Kenyan football fans are in shock after a leaked video allegedly linked former Harambee Stars goalkeeper Patrick Matasi to a betting scandal.
The footage, which has gone viral, shows Matasi in a conversation that appears to involve match-fixing. This revelation has sparked outrage on social media, with fans demanding answers about the integrity of the game.
The scandal comes at a time when Kenyan football is struggling to regain its reputation on the international stage.
Matasi Caught on Video in Suspicious Negotiations
A secretly recorded video shows Patrick Matasi nodding as an unidentified individual, believed to be a recruiter, gives instructions on match-fixing.
The discussion reportedly involved manipulating the outcome of a game, a claim that has left many fans furious.
Matasi, a former Kenya Police FC player, also played for Ethiopia’s Saint George FC, Tusker FC, and AFC Leopards. Police FC recently released him under unclear circumstances, adding to the mystery surrounding his career.
His last game for Harambee Stars ended in a humiliating 4-1 loss to Cameroon. Fans questioned the ease with which he conceded the final goal, raising suspicions.
The defeat crushed Kenya’s hopes of qualifying for the Africa Cup of Nations. Shortly after, head coach Engin Firat resigned, marking the end of his difficult tenure with the national team.
Fans and Experts React to the Shocking Allegations
The leaked video has fueled outrage among football lovers. Social media erupted with fans expressing their frustration. A Facebook user, Afande Cele, posted:
“It’s heartbreaking for those who genuinely want the game to grow. We always suspected match-fixing, but today we have proof. First half, hold a draw… second half, let go… eeeihh.”
Investigative blogger Cyprian Nyakundi also weighed in, stating that Matasi’s uncharacteristic mistakes in previous matches had long raised eyebrows.
“There have been times when Matasi conceded goals that looked too easy. Was it poor form or something more deliberate?” he questioned.
Football analyst Ombija Oguda expressed his concerns, highlighting Matasi’s past association with Police FC, a government-sponsored team.
“How did no one in Police FC or the national team notice this? I refuse to believe he acted alone.”
Renowned coach Frank Ouna also joined the debate, adding to the growing calls for an investigation.
Unanswered Questions Lingering Over Patrick Matasi Scandal
Despite the outrage, several key details remain unknown. The exact date of the video recording and the identity of the alleged recruiter are still unclear. Attempts to contact Matasi for a response have been unsuccessful.
As authorities investigate, fans are left wondering how deep the alleged match-fixing goes. If proven true, the scandal could shake Kenyan football to its core.
With growing concerns over the integrity of the game, stakeholders must act swiftly to restore trust in the sport.
The coming days will determine Matasi’s fate, but for now, Kenyan football is facing one of its biggest controversies yet.
Gamblers will pay the government Sh20 for every Sh100 staked after the National Treasury proposed to increase excise tax on betting stakes to 20 percent, in the latest State onslaught to lower the appeal of betting.
The proposal is contained in the draft Finance Bill, 2024 and if adopted by Parliament will increase the tax from the current 12.5 percent.
The Bill is expected to be adopted by Cabinet and tabled in Parliament for debate and approval before the end of June. Currently, the government takes Sh12.50 from every Sh100 similar amount to be wagered.
“The first schedule to the excise duty Act is amended by deleting the words twelve-point five percent and substituting thereof the words twenty percent,” the National Treasury says in the draft Bill.
This is meant to lower the appeal of betting to millions of Kenyans, especially the youth and unemployed who have turned to gambling as a source of income.
The government has in recent years publicly pushed for increased taxes in a bid to curb the betting craze that has made Kenya home to the highest number of youthful gamblers at 76 percent, placing the country ahead of Nigeria and South Africa.
Adoption of the new tax rate will lower the amount that gamblers stake, in turn reducing the possible pay-out from a winning bet.
The 20 percent rate will be in addition to a similar rate charged as withholding tax on every winning bet that the State takes.
Betting firms are under law required to deduct the withholding tax and remit it to the Kenya Revenue Authority (KRA) by the 20th of the following month.
Besides gamblers, the State has also set its eyes on the betting firms and last year proposed two new taxes through the Gambling Control Bill, 2023 that has since been debated in Parliament.
These were the gambling tax which will be charged at the rate of 15 percent of a betting firm’s gross gaming revenue and a further one percent monthly levy on the same revenue.
But the National Assembly committee on Sports proposed reduction of gambling tax to 13 percent from 15 percent and removal of the one percent gambling tax in its report tabled before the House in December last year.
