(AsiaGameHub) – One of Kenya’s top betting operators, Betika, is facing severe legal action after a forensic analysis of WhatsApp communications by the DCI revealed a “systemic compromise of subscriber data.”
On May 13, a Kenyan High Court determined that complainant Benedict Kabugi Ndungu had initially reported a Safaricom data breach back in 2019 to law enforcement and various regulatory authorities, such as DCI Director Mohamed I. Amin and the Director General of the Gambling Regulatory Authority of Kenya (GRAK).
Operating as Shop and Deliver Limited, Betika reportedly acquired data from Safaricom, compromising the private details of approximately 29.9 million users.
The company’s founders, George Mburu and Chris Mwirigi, who have both been under investigation by local law enforcement, are currently in police custody pending further legal action.
The compromised data consisted of highly confidential details, such as customers’ full names, national ID numbers, M-pesa transaction records, geographical locations, IMEI numbers, betting habits, and deposit/withdrawal histories.
Serious legal consequences loom for Betika and its detained founders, with allegations surfacing that they acquired the data from former Safaricom staff to construct a targeted database for predatory marketing campaigns.
They are currently facing several charges, including:
- possession of stolen user data, a computer fraud offense carrying a minimum sentence of 20 years in prison
- money laundering
- conspiracy to commit a felony.
This development follows a comparable forensic probe that resulted in criminal prosecution for another prominent Kenyan betting firm, Odibets.
Andrew Alingula of Odibets has also been arrested and placed in police custody regarding the matter; he is accused of receiving the stolen data for commercial exploitation between June 2018 and May 2019.
Allan Mzungu of MMS Advocates, a Senior Partner at the Nairobi-based law firm, commented to iGaming Expert: “It is quite rare for company directors to face criminal prosecution over data breaches. However, there is a strong likelihood of criminal charges being brought against the executives of these gambling firms.
“Should these directors be prosecuted, this level of criminal enforcement will demonstrate just how seriously the state, regulatory bodies, and the public view compliance with the law,” Mzungu added.
Recent regulatory updates in Kenya have significantly strengthened oversight, with the newly established GRAK tasked with performing thorough background checks, vetting, and due diligence on all betting operations, including their owners, shareholders, directors, and employees.
The national government is pulling out all the stops to protect citizens from the harms of gambling, warning that any form of unsolicited betting activity is a highly punishable offense.
Leading these reform efforts, President William Ruto recently stated: “We are establishing new gambling regulations because of the high levels of depression it causes. Five million affected individuals is far too many. This widespread issue cannot be allowed to persist. As a nation, we cannot go on this way.”
It now appears the judicial system is aligning with these efforts, initiating a major crackdown on two of the largest betting operators in East Africa.
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