In a significant move, Pakistan has initiated a crackdown on more than 150 surrogate betting companies, operating primarily in the realm of cricket, causing billions of dollars in economic losses, reported The News. These entities engage in gambling and betting activities through online websites and mobile applications, accessible within the country.
Minister for Information and Broadcasting, Murtaza Solangi, revealed that all government institutions, in coordination with the military establishment, are united in the effort to eliminate these betting companies. The operations of these entities not only normalize gambling practices but also contribute to the transfer of untaxed money in dollars to what is referred to as ‘hostile’ countries.
The Ministry of Information and Broadcasting issued a notification highlighting the detrimental impact of these surrogate companies on the country’s economy. Solangi stated, "It has cost Pakistan’s economy in tunes of billions of dollars.” While he neither confirmed nor denied reports that most of the untaxed money ended up in India, credible sources indicated that India was a significant destination for these funds.
A notification dated September 25 emphasized "Zero Tolerance for Surrogate Companies,” urging various stakeholders, including the Pakistan Cricket Board, Pakistan Super League, media outlets, and advertisers, to refrain from engaging with or promoting such companies. Existing agreements with these entities were advised to be immediately terminated.
The official notification outlined concerns about foreign betting and gambling companies introducing corruption into Pakistani sports teams and exacerbating economic harm by facilitating the movement of untaxed money out of the country in dollars. An anonymous government source disclosed that a majority of these companies were operating from India. The crackdown seeks to address these concerns and safeguard the integrity of sports and the national economy.
