Guinea expands gambling-sector investigation amid lottery royalty probe
A preliminary investigation into LONAGUI’s outstanding royalties will examine financial transactions, betting records and tax compliance, with authorities planning to extend the scrutiny to private gambling operators.
Key takeaways:
- Guinea’s CRIEF has ordered a preliminary investigation into state-owned lottery operator LONAGUI.
- The inquiry centres on a reported GNF539.17bn (US$59m) in outstanding royalties linked to the company’s physical lottery network.
- Three successive LONAGUI directors general are included in the investigation.
- Authorities will examine mobile-money transactions, betting records, royalty payments and tax compliance.
- The prosecutor intends to extend the investigation to other gambling establishments operating across Guinea.
Guinea.- Guinea’s financial crimes prosecutor has ordered a preliminary investigation into state-owned lottery operator LONAGUI over a reported GNF539.17bn (US$59m) in outstanding royalties owed to the state. The inquiry will examine royalty payments, mobile-money transactions, betting records and tax compliance, with the investigation also covering gambling operators across the country.
The investigation was ordered on November 3 by Alphonse Charles Wright, Special Prosecutor at the Court for the Repression of Economic and Financial Offences (CRIEF), following a report concerning the management of royalties owed to the state. The outstanding balance relates to LONAGUI’s physical lottery network, according to reports by Mosaïque Guinée and Guinee3.
The prosecutor has instructed the Office for the Repression of Economic and Financial Offences (ORDEF) to investigate suspected misappropriation of public funds, corruption of public officials, and forgery and use of forged public documents in the country’s lottery and online gambling sector.
The investigation includes three successive LONAGUI directors general: Lansana Chérif Haidara, who led the company from January 2011 to January 2019; Aminata Sylla, who served from January 2019 to January 2022; and current director general Mohamed Baba Sylla, who has held the position since January 2022. Financial executives and other individuals whose potential responsibility may be established are also included.
According to financial information cited in the prosecutor’s instruction, a partial royalty payment was recorded for 2023, but no further payments were recorded for 2024 or 2025, or from January to September 2026. Outstanding royalties associated with the company’s 2026 operating licence are also under scrutiny.
Investigators will examine royalties due to the state, deductions from player winnings, transfers to the Treasury Single Account, contracts with approved private gambling operators, bank statements and LONAGUI’s central betting-management software.
The inquiry also covers transactions processed through Orange Money and MTN Mobile Money. Figures cited in the prosecutor’s instruction indicate that deposits through the two platforms exceeded GNF6,532bn (US$713m) in 2025, while withdrawals reached GNF5,134bn (US$561m). The net financial flow after commissions was estimated at GNF1,040bn (US$114m).
During the first half of 2026, deposits reached GNF5,087bn (US$555m), compared with withdrawals of GNF4,002bn (US$437m). The net flow after commissions was estimated at GNF827.45bn (US$90m).
These transaction figures will be compared with operator records and payments to the state to establish whether gambling-related royalties and taxes have been correctly declared and transferred. They should not be confused with gross gaming revenue (GGR).
Guinea widens gambling-sector tax scrutiny
The prosecutor’s instruction also refers to Guinea’s 2025 Finance Law, which introduced a 15 per cent tax on GGR, calculated as the difference between players’ stakes and winnings paid or payable to customers. Companies organising the games are responsible for collecting and remitting the tax.
Beyond LONAGUI, ORDEF has been instructed to examine gambling establishments across Guinea for potential underreporting of turnover, undisclosed accounts, fictitious expenses and financial arrangements that could conceal revenues due to the state. Advertising and sponsorship expenses, as well as commissions paid to gambling retailers, will also be reviewed.
Authorities will request information from mobile network operators, the Central Bank of the Republic of Guinea, the gambling regulator and the General Directorate of Taxes to help trace financial and tax flows across the industry.
The preliminary investigation remains ongoing. The reported financial figures do not establish that funds were misappropriated, and the individuals named have not been found guilty of wrongdoing. Their potential criminal responsibility remains subject to the legal process.
Frequently asked questions (FAQs)
- Why is Guinea investigating LONAGUI? Guinea’s financial crimes prosecutor ordered a preliminary investigation into reported outstanding royalties of GNF539.17bn associated with LONAGUI’s physical lottery network. Authorities are examining royalty payments and other financial transactions.
- Which LONAGUI executives are included in the investigation? The investigation includes former directors general Lansana Chérif Haidara and Aminata Sylla, as well as current director general Mohamed Baba Sylla. Financial executives and potentially other individuals are also included.
- What is Guinea’s gambling tax rate? Guinea introduced a 15 per cent tax on GGR under its 2025 Finance Law. GGR is calculated as the difference between players’ stakes and winnings paid or payable to customers.
- Will the investigation affect private betting operators? The prosecutor intends to extend the investigation to other gambling establishments. Authorities will examine financial records, turnover declarations, tax compliance, advertising expenses and retailer commissions.
