Betika is now facing a potential lawsuit as a result of their alleged failure to pay out winnings to a customer, Nelson Kipkogei Melly.

The legal firm Okinyo and Company Advocates has issued a stern letter of demand to the managing director of Betika, accusing the company of withholding Sh477,590 (four hundred and seventy-seven thousand, five hundred and ninety) in winnings.

According to the demand letter, on October 16, 2023, at 5:46 a.m., Melly, a regular gambler with Betika, placed a virtual bet with a stake of Sh113,712.

The potential winning amount was Sh477,590, and according to documents in possession of the legal firm, Melly emerged victorious.

However, Betika is accused of refusing to honour the win and, more significantly, of accessing Melly's account without authorization and using it to place bets on other teams, thereby attempting to justify the withholding of the winning amount.

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"You have refused and continues to refuse to pay our client his bet amount won of Ksh 477,590/= (four hundred and seventy-seven thousand, five hundred and ninety)," the demand letter read.

"You have gone ahead accessed and illegally used our clients account to bet for other teams to justify the loss of the amount won."

The legal firm representing Melly has brought this matter to the attention of both the Data Protection Agency and the Betting Control and Licensing Board.

In the strongly worded letter, Okinyo and Company Advocates assert, "Our mandatory instructions are to demand from you, which we hereby do, your admission of liability within the next one day from the date hereof after which we shall amicably address the issue of damages payable to our client."

Furthermore, the firm issued a stern warning to Betika and threatened legal proceedings against the betting firm should it fail to respond appropriately.

"Take notice that unless we receive your written admission of liability within the next one day from the date herein, we have mandatory instructions to institute legal proceedings against you for recovery to protect our client’s interest at your own risk to the sequel costs," the letter read.

The potential legal action has sent shockwaves through the betting industry and raised questions about the accountability and integrity of such companies.

The Betting Control and Licensing Board, as well as the Data Protection Agency, are closely monitoring the situation.

As the one-day deadline approaches, the spotlight is on Betika to respond to the demands made by Melly's legal representatives.

The outcome of this case could have significant implications for the betting industry in Kenya and beyond.