Uganda’s National Lotteries and Gaming Regulatory Board (NLGRB) has intensified its nationwide crackdown on illegal gambling machines, an operation that authorities say has already cost the government at least Shs350 million in lost revenue.

The enforcement drive, dubbed Operation Mashine Haramu, has led to the confiscation of more than 6,000 illegal gambling machines and the arrest or detention of scores of suspects, including several foreign nationals.

According to the NLGRB, the operation targets an organized cartel involved in the illegal manufacture, distribution, and operation of slot machines across the country. Many of the suspects arrested are Chinese nationals accused of evading mandatory gaming license fees and operating without regulatory approval.

In a statement issued on December 14, the NLGRB revealed that a joint operation with the Uganda Police uncovered an unlicensed gaming machine manufacturer in Bukolobe Village, Kamuli District, following intelligence-led surveillance.

The suspect, identified only as Chen, is a Chinese national accused of operating without a license from the Board. Acting on a court order, enforcement teams conducted coordinated searches at two locations in Bukolobe and Bunangwe.

Items recovered included 13 fish tables, three slot machines, 32 television screens, 17 boxes of spare parts, and five generators. Authorities said the suspect remains at large as investigations continue to identify and arrest other individuals linked to the operation.

The Kamuli operation followed earlier enforcement actions in Kampala and other regions. In one raid in Lungujja, Kampala, officers recovered 399 slot machine motherboards, 15 complete Chinese slot machines, and two sacks of spare parts from a workshop belonging to Asuman Wadeya, a well-known gaming machine technician.

Another key suspect, identified only as Ssentongo, reportedly fled his premises overnight after learning of the impending crackdown.

In September, two additional suspects — Patricia Mwesigwa, a bar attendant, and Rajabu Kavuma Kitakule from Masaka City — were arrested and charged at Makindye Court for operating gaming machines without licences, contrary to the Lotteries and Gaming Act, Cap 334.

Similar operations in the Busoga region and Lira City resulted in the seizure of 286 illegal machines.

Court records seen by New Vision Online show that several illegal manufacturers and suppliers have already been convicted. These include operators linked to Fujian Industries in Nkoowe, run by two Chinese nationals, who were fined Shs800,000 or sentenced to three months’ imprisonment.

Other offenders received fines ranging from Shs300,000 to Shs3.5 million, depending on the scale of their involvement.

NLGRB Chief Executive Officer Dennis Mudene Ngabirano said the launch of Operation Mashine Haramu marks a shift from sporadic crackdowns to sustained, intelligence-driven enforcement.

“This operation signals a new phase of visible and continuous enforcement, supported by the Uganda Police and investigators from the Criminal Investigations Directorate,” Ngabirano said.

He added that, beyond confiscation, the Board has also secured court orders to destroy illegal machines, working with the National Enterprise Corporation at Luwero Industries to prevent reuse or resale.

Ngabirano revealed plans to further strengthen oversight through digital licensing systems and the integration of licensed operators into a National Central Electronic Monitoring System (NCEMS) to enhance transparency and real-time monitoring.

The Board has also opened regional offices in Gulu, Mbale, and Mbarara to decentralise enforcement and compliance monitoring.

Members of the public are encouraged to report illegal gaming activities through the NLGRB’s toll-free line 0800 285 800, social media platforms, or by verifying licensed operators on the Board’s official website.

Despite the crackdown, Uganda’s gaming sector has experienced rapid growth. Finance Ministry data shows annual gaming revenue rose from Shs50.6 billion in 2019/2020 to Shs323 billion by June 2025, with industry turnover expanding from Shs500 billion to Shs8 trillion over the same period.

Ngabirano emphasised that while revenue growth is important, the Board’s primary mandate remains protecting citizens from the social and health risks associated with unregulated gambling.

“Our major focus is not just revenue collection,” he said. “It is about safeguarding Ugandans from the harmful effects of illegal and unregulated gaming.”