The Lagos State Lotteries and Gaming Authority (LSLGA) has given network providers and Value-Added Service (VAS) providers 30 days to verify betting platforms operating through their networks and ensure compliance with state licensing and tax requirements.
The directive applies to mobile network operators (MNOs), licensed VAS aggregators, VAS providers and other service providers facilitating lottery, betting and gaming activities in Lagos State.
In a public notice, the Authority warned that facilitating gaming services without the required state licence or authorisation could expose operators and their principal officers to regulatory action under the Lagos State Lotteries and Gaming Authority Law 2021.
NCC Permits Do Not Authorise Gaming Activities in Lagos
The LSLGA clarified that licences or approvals issued by the Nigerian Communications Commission (NCC) do not automatically authorise companies to conduct or facilitate lottery, betting and gaming activities in Lagos State.
According to the Authority, telecommunications operators and technology providers must ensure that the underlying gaming services they support are properly licensed by the relevant state regulator.
The requirement covers gaming services delivered through USSD, SMS, mobile applications, carrier billing, VAS platforms and other telecommunications channels.
The notice follows the Supreme Court’s November 2024 judgment on the division of regulatory powers over lottery and gaming activities in Nigeria. The Authority cited the ruling in reaffirming Lagos State’s regulatory role over gaming activities within its jurisdiction.
Gaming Operators Must Settle Outstanding Taxes
The LSLGA has also directed gaming operators that have offered lottery, betting or gaming services through telecommunications channels since 22 November 2024 to account for and settle outstanding taxes and levies.
The notice states that affected operators must declare their gaming revenue, together with applicable duties, taxes, statutory levies and other fiscal obligations arising during the specified period.
Operators are also required to regularise their licensing status and settle outstanding liabilities before the applicable compliance deadline.
The measure forms part of the Authority’s broader effort to strengthen tax compliance and ensure that companies facilitating gaming activities meet their statutory obligations.
Telecoms and VAS Providers Face New Compliance Requirements
Under the directive, telecommunications operators and VAS providers must take several steps within 30 days of the notice.
These include verifying the licensing status of gaming operators using their platforms, providing transaction and revenue records for the relevant period, and discontinuing services for operators that cannot demonstrate valid licensing or authorisation.
The Authority also instructed service providers to suspend any gaming service that is not properly licensed or authorised.
These requirements place greater responsibility on intermediaries that enable betting transactions, rather than limiting compliance obligations to the gaming operators themselves.
Directors and Principal Officers Warned of Liability
The LSLGA warned that companies and their senior officers could face legal consequences for facilitating unlicensed gaming activities.
The notice refers to Sections 33(3) and 101(5) of the Lagos State Lotteries and Gaming Authority Law 2021, which address offences involving the operation or facilitation of gaming without the required licence or authorisation and the potential liability of company officers.
The Authority advised directors and principal officers of telecommunications companies, VAS aggregators and service providers to exercise due diligence when assessing the gaming platforms using their infrastructure.
It also warned that officers who knowingly allow their platforms to facilitate unlicensed gaming could face enforcement action where the relevant legal conditions are met.
LSLGA Signals Stronger Enforcement
The Authority said it would assess compliance after the 30-day period and issue appropriate statutory notices where it identifies unlicensed or non-compliant gaming operators.
It also called on affected companies to cooperate with regulatory verification and provide the information required to establish their compliance status.
The directive signals a broader push by the LSLGA to strengthen oversight of gaming services delivered through digital and telecommunications infrastructure in Lagos State.
By requiring intermediaries to verify licences, disclose transaction records and suspend unauthorised operators, the Authority is seeking to close gaps in regulatory oversight while improving tax compliance and consumer protection.
Telecommunications operators and VAS providers can contact the Lagos State Lotteries and Gaming Authority through verify@lslga.org or visit lslga.org for verification and further information.
