Doha – Morocco’s Budget Minister Fouzi Lekjaa launched a strong criticism against Russian sports betting operator 1XBET, highlighting concerns over currency drain and irregular activities during a meeting of the Finance and Economic Development Committee at the House of Representatives on Friday.
Lekjaa emphasized that these betting companies are siphoning billions in foreign currency while conducting “irregular” activities in Morocco. He drew a stark contrast with the regulated gaming sector in Morocco, where national companies properly fulfill their tax obligations.
The minister revealed that 1XBET is currently sponsoring Raja Club Athletic and had attempted to secure sponsorship deals with several national teams, including the Royal Moroccan Football Federation. However, Lekjaa stated that the government’s position was clear: rejection.
Addressing the institutional relationships with such companies, Lekjaa stressed the necessity for proper regulation, indicating that these entities must maintain a registered office, official documentation, and accounting records to ensure transparent collaboration in compliance with legal and administrative requirements.
Speaking about online gambling amendments approved by the Council of Advisors, proposed by the General Union of Moroccan Enterprises, Lekjaa called for collective responsibility in countering these companies’ actions, particularly noting 1XBET’s reach into international institutions as the official sponsor of the African Football Confederation.
The minister highlighted that the primary concern lies with foreign companies rather than national operators, who consistently contribute approximately MAD 2.5 billion ($250 million) in taxes.
In his interaction with parliamentarians, including Abdellah Bouanou, head of the Justice and Development parliamentary group, Lekjaa emphasized the need to regulate online gambling that operates in foreign currencies, pointing out the risk of tax evasion.
The TelQuel investigation reveals deeper issues
A comprehensive investigation by TelQuel has uncovered that 1XBET operates in Morocco without any legal presence, as confirmed by a company representative via email. The operator began accepting bets from Moroccans around 2019, utilizing multiple mirror sites including Melbet.com and betwinner.com.
The investigation revealed that 1XBET signed with Raja Casablanca in September 2022 a three-year sponsorship contract worth approximately MAD 10 million ($1 million) annually. The company also expanded into basketball, partnering with Association Sportive de Salé in November 2022.
According to the Moroccan Games and Sports Authority (MDJS), 1XBET’s operations are illegal in Morocco. MDJS chief Younes El Mechrafi confirmed in a letter to media partners that the MDJS holds a monopoly on organizing and receiving sports bets throughout Moroccan territory, based on a 2016 agreement with the Finance and Sports departments.
The investigation found that 1XBET has integrated Moroccan payment solutions throughout 2022, including services from Al Barid Bank, Attijariwafa Bank, CIH, CFG Bank, and BMCE Bank. A source at Bank Al-Maghrib noted that the operator requires special licensing from the Foreign Exchange Office for foreign currency transactions.
The High Authority for Audiovisual Communication (HACA) previously launched an investigation into illegal advertising by 1XBET, with coordination involving various authorities including SNRT, the Ministry of Finance, and the Foreign Exchange Office.
The presence of 1XBET raises significant concerns about money laundering, sports corruption, and gambling addiction among youth, according to a United Nations Office on Drugs and Crime document cited in the investigation.
