Bill to Regulate Gaming Operations Passes Second Reading

By Gloria Essien, Abuja

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The House of Representatives has passed for second reading a bill seeking to create a comprehensive and harmonised regulatory framework for the operation of online businesses and remote gaming that transcend state boundaries and extend beyond Nigeria’s borders.

The proposed legislation titled, “Bill for an Act to Repeal the National Lottery Act No. 7 of 2005 and the National Lottery (Amendment) Act No. 6 of 2017, and to Enact the Central Gaming Bill to Regulate the Operation and Business of all forms of Online and Remote Gaming Across the Geographical Boundaries of the Federating Units and beyond the Borders of Nigeria, Provide for the Conduct of Gaming in the Federal Capital Territory, and enhance Revenue Generation for the Federation and for Related Matters,” was sponsored by the Deputy Speaker, Mr. Benjamin Kalu and six other lawmakers.

Leading the debate on its general principles, Mr. Bamidele Salam informed the House that the legislative proposal to repeal the National Lottery Act No. 7 of 2005 and the National Lottery (Amendment) Act No. 6 of 2017 and enact the Central Gaming Bill aligns with the recent decision of the Supreme Court on the conflict of jurisdiction between the Federal Government and the states regarding the regulation of gaming.

He recalled that the Court clarified that gaming, including lotteries and betting, falls within the legislative competence of states except where it pertains to matters within the exclusive jurisdiction of the Federal Government, such as cross-border or international gaming operations.

Mr. Bamidele Salam

 

This ruling, the lawmaker said underscores the need for a comprehensive legal framework that respects the constitutional division of powers while addressing the realities of modern gaming, particularly online and remote gaming, which often transcend state boundaries.

He said that the Bill provides a clear legal foundation for the conduct of gaming activities within the Federal Capital Territory (FCT), where the Federal Government retains regulatory authority.

 

 

He also said that the Bill aims to improve revenue collection from gaming activities by streamlining taxation, licensing fees, and compliance measures while ensuring transparency, accountability in revenue remittance, and as well promote responsible gaming, prevent gambling addiction, and protect consumers from fraudulent practices.

By harmonising federal and state interests, the lawmaker expressed optimism that the Bill will resolve existing jurisdictional conflicts, provide regulatory certainty, and enhance investor confidence in Nigeria’s gaming industry.

Salam said, “This will ensure clarity in regulatory oversight, prevent jurisdictional conflicts, and promote a well-structured gaming industry that aligns with global best practices.

In line with the recent Supreme Court decision, the Bill provides a clear legal basis for the conduct and regulation of gaming within the Federal Capital Territory, where the Federal Government has exclusive jurisdiction. This will ensure proper oversight, licensing, and compliance mechanisms for gaming operators within the FCT.

“The Central Gaming Bill seeks to establish a comprehensive legal and institutional framework for the regulation of all forms of online and remote gaming in Nigeria. Part I establishes the Central Gaming Commission and its Governing Board (Clauses 1–6), detailing the composition, tenure, and emoluments of board members, as well as the powers of the Board.

Part II (Clause 7) defines the functions and powers of the Commission, which includes licensing, monitoring, enforcement, and the promotion of responsible gaming.

“Part III (Clauses 8–12) provides for the appointment of the Director-General, Secretary, and other staff, along with conditions of service and retirement benefits to ensure operational efficiency. Part IV (Clauses 13–20) contains financial provisions, specifying the funding sources of the Commission, expenditure plans, revenue-sharing mechanisms between the Commission and state regulators, and accountability measures such as annual reports and auditing.

“Part V (Clauses 21–48) regulates online and remote gaming operations, establishing the licensing framework, penalties for unlicensed operations, and requirements for financial reporting. It also mandates the creation of an online gaming central monitoring system and a National Computer Emergency Response Team Platform for cybersecurity. Additionally, this Part outlines restrictions on gaming activities, conditions for appointing gaming agents, and measures for player protection.

“Part VI (Clauses 49–51) provides for offences and penalties related to illegal gaming operations, including enforcement powers such as inspection and seizure.

Part VII (Clauses 52–53) grants the Commission authority to regulate gaming in the Federal Capital Territory (FCT) and ensure compliance with federal gaming laws.

“Lastly, Part VIII (Clauses 54–64) includes miscellaneous provisions such as legal protections for the Commission, indemnity of officers, regulatory powers of the President, and repeal of existing laws. The Bill repeals the National Lottery Act No. 7 of 2005 and the National Lottery (Amendment) Act No. 6 of 2017, ensuring a seamless transition to the new regulatory framework.”

The Bill was thereafter put to voice vote by the Speaker, Mr. Tajudeen Abbas who presided over the session and it was passed.

 

 

 

 

 

Emmanuel Ukoh

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