Kenya Insights

Tag: 1xbet Kenya

  • 1XBet Sued For Refusing To Pay Winning Bet

    1XBet Sued For Refusing To Pay Winning Bet

    Recent reports highlighting a troubling trend where betting companies in Kenya fail to pay out winnings to gamblers are on the rise. These companies often engage in result manipulation and infringement on gamblers’ rights where several cases have ended up in court, with gamblers winning their lawsuits.

    One such case involves Advanced Gaming Ltd., which refused to pay a gambler who had won his bets. The dispute was taken to the Betting Control and Licensing Board, which ruled that the gambler was entitled to the prize money and ordered its payment. Despite this directive, Advanced Gaming Ltd. did not comply, prompting the matter to be escalated to the high court.

    Judge Janet Mulwa of the Nairobi High Court has now ordered Advanced Gaming Limited, operating as 1X BET, to pay Geoffrey Omwando Ngoge Ksh. 2,324,641.16—the amount he had rightfully won but was not paid by the company. This decision follows Ngoge’s motion dated 16/11/2023, which sought to have the Betting Control and Licensing Board’s judgment, issued on 9/10/2023, adopted as the court’s judgment. Ngoge’s motion was supported by an affidavit he swore on the same date.

    The Betting Control and Licensing Board’s judgment, dated 9/10/2023, confirmed that 1XBET owed Ngoge Kshs. 2,324,641.16, as indicated by his betting slip. The Board’s directive required the payment of this amount, subject to statutory deductions.

    In her ruling, Judge Mulwa noted that no appeal had been lodged against the Board’s decision and thus upheld the Board’s judgment. She confirmed that the Board’s decision was adopted as the court’s judgment and enforceable against Advanced Gaming Limited.

  • Most Wanted 1Xbet Russian Tycoons sneak back into the Country.

    Most Wanted 1Xbet Russian Tycoons sneak back into the Country.

    A controversial Russian linked betting firm 1xBet Kenya is back in the country carrying out its operations anonymously . It is being managed by Advanced Gaming Limited in a conspicuous manner.

    We’ve established that on July 28 2023, Betting and Control Licensing Board in unclear circumstances gave two licence numbers 0000535 and 0000324 to the company to operate in the country.

    We have information that Arthur Mildow, the CEO  has secretly been staying in the country and facilitated the registration of the firm.  1xBet is alleged to be involved in money laundering via what industry players claim is miscoding.

    In Kenya, Advanced Gaming Limited operates as officially registered 1xBet, and hence for what lawyers say is purely on a legal perspective does not have links with the Russian company apart from using its brand 1xBet.

    Sources at BCLB revealed that they gave two licences to Advanced Gaming, one to engage into bookmaking and the second, for organising gambling on the internet.

    Insiders say, Advanced Gaming is part of 1xBet which operates in large divided unit comprising of numerous firms across the world. 1xBet is associated with Russians; Roman Semiokhin, Sergey Karshov and Omitry Kazorin.

    Karshov died in June while allegedly undergoing medical procedure in Switzerland. It was said the contrasts fluids the hospital used to prepare him for the MRI caused an allergic reaction when placed on the MRI machine. The situation deteriorated into a coma. What raised eyebrows was the fact that the Russian tycoon was admitted in one of the best hospitals in the word.

    What has surprised the local betting industry is the fact that BLCB cleared 1xBet when it is well known the founders and those linked to it are on the international list of most wanted. 1xBet lost its licence during the Uhuru Kenyatta era on grounds that it was engaged in money laundering, promoting and engaging youths in gambling games even underaged ones.

    When 1xBet first entered in Kenya 2016, it operated under the Matiang’i ownership of Ex-Invest Limited but has now changed to Advance Gaming.

    It has emerged that Mildow conspired with his brother Vadim to change registration and ownership in running 1xBet in Kenya. For years, the duo have managed to operate in Kenya despite being on international security radar.

    Sources within the international community claim that the brothers have been linked to multibillions drugs trafficking and money laundering. They are said to operate underground and are rarely seen in public.

    They were linked to one time famous Westlands social joint in Nairobi, Pavement Club.

    They are staying Kihara in Muthaiga and Muthangari after secretly sneaking back into the country.

    During Uhuru’s era, the two Russians could not believe it when they landed at Jomo Kenyatta International Airport on August 5 2019 and were deported back by immigration officials. Come January 7 2020, then Interior cabinet secretary Fred Matiang’i declared they were a security risk and not wanted. The deportation order stated, “Arthur Mildow who is not a citizen of Kenya and whose presence in the country is contrary to national interests, be removed from Kenya to his country of origin Russia, and further direct that the said Vadin Mildov remain in police or prison.

