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The Veteran Administration of Ghana (VAG) has ceded its power to conduct and regulate VAG lottery to the National Lottery Authority (NLA).
The move has made the NLA the sole regulator of lottery activities in the country.
In a collaborative agreement signed between the two institutions on June 19, the NLA now holds the power to manage VAG lottery and any activity of VAG as far as lottery is concerned.
In turn, the NLA is required to give VAG an amount of GH¢120,000 every month within the span of the agreement to support its activities. The VAG was given the legislative mandate to operate and generate revenue to cater for the needs of veterans in the country.
Other provisions of the agreement include, but not limited to, the provision of a four-wheel drive vehicle to VAG at a seven-year interval, other health incentives and the provision of GH¢10 million for the renovation of the Burma Camp Sports Stadium complex.
Need for the agreement
At the signing, the Director General of the NLA, Mr Kofi Osei Ameyaw, said the two institutions, over the past years, had been in conflict over jurisdictional areas of work because both institutions were given the power to regulate lottery.
“Pursuant to the VAG Act 844, VAG was given the power to manage and control its lottery. Another Act of Parliament gave NLA the mandate to manage and conduct lottery in the country.
“This created a lot of tension where these institutions have been seen in court fighting over the rights to regulate lottery. It is, however, refreshing and rewarding to find these two institutions signing a collaboration agreement which will see the NLA taking over the regulatory mandate of VAG,” he stated.
He added that there was the need for such an agreement because VAG lacked equipment, capacity and resources to regulate its lottery; and, therefore, gave its mandate to third parties who abused the lottery regulations.
He explained that the NLA at a point wanted the VAG Act to be repealed so that all licences would be under the NLA. However, the minister of Defence and board members of the NLA and VAG decided to come together so that instead of repealing the act, they would come to an agreement which would benefit both institutions.
“The NLA has many times caused the arrest of many illegal lotto operators (Banker to Banker) who operated lotto to the extent of drawing on their own numbers and staking on Sundays; however, there were no appropriate sanctions meted out to them because in most of the cases, they provided licences from VAG,” he explained.
Ultimatum
The Executive Secretary of the VAG, Capt. Ben Edward Dua (Retd), said Lotto Marketing Companies (LMCs) who were operating under VAG licence had been given up to November 23 to license under the NLA, since the termination agreement with them would have elapsed by then.
Initial commitment
At the signing, the NLA presented a cheque for GH¢220,000 to the VAG to support its activities.
Mr Ameyaw explained that GH¢120,000 out of the GH¢220,000 was the pledged amount for the month of June. The additional GH¢100,000, he added, was given to VAG as part of NLA’s corporate social responsibility.
