Image result for ronald karauri
Gor Mahia Patron Raila Odinga With Sportpesa CEO Ronald Karauri//Photo Courtesy

Betting giants Sportpesa have with immediate effect cancelled all sports sponsorships in the country. This has widely been attributed to the company’s never ending tax wars with the taxman Kenya Revenue Authority, KRA.

According to Sportpesa, it’s operations in the Country have been greatly affected by the recent actions by the Betting Licensing and Control Board that has delayed the renewal of it’s licence. The suspension of the company’s paybill number has also had adverse effects on it’s business.

“We regrettably wish to announce that due to the uncertainty of this situation SportPesa will be cancelling sports sponsorships effective immediately. All clubs and partners will have received notices as provided for in their contracts,” Said Sportpesa.

The betting firm with it’s headquarters in Liverpool, United Kingdom has however affirmed that they will resume their sponsorships once everything is back to order. The company has maintained that it remains committed to supporting sports development in the country.

“We greatly value our partnerships and we will endeavour to resume support to the best of our ability when the business recovers,” the firm said.

SportPesa forked about Sh1.3 billion last year alone in sponsorships to boxing and football in the country.

Sportpesa sponsors the Kenya Premier League together with football giants Gor Mahia and AFC Leopards.

Last year saw the betting firm sign a new three year sponsorship deal with Gor, AFC Leopards and the Kenya Premier League now named the Sportpesa Premier League.

In the three year deal, Gor Mahia was to get Sh198,607,000, AFC Sh156,406,403 and KPL Sh259,712,000.

Football Kenya Federation also entered a three-year partnership with the company with the goal being to improve the standards of local football. It was entitled to Sh69.4 million for three years.

With Sportpesa’s latest decision, the Kenyan football scene is about to face great financial crisis with this having a great effect on the beautiful game.