Increased taxation on the betting industry is bearing the desired impact at least in the eyes of the government. BCLB data shows that betting firms made Sh60 billion in revenue for the 2021/22 year, an 80 percent drop from Sh299 billion posted in the year to June 2019.
Data from the Betting Control and Licensing Board (BCLB) released last year shows that gamblers spend an average of Sh2,500 to bet every month with 80 percent of the winning punters earning less than Sh30,000 per month.
The Treasury has previously failed in bids to tax betting stakes at the rate of 20 per cent, after Parliament gave in to pressure from gaming firms and lowered the rate. The first time the Treasury proposed the 20 percent rate was in 2019.
Excise tax on betting stake was increased to the current 12.5 percent from 7.5 percent in July last year as the State raided the industry in a bid to take away the shine from the betting craze.
It is common knowledge that Kenya is among the top countries in the world in Corruption matters. This evil that bedevils us has done us more harm than we can statistically quantify. From unemployment to under-employment, the Kenyan youth continues to harbor that elusive Kenyan dream, if ever, there was one. It is because of these economic upheavals that the youths engage in new frontiers to try and make ends meet.
From innovation to invention, an average Kenyan is trying through thick and thin to ensure that they can at least put a meal on the table. The new kid on the block as far as “hustling” is concerned, is Gambling. This article will try to approve or and disapprove gambling as an economic activity that is “The Next Big Thing.” Is a sport betting our new Oil??
A Wiseman once said, a fool and his money are soon parted. There has never been a time in Kenya’s history when this saying became so applicable than today. Gambling is different things to different people. The English dictionary defines it as the act of playing for stakes in the hope of winning. It includes payment of a price for a chance to win a prize.
Wilson Mizner defines gambling as ‘the sure way of getting nothing for something.’ Mizner’s definition thus, excludes existence of any direct Quid Pro Quo in gambling. Is gambling really this bad? If it is, why is it legal in Kenya? Does it have any economic benefits? Let us try to answer some of these key questions.
Before we delve into the nitty-gritty of the cost-benefit analysis of betting, let us first review why one would be interested in this activity in the first place. Psychologists have identified some of the reasons that lead to gambling as:
Desperation for money- this point is tied to the high rates of unemployment.
Since unemployed people do not have any regular source of income, they are generally, financially desperate. This desperation acts like a catalyst for them to gamble the few coins they have with the view that they will win big. After all, one of a gambling advert I see on T.V every day says…”IT IS BIG!” It is not in the gambler’s interest to doubt an alligator that has just come out of the river and reported the crocodile as sick!
Another reason for gambling is for the player to experience highs. Placing a bet and waiting for the final results of the match to know whether one has won or not, is such an enticing experience that keeps the players in some sort of stupor. Ordinarily, a person who engages in gambling based on this reason will have learnt it from peers. Gambling is generally high among youths because of peer pressure.
Supporters of gambling have advanced some key reasons in support of this industry. Some of the reasons are:
It aids in employment creation. In an economy where unemployment is officially at 25%, and unofficially at 60%, it is common sense that we need to create jobs. In this endeavor, we also need to diversify such that our jobs are not shaken by threats such as terrorism.
To this end, gambling both in casinos and on-line sports betting has created an avalanche of opportunities for the youths. In fact, Kenya boasts of 23 sports betting firms as at June 2016. These are in addition to many other casinos that have existed for decades. It is common knowledge that a lot of jobs have been created by these firms.
Ronald Karauri, Sportpesa CEO
It is a source of revenue to the government. At least 50% of our GDP is supported by government revenue in form of taxes. Gambling companies, like any other corporate, they too pay their fair share of taxes. This is a great source of revenue to the government. Other than taxes, they also pay relevant licensing fee to the relevant statutory organs, in this case, Betting Control and Licensing Board.
It is therefore reasonable to understand why the government would permit gambling activities within its jurisdiction. Macau in China, which is the largest gambling town on earth, generated Ksh. 45T in 2014. The second largest gambling city being Las Vegas, which made Ksh.6.5T. In fact, Las Vegas economy is more than 90% built on gambling. Prior to engaging in gambling, it was a mere desert with nothing to show to the world.
Looked at from the perspective of positive Economics, gambling is a good investment and a booming industry that poor countries can encourage as a way of uplifting them from poverty. This argument can be supported by the case of Las Vegas.
