In a significant development, the Supreme Court has scheduled a hearing for March 13, 2024, regarding a 2008 lawsuit filed by the Attorney General of Lagos State against the Federal Government.
The case revolves around the contentious issue of control and regulation of the gaming and lottery sector.
At a recent sitting, a seven-member panel of Supreme Court justices, led by Justice Kudirat Kekere-Ekun, fixed the upcoming date for the hearing.
The Attorney General of the Federation and the National Assembly are named as the first and second defendants, respectively.
On November 15, 2022, the Attorneys General of 34 other states were joined as defendants.
The legal dispute stems from concerns raised by the Bookmakers Association of Nigeria, which initiated the lawsuit in 2020 to address the challenges of paying multiple taxes and licensing fees to both state and federal authorities.
In a previous ruling on August 15, 2022, the Federal Government, represented by the Nigerian Lottery Regulation Commission and the Nigerian Lottery Trust Fund, secured a victory against Lagos and other states, asserting its exclusive right to legislate on lottery matters.
However, the legal tug-of-war continued as a Lagos State High Court later delivered a judgment supporting the state’s right to regulate the lottery sector, based on the residual list in the constitution.
The current suit before the Supreme Court, marked SC/1/2008, seeks several declarations, including the assertion that lottery is not exclusively within the National Assembly’s legislative purview and that the Federal Government lacks the constitutional authority to regulate lottery operations nationwide.
In anticipation of the upcoming hearing, the Supreme Court panel advised state governments aligned in their interests to present a unified argument to streamline proceedings.
Despite the complex legal landscape, Innocent Daagba, representing the Federal Government, expressed confidence, stating that processes filed since 2020 have been regularized by the court.
Notably, the Supreme Court ordered Jigawa and Kaduna State Governments to resolve issues related to legal representation before the hearing, while Kwara State was absent without legal representation.
The outcome of the March 13 hearing will likely have far-reaching implications for the gaming and lottery sector, providing clarity on regulatory authority and potentially resolving the persistent challenges of multiple taxation faced by businesses in the industry.