Namibian Court Upholds Gambling Levies, Dismisses Operators’ Legal Challenge

In a decisive ruling, Namibia’s Windhoek High Court has rejected a legal bid by gambling operators seeking exemption from statutory levies under the country’s updated gambling laws. The verdict reinforces the authority of the Gaming and Entertainment Control Act (GECA), ensuring all licensed operators comply with the current regulatory framework.

Court Ruling & Legal Background

The case, brought forward by the Gambling House Association of Namibia and Irmgard Fourty CC, contested the enforcement of levies under GECA, which replaced the outdated 1994 Gambling Act in December 2021. The plaintiffs argued that a 2020 settlement agreement with the Ministry of Environment, Forestry and Tourism had temporarily exempted them from certain levies until illegal operators were either licensed or shut down.

However, the court ruled that the GECA’s enactment nullified prior exemptions, stating the agreement had “fallen away by operation of law.” The judge further dismissed constitutional challenges to Sections 40A, 57, and 88 of GECA and ordered the applicants to cover legal costs.

Regulatory Implications

The ruling solidifies the Namibian government’s stance on uniform compliance, ensuring all licensed gambling businesses contribute to the regulatory system. It also signals stricter enforcement against operators attempting to circumvent financial obligations under the new law.

Key Takeaways:

• Namibia’s High Court enforces GECA-mandated levies, rejecting operators’ exemption claims.
• A 2020 settlement agreement was deemed invalid after GECA’s 2021 implementation.
• Operators must now pay owed levies, with no further legal recourse on this matter.
• The decision reinforces regulatory consistency in Namibia’s gambling sector.

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