Whereas, the above points seem plausible, prima facie, a critical look at the gambling industry proves otherwise. The economic and social costs associated with gambling far outweigh any perceived benefits.
To start with, gambling leads to financial devastation. They say that gambling is a successful business because the house always wins. The player will generally start gambling with the aim of achieving some financial freedom. However, they never reach this level. The more one wins, the more they will gamble with the hope of winning much more.
This trend will continue till finally, they have lost all they had. At this point, one will find themselves in deep debts and financial troubles. Their gut feeling will be to further borrow and win back their bet, so the cycle will continue.
Yet another cost of gambling is job losses. Betting is like a drug. It is more dangerous than cocaine or heroin. It is addictive. The more one gambles, the more they are ensnared in this prison. Once addicted, it alters the normal functioning of the individual. Anxiety and depression will kick in and sooner rather than later, the productivity of the player at the place of work will deteriorate. The only logical end to this story will be firing of the employee who is unable to produce because of depression tendencies that have been caused addiction to gambling.
Julie Gichuru, a partner in betting firm M-Cheza affiliated to her father-in-law Samuel Gichuru entangled in KPLC multi-million heist
Studies also show that 66% of gambling addicts will engage in illegal activities to pay for their gambling debts. This therefore implies that crime rates will increase. The rate of criminal activities in a town prone to gambling is far much higher than the rate of crime in the general population. Mugging and drug abuse is higher among the betting population because of the need to get money for betting as well as trying to control anxiety and depression.
Gambling leads to a lot of family problems. Studies show that 90% of gambling addicts around the world have family issues. In the US, 65% of the couples that consist of one spouse with a gambling addiction end up divorcing. This is a social cost that positive economics overlooks.
In conclusion, we cannot deny the role played by gambling companies in Economic growth. Economic growth should not be confused with Economic development. Gambling can never help in economic development of any economy. While not overlooking the role of gambling as a growing industry especially in developing countries, it is important for us to understand that the Net Present Value of Gambling is negative. Its social and economic costs far outweigh its economic benefits. From a positive economic point of view, Betting/Gambling looks like the next economic frontier that has the ability to grow the economies of 3rd world countries. However, in social welfare economics, there is no Pareto optimality in gambling.
Finally, it is President Barack Obama who once said, “We didn’t become most prosperous country in the world just by rewarding greed and recklessness. We didn’t come this far by letting the special interest run wild. We didn’t do it just by gambling and chasing paper profits on Wall Street. We built this country by making things, by producing goods we could sell.”
The writer is a hustler with ideas that can change the world. He holds a Bachelor of Commerce degree in Finance from JKUAT.
Disclaimer: This article expresses the author’s opinion only. The views and opinions expressed here do not necessarily represent those of Kenya Insights or its Editors. We welcome opinion and views on topical issues. Email:[email protected]
The motion by the Deputy Minority Leader in the National Assembly Jakoyo Midiwo seeking to form a committee to investigate gambling was shot down Tuesday. The Gem MP who had recently alleged that the gambling industry was enabling tax evasion and money laundering cried foul after his colleagues rejected the motion claiming that individuals had compromised some of them from unknown quarters.
The lawmakers had last week formed an 11 member joint committee to look into the betting craze with over five million Kenyans hooked already. The committee that was to be co-chaired by Hon. Midiwo and The National Assembly Majority Leader Aden Duale was expected to table its findings on how to regulate gambling in fourteen days.
Betting is a multi-billion industry which has kept the young people and sometimes old glued to the sites to make quick bucks. Gambling is the addiction and betting indeed is, just like alcohol or any other kind of drug.
It’s said that real men earn their wealth steadily but betting craze is changing the trend, people now want instant everything, cash, pleasure and name it. Shortcuts are known to be dangerous but youths are taking any shorter route to escape poverty and in the process, we are raising a lazy generation of young men who are averse to work.
Parliament brags itself as a den of learned ladies and gentlemen, but political ambitions take centre stage of everything. They deliberately choose not to see any sense in regulating gambling because the number hooked to betting is already big enough to be treated as a voting bloc that must be pleased with all costs.
Just the same way transport or rather matatu industry has been dealt with. It’s all messed up with rogues and crooks controlling routes in the name of SACCOs. Loud music and excess graffiti were allowed back just to win the votes from that particular ‘bloc’.
