The day MPs were banned from gambling dens

Isinya Police boss Steve Wenda, points at more than 100 betting machines that were impounded during a joint operation between the Kajiado County Government askaris and the police. [Peterson Githaiga, Standard]

In the early 1980s, the betting bug bit politicians. The ‘virus’ rapidly spread to government offices, prompting an executive order to counter it.

Daniel Arap Moi, the then President, had had enough of it. With “immediate effect”, he banned public servants, MPs and other leaders from setting foot in casinos to gamble.

“No good thing can be expected from leaders and other people who go gambling at the casinos. Leaders must keep the lead and they cannot do this by going to casinos,” he said.

President Moi said the swift decision was meant to save families from ruin.

He observed that after having a bad day at the casinos, the gambling leaders projected their woes on their families. “They go home and start messing their families as a cover-up,” he was quoted as saying in one of the local dailies. “We want decent families, free from all social evils such as gambling,” he added.

The former head of State also did not believe that one could earn a decent living from gambling.

Today, he would be surprised by the number of young smartly dressed men trooping into Nairobi’s betting shops every morning hoping lady luck would smile at them.

“I want people who earn a genuine living and not gamblers. Gamblers are idlers,” he said.

Mr Moi wanted leaders to focus on the problems plaguing wananchi instead of spending all their time in casinos.

“We want leaders to concentrate their efforts in listening to and understanding the problems of wananchi with a view to solving them. They cannot do this if they spend most of their time in casinos,” he said.

 

LOSS OF MAN-HOURS

The then chairman of the Betting Control and Licensing Board (BCLB) Samson Muriithi also raised concerns over the number of hours civil servants wasted away in gambling dens.

Mr Muriithi said that although the State earned some revenue from taxes levied on casinos, “it did not consider betting a good occupation for civil servants.”

He observed that betting could “adversely affect” their incomes and also interfere with the time they needed to serve wananchi.

“No matter how rich one is, the casinos demand longer hours which naturally interfere with one’s performance as a civil servant,” one newspaper quoted Muriithi as saying in 1988.

The BCLB boss said that some government officials were hitting casinos very late in the night.

“One will be required to sleep up late and this will result in a loss of man-hours,” he said.

Mr Muriithi also did not agree that gambling should be allowed as means of earning a legitimate livelihood.

As the 90s beckoned, President Moi issued a directive that gambling in the country be conducted only in foreign currency.

The Central Bank of Kenya then issued new guidelines on gambling that saw casinos ditch Kenyan currency for US dollars.

The dollars would be used to buy gambling chips (plastic coins) and official amusement coins in casinos. This was in 1989. The East African Standard estimated that about 10 casinos were operating in Kenya with about 2,500 workers at the time.

Trade unionists were worried that some 1,500 employees were likely to be laid off following the ban. Presently, technology shifts have led to a betting craze in the country. Alexa, which ranks websites worldwide, places betting firm Sportpesa’s website among the top ten most visited websites in Kenya. Access to smartphones has also contributed to a rise in gambling in the country.

Estimates last year showed that the Kenya Revenue Authority made Sh4.7 billion from gambling since June 2014.

Last year, stiff regulations were passed on the gambling industry.

Gambling firms are now taxed 35 per cent of their gross gaming income, which analysts say could lead to loss of about 10,000 jobs.

The Association of Gaming Operators in Kenya has been lobbying to ease the regulations, saying the government was misled into implementing a blanket tax without considering the various sub-sectors that make up the industry.

The association says that illegal gaming is likely to mushroom across the country.

Pambazuka National Lottery closed earlier this year citing a tough operating environment in light of the high taxes imposed.

Sportpesa also suspended a Sh600 million local sports sponsorship deal due to the high taxes.

There are 50 registered and licensed casino operators in the country and 25 bookmarkers, data from BCLB shows.