State Capture Scandal: Allegations Rock National Lottery Authority Over KGL Monopoly Deal

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State Capture Scandal: Allegations Rock National Lottery Authority Over KGL Monopoly Deal

In what is being described as one of the most audacious state capture scandals in Ghana’s democratic history, investigative journalist and public advocate, Mr. Listowel Nana Kusi-Poku, has raised damning allegations of systemic corruption and illegal corporate takeover involving the National Lottery Authority (NLA) and a private digital lottery operator, KGL Technology Limited.

In a press statement issued in Accra, Mr. Kusi-Poku, a member of the ruling National Democratic Congress (NDC) Communications Team and Executive Director of the Good Governance Advocacy Group, Ghana - painted a grim picture of institutional decay, legal violations, and entrenched political-business collusion, which he argues have effectively handed over control of NLA to a private entity through what he describes as a "Special Purpose Vehicle for State Capture."

“I, as a patriotic Ghanaian, in shock, tremor, trauma, heartbroken and highly disturbed,” Mr. Kusi-Poku declared solemnly. “This is one of the greatest state-capturing scandalous deals ever to have hit our beloved vulnerable country, Ghana, our motherland.”

As a self-described public advocate and watchdog for justice, Kusi-Poku detailed the scope of his work from probing and exposing wrongdoing to investigating hidden deals. He emphasized that the NLA has fallen prey to a "criminal syndicate" formed during the Akufo-Addo–Bawumia administration with the alleged objective of illegally taking over of a profitable state enterprise.

Established in 1958 under the Lotteries Act (Act 37) during the tenure of Ghana’s first President, Dr. Kwame Nkrumah, the Department of National Lotteries (DNL) - now the National Lottery Authority (NLA), he noted, has historically generated significant revenue for national development.

Reformed through Act 722 in 2006, the NLA was granted autonomy to operate commercially under a board and director-general, with oversight from the Ministry of Finance. The Authority, at its peak, generated consistent income for the state and operated with transparency, paying commissions and winnings reliably.

However, Kusi-Poku claims that under the leadership of former NLA Director-General Kofi Osei-Ameyaw (2017–2021), a strategic and deliberate breakdown was initiated, which alienated stakeholders, fostered mistrust, and plunged the Authority into operational and financial distress.

Kusi-Poku traced the genesis of what he calls the "state capture" to the emergence of KGL Technology Limited. Initially introducing an unsuccessful product named “Lucky 3,” KGL allegedly moved to illegally operate the NLA’s core 5/90 game - a move that, according to him, was met with an official fine at the time.

Despite that, upon the appointment of Sammy Awuku as NLA Director-General in 2021, KGL was reportedly handed exclusive digital rights to the lucrative 5/90 game. This, the whistleblower insists, was illegal and violates multiple provisions of Act 722. Mr. Kusi-Poku emphasised that the

Section 2(2) states clearly that "only the NLA can conduct National Lotto; Section 5(1) says "only licensed Lotto Marketing Companies (LMCs) may sell lotto products; and Section 15: Only the NLA is authorized to issue lotto coupons.

KGL’s operations, he alleged, bypass these legal requirements - collecting revenue without logging, issuing payouts without authorization, and operating outside the mandated legal framework.

Billions in Lost Revenue

The impact, according to Mr. Kusi-Poku, is severe. Stating, “If restored and properly managed, the NLA could generate GHS 6 billion annually, delivering over GHS 3 billion in profit. With full optimization, this could double to GHS 12 billion revenue and GHS 5 billion profit yearly.”

Instead, the NLA has reportedly become dependent on KGL - a reversal of roles that he says represents the complete privatization and monetization of state power by stealth.

National Interest Undermined

The implications of this alleged monopoly, he warned, are catastrophic, leading to loss of billions in public revenue, erosion of legal and regulatory authority, entrenchment of unfair market practices and full-blown state capture by private and political actors.

Immediate Demands

Mr. Kusi-Poku is therefore calling on the current management of the NLA for the immediate cancellation of KGL’s digital rights and operating license and ensure the full enforcement of Act 722, especially Sections 2(2), 5(1), and 15.

He also called for an independent forensic audit of all financial and legal transactions between NLA and KGL and restoration of the NLA’s sovereignty from private and political control.

“Failure to act,” he warned, “must lead to the complete shutdown and dissolution of the NLA. 

A Test of Leadership and Justice

The explosive revelations come at a critical time when Ghanaians are increasingly calling for transparency, anti-corruption reforms, and accountability across all levels of government. The allegations levelled in Mr. Kusi-Poku's press statement may well serve as a litmus test for Ghana’s commitment to protecting public institutions from corporate capture and political interference.


Source: Edmond Gyebi