    How 1XBet And Other Betting Firms Laundering Dirty Cash In Kenya Through Cryptocurrency.

    They allow punters to transact using hard-to-trace cryptocurrencies.

    This cost the country billions of shillings in uncollected taxes while laundering funds earned through illegal activities such as smuggling and trafficking in minerals, wildlife, drugs, and people, or financing organised crime.

    It is a development that does not only cast a spotlight on sports betting as an avenue for money launderers but also how the gambling craze is aided and abetted by newer, sleeker financing schemes such as cryptocurrencies that authorities are yet to fully understand.

    The fact that most betting casinos operate on the borderless, largely lawless internet has seen a lot of bookmakers operate in Kenya without paying the requisite taxes or following regulations.

    The use of untraceable cryptocurrencies such as bitcoin leaves the Kenya Revenue Authority (KRA) in a fix, not only because the bookmakers are registered outside Kenya, but also because even if KRA had a tax information exchange agreement, there is no paper trail to show the source of the transaction.

    Nearly all the gaming websites have the option of paying using cryptocurrencies such as bitcoin, ethereum, litecoin and Dodge, which tend to offer users some anonymity, thus the possibility of enabling tax evasion and other illicit financial flows. Others also allow punters to pay using M-Pesa, a mobile payment service offered by Safaricom.

    On its website 1xbet, the company says it has operations in CIS (Commonwealth of Independent States) countries, including Kenya. It allows gamblers to bet using bitcoin, a type of crypto-currency that allows for anonymity and whose credibility has been questioned by the Central Bank of Kenya (CBK) and other global banks.

    For deposits and withdrawals, punters are encouraged to open accounts in cryptocurrencies. One of the advantages of opening a cryptocurrency account, the company says on its website, is that it is anonymous as one is not required to provide any personal details.

    Other cryptocurrencies used on the website include Lifecoin, Dogecoin, Dash, Etherereum, Monero and Cash. “We guarantee a personal approach with your best interests in mind, easy payment methods and, what is most important, 100 per cent payouts on all winning bets! May luck never leave you!” the firm says.

    With reports showing that Kenyans, alongside Nigerians and South Africans, are some of the most active participants in the bitcoin market, this might as well have been fueled by the sports betting craze.

    In 2019, Kenyan bitcoin investors lost millions of shillings after falling prey to a Brazilian pyramid scheme that went down with their money.

    The company is known as Velox 10 launched operations in Kenya on September 20, 2017, and was run by a Brazilian known as Ricardo Rocha. Velox, which claimed to trade in bitcoins, promised to help Kenyan investors earn millions of shillings in profits.

    Investors were required to pay Sh10,000 (then $100) as a membership fee, and an additional Sh20,000 ($200) as an upgrade fee with a promise of raking up to Sh400,000 ($4,000) in daily profits. Premium tears!

    1Xbet Tycoons must be persona-non-grantas in Kenya!

  • Blacklisted 1XBet Russian Mafias Sneak Back Into The Country

    Blacklisted 1XBet Russian Mafias Sneak Back Into The Country

    In what is really not shocking, sources intimate with the matter have revealed to Kenya Insights that some powerful individuals within the government secretly facilitating the return of 1xbet and believed Russian mafias/fraudsters linked to the controversial betting firm banned from operating the country.

    The two blacklisted foreigners have been walking in town with their chins up and chests out bragging how untouchable they’re are and the millions they spent to bribe state officials to facilitate their return into the country following the unceremonious deportation.

    The notorious Artur Mildov and his partner Vadim Mildov who are emerging to be the 1xbet point-men in the region are said to be working round the clock to ensure that the gambling firm makes a comeback in Kenya.

    1xbet is among the betting firms that were severely affected in the historic crackdown on foreigners gambling without licenses in the country. Artur and Vadim names prominently featured in the list of at least 14 foreigners mainly from Eastern Europe who were deported.

    The Mildovs who’re on Interpol watch over their links to international crimes are said to have stayed in Dubai where they were cooking their heels while strategizing on their coming back into the country.

    1XBet owners operated as ghosts for long before investigations by Russian authorities cracked the racket and exposed one Sergey Karshkov, an ex-police major in Russia alongside Russian billionaire Roman Semiokhin and Dmitry Kazorin in 2020.

