAIMS

It mandated the role to the Betting Control and Licensing Board and advised casino operators to ignore county notices purporting to license them.

However, Mr Ruto, who is also the Bomet governor, said no evidence has been produced to back the security risk claims.
“In any case, the function has been devolved and it is up to the counties to enact appropriate laws for the way they will function,” he said.  
“It is clear that the TA and Betting Control and Licensing Board are acting in bad faith and deliberately frustrating the objects of devolution,” Mr Ruto said.
Mr Adam said counties had included casino licences in their budget estimates. “The law allows counties to make budgets, which factor in revenues to be collected.”
He directed casinos and betting operators to ignore directives from the National Government and seek licences from county administrations, warning, “Licences or permits obtained from the board will not be recognised because the function has been devolved.”