Kenya’s betting industry is a multi-billion-shilling sector, with millions of Kenyans placing bets daily. Yet, despite the booming business, the government’s tax revenue from betting has been mysteriously declining. The question on many lips is: Where is the money going? An explosive insider report has revealed a shocking scheme involving Senator Aaron Cheruiyot, a powerful figure allegedly at the center of a multi-billion tax diversion scandal.
This is the untold story of how Kenya’s betting taxes are being stolen in broad daylight.
How Betting Taxes Were Supposed to Work
Under the previous administration, the system was transparent. The Kenya Revenue Authority (KRA) had direct control over betting companies.
Every bet placed was automatically taxed, and the money went straight into government coffers. There was no room for manipulation—until things changed.
When the new government took over, a well-connected group saw an opportunity. Led by Aaron Cheruiyot, they orchestrated a quiet but devastating financial coup. Their mission? To redirect betting taxes through a private system—leaving KRA in the dark.
The Compulynx eRevenue Scam
The key to this scheme was the introduction of the Compulynx eRevenue system. Originally designed for county governments to collect parking fees and small levies, this system was hijacked to handle billions from Kenya’s betting industry.
Here’s how it works:
- Betting companies no longer pay taxes directly to KRA.
- Instead, their payments first go through Cheruiyot’s private system.
- The system skims off over 20% in “service fees”—far above the legal limit of 4.5%.
- Only a fraction of what is collected is sent to KRA. The rest vanishes.
The Shocking Math of the Scam
For every KSh 100 taxed from betting:
- KSh 20+ is stolen through inflated fees.
- KSh 80 (or less) is declared to KRA.
- Millions of shillings daily are diverted into private pockets.
This explains why betting tax revenues have plummeted, even as more Kenyans gamble than ever before.
The Consequences for Ordinary Kenyans
While a few powerful individuals enrich themselves, ordinary Kenyans suffer:
- Schools lack funding.
- Hospitals run out of medicine.
- Families sink deeper into poverty.
All because Aaron Cheruiyot and his associates have turned a public revenue stream into a private cash cow.
Demanding Answers from Aaron Cheruiyot
Senator Aaron Cheruiyot has remained silent, but Kenyans deserve answers:
- Why was KRA sidelined in tax collection?
- Who authorized the use of Compulynx for betting taxes?
- Where is the missing money going?
This is not just about corruption—it’s about betrayal. A scheme of this scale cannot operate without high-level protection.
The Fight for Transparency
Kenyans must demand accountability. The Auditor-General, EACC, and DCI must investigate this scandal. Every shilling stolen is a shilling taken from schools, hospitals, and roads.
What Can You Do?
- Share this story.
- Tag investigative agencies (#EACC #DCI).
- Demand answers from Aaron Cheruiyot and his enablers.
The truth will come out. And when it does, those responsible must pay for their crimes.
What are your thoughts on this scandal? Comment below and share to keep the pressure on!
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