Promotional lottery operator Sponge Nigeria Limited has come under fire from the National Lottery Regulatory Commission (NLRC) due to its failure to redeem winnings totalling Thirty-Eight Million Naira. 

The NLRC, which has also fined the operator ten million Naira for violating the Operational Terms & Conditions of its promo permit, has now directed Sponge Nigeria to immediately pay all winners who took part in its now concluded promotional lottery captioned ‘Better Life Billionaire Promo’.  

A letter sent to Sponge Nigeria Limited signed by the Director-General, NLRC, Lanre Gbajabiamila read: “Your continued failure and/or refusal to pay legitimate winnings is a flagrant violation of the National Lottery Act 2005 (“Act”) and Regulation, and Operational Terms and Conditions, which were duly signed by you on 2nd August 2019. 

“By accepting the NLRC permit for the BLB Promo, Sponge was legally bound to conduct its affairs with all due propriety and protect participating stakeholders. Under express terms of the signed Terms and Conditions, Sponge promised to “ensure that all prizes and monies due to prize winners are redeemed in full.”

In addition to its violations, NLRC also informed Sponge that its failure to pay winnings further undermines the integrity of the lottery/gaming industry. Moreover, Gbajabiamila expressed how this is inconsistent with transparency accountability and fairness which are hallmarks of the Commission’s operations.