    On the website of the Investigative Committee of the Russian Federation, Bryansk branch, Roman Semiokhin, Dmitry Kazorin and Sergey Karshkov are named as suspects who organized and conducted gambling without a local license for 1xBet. The website notes that they were investigated for the period of October 2014 to May 2019, and during that period “obtained income in the total amount of more than 63 billion rubles ($860 million).”

    All three are noted to be residents of Bryansk, and Sergei Karshkov previously worked with the police, obtaining the rank of Major. But in 2015, he reportedly registered a non-profit called the Union of Sweepstakes Organizers as well as the Union of Bookmakers. Both were liquidated by court decisions in 2018 for failing to publish records.

    The three fled Cyprus to avoid Russian prosecution after they were linked to a string of dubious activities.

    Artur Mildov.

    Kenya Insights has learnt that the betting firm is not authorized for gambling in Russia by the Russian Federal tax service, as with many other countries.

    Following an investigation by a UK publication  The Sunday Times in 2019, 1xbet license was promptly rescinded by the UK gambling commission (UKGS) after revelations of involvement in promoting a pornography hub, bets on children sports and adverting on illegal website.

    None of this sounds like something you want to be affiliated with your brand. 1xBet is a betting site registered in Cyprus, which is well-known as a money-laundering location for organized crime in Russia. While sure, that could be a coincidence, but considering the previous investigation into 1xBet, it doesn’t sound like it is. After that Times investigation, the betting site is no longer allowed to operate in Britain. In Kenya they were accused of engaging in large scale tax evasion and money laundering as well.

    As the 1xbet retains its reputation as one of the world’s most controversial betting firms, awareness was raised in 2020 of an ongoing scam involving embezzlement and unlawful practice, highlighting attention through diplomatic channels.

    The three owners Karshkov, Semiokhin and Kazorin are in the list of UK wanted criminals.

    The trio is defendants in a criminal case with penalty of imprisonment and a number of their estates in Russia with a total value of 1.5 billion ruble (ksh 2, 286,508,500.00) were seized.

    At the height of controversies shrouding the firm, Tottenham also terminated their betting deal with them just weeks after it was suspended in Kenya.

    Prior to the termination of the deal, 1xbet was Tottenham’s African betting partner and part of the agreement was to allow them use huge billboards with England captain Harry Kane and other spurs players in the African country , where gambling became a massive social issue.

    Apart from Kenya, other countries that banned 1xbet are UK,USA, Spain, France, Italy, Switzerland, Portugal, Burkina Faso, Israel, Cyprus, Czech Republic, Poland, Netherlands and Belgium.

    It remains unclear whether KRA was aware that the 1xbet was plotting to make a comeback into the market.

    However, what is raising further concern is the fact that the two partners Artur and Vadim who operate like mafias sneaked back into the country despite talks that they were deported.

    A background check on the two exposes a string of questionable involvement including operating an offshore company.

    They are the directors and shareholders of the Midlands logistics Limited traced to the British Virgin Islands and Russia.

    Artur Mildov is also described as the CEO of De lart holding which was established in 1996 and operates in United Arabs and Africa.

    The duo also operated an airline in Congo.

    They were listed as interested parties in a case before the High court of Kenya at Nairobi commercial and admiralty division Milimani law courts.

    The civil suit no.568 of 2008 also listed Terazzo enterprises Limited as the plaintiff against Pavement Club and Café which was the 1st defendant.

    Blue elephant Limited was the 2nd defendant in the matter while Shailesh Patel was listed as the 3rd defendant.

    The two were also implicated in the murder of a Russian.

    One thing which is clearly outstanding with Artur Mildov and his partner Vadim Mildov is the striking similarity between them and the infamous Artur brothers whose stay in the country caused a stir.

    The two controversial Armenian Artur Magaryan and Artur Sargasyan landed in Nairobi in 2006 with lots of fanfare but ended up being branded a security threat before they were dramatically kicked out of the country.

    Kenya Insights is informed that this is not the first time the two have been deported and sneaked back into the country. In what could show how deeply entrenched the mafia web is and their connections to high officers facilitating their stay in Kenya. The Russians were once deported following their links to narcotic trade, sneaked back and continued with their trade in 2004. This only goes to show you that the mafias are being protected by rogue state officials in the intricate. It goes to show the confidence behind the open impunity.

    Kenya should not harbor criminals, 1XBet which is likely a shadow of a larger money laundering scheme shouldn’t be allowed back into the market something they can ei by simply rebranding. Interior CS Fred Matiang’i, CS immigration and the Police IG Mutyambai should take the matter serious and immediately hunt and apprehend the criminals residing in the country. State officers involved in facilitating the return of the Russian mafias need to be brought to book.