Why is betting only open to those who are 18 years and over to indulge in? That is the disclaimer because people are so obsessed to land the cash and try their luck to win the ever elusive jackpot. Some people take massive loans that they strain to pay back, other spend all their salaries and college students even ‘sacrife’ fees hoping it may double or triple. In some extreme cases men sell their household items to indulge, marriages are breaking up, and families are being destroyed.
This addictive behaviour is damaging a whole generation and many to come if not curbed.”We have seen suicides, and many families have been broken because of this thing,” Midiwo said. And to quote Duale who many may not take seriously, he said that students are spending school fees betting, and when they lose, they start fires to divert attention.
Kenya being Kenya and MPs being predictable, it doesn’t come as an astonishment that the new bill in parliament is the new lady everybody is trying to put a plank of wood on their back. The National Treasury Bill, Betting, Lotteries and Gaming (Amendment) Act signed by Leader of Majority Aden Duale was published and submitted to the departmental committee on Finance.
An 11-member committee was initially constituted for the committee to inquire into the activities of the scores of the betting and gambling firms with particular emphasis on tax compliance, the disclosure of information and management of proceeds.
These companies have been used as the new harbour for money laundering. Owned by Bulgarian, Italian Mafias involved in international Credit Card fraud in the case of Sportpesa, drug trafficking and other dirty deals. These mafias lias with corrupt and money hungry leaders both in the government and opposition. From Mcheza to Sportpesa there are many ghost owners embedded in the government and opposition.
It’s, therefore, unsurprising that there’s a motion meant to regulate the running of the firms. It should be noted earlier that these MPs don’t have in mind the families broken by gambling, psychological torture it has reigned on addicted Kenyans but their interests.
Dominance by Sportpesa amongst the other main lines is one of the leading causes of concern to the politicians who now want fair play since they’re shareholders in this fraud scheme. Duale for example according to Intel reaching Kenya Insights is fighting for the interest of a notorious senior jubilee politician who happens to be holding stakes in Mcheza a close rival of Sportpesa. Sportpesa, Elibet, Betway, Betin Kenya and Mcheza are just but a few of the leading companies championing the nearly Sh3B annual turnover industry.
The 11-member committee co-chaired by Leader of Majority Aden Duale and Leader of Minority Jakoyo Midiwo to investigate the sector, which has come under the spotlight for harbouring tax cheats and money launderers. The team comprises Samuel Chepkonga (Ainabkoi), Thomas Mwadeghu (Wundanyi), Samuel Gichigi (Kipipiri), Benjamin Langat (Ainamoi) and Kanini Kega (Kieni). Others are Soipan Tuya (Narok), Dorcas Kedogo (Vihiga), Mary Keraa (Kisii) and Daniel Maanzo (Makueni). The membership of the committee has now risen from 11 to 13 after legislators Asman Kamama and Badi Twalib were included.
Francis Nyenze Minority leader has been listed to co-chair with Duale in the 13-member committee. Nyenze in the fight for the big position has traded words with Duale,”We have never seen the Majority leader in any committee. What is this that is making him and other House leaders want to put their names on this panel? I know gambling has a lot of money and my gut feeling is telling me to smell a rat,” said Nyenze.
It’s ironical, dampening when people like Nyenze who was the chairman of the task force that in 2009 investigated the collapse of pyramid schemes where Kenyans were duped into losing billions of shillings. The Pyramid Scheme report has never seen a light of the day neither has the duped Kenyans been paid back their billions lost. What miracle will he be doing other than using the position to add more figures to his account?
Every MP and their families now want to be included in the cash cow committee for dry milking, Betting firms and other interest groups, we established, are pushing for reconstitution of the parliamentary select committee to have friendly MPs sit on the team.
The companies know the nature of the game, and now that most of the MPs are broke and want campaigns money, their decision will be easily manipulated. This the time you’ll hear of funny retreats and these MPs flown outside the country to negotiate deals. Hope Kenyans haven’t forgotten about the BAT and Mastermind Tobacco saga where MPs were compromised, paid heavily, treated to luxury retreats where they enjoyed with their concubines.
Knowing all these factors in play and the calculations from both parties, Kenya Insights through our moles in parliament and Kenyans of goodwill, we’re planting our cameras and eyes on these corrupt legislators and on the companies stashing their briefcases to pay off the baying MPs. However much you hide believe we will know don’t ask how just know it’s a promise.
Email me with tips on this saga or any other scandal that needs highlighting and i will look into it. Address ([email protected])
