The National Lottery Authority (NLA) has commended KGL Technology Limited, operators of the official short code of the authority’s *959# for a solid partnership and good working relationship.
The authority acknowledged the various roles KGL Technology Limited has played in resolving some financial issues recently, which otherwise would have plunged the authority into some level of crisis.
Key among these issues is the recent financial challenges that were encountered by the authority largely due to High Winning Ratios recorded over a long period of time.
A statement signed by the Head of the Public Relations Unit of the NLA and copies to the media said the Win Ratios were exceeding the sales/revenue generated which brought about some considerable level of liquidity challenges.
It said KGL Technology, a licensed partner company timely offered the authority a life-saving antidote to resolve the situation. KGL Technology Limited is a leading digital online lotto marketing company, assisting the NLA to fully implement its digitalization programme.
The statement set the records straight on a publication dated Wednesday, March 17, 2021, by The Finder newspaper captioned “KGL’s NLA bailout raises questions as six years revenue of NLA shows positive balance”
It said: “We want to state categorically that the publication is misleading, manufactured lies, outright fabrications and never represent the true picture of the financial records at the NLA”.
The statement said in his analysis of the NLA financial records, the newspaper failed to factor the key financial obligations of the authority in his calculations:
It said the obligations are: “Payment of commission to Lotto Marketing Companies over the last six (6) years, Payment of fees to the Technical Service Providers, Statutory Payments to the Consolidated Fund and Payment of salaries, allowances and other benefits to the employees of the authority.
“Other obligations are: Cost of day-to-day administration and operations of the NLA, Payment for contracts executed by individual companies and Other financial expenses of the authority over the last six (6) years.”
The statement said the newspaper limited their analysis to revenue and payments of prizes (wins) which clearly amounted to gross unprofessionalism and deliberate dishonesty.
It therefore urged the general public to totally ignore it and also urged all stakeholders and employees of the authority to remain calm as the authority takes all the necessary steps to address the concerns of the lottery industry.
“The NLA is assuring the general public and stakeholders that it is taking more pragmatic steps to address all current challenges and bounce back stronger as the leading lottery regulator and operator in Africa”.