A Kyrgyzstan lawmaker says the government must launch an online casino registry to prevent citizens from “drowning in debt.”
The lawmaker Saltanat Amanova made the appeal at a meeting of a parliamentary committee on IT, culture, sports, and youth affairs last week, the Kyrgyz media outlet AKIpress reported.
She has also launched a bid to amend gambling laws. Amanova called on the state to force gambling operators to register with the Ministry of Internal Affairs.
She said that firms that fail to do so should be banned from advertising their platforms online.
“I’ve received letters from people who are losing their money and property to online casinos and drowning in debt,” said the lawmaker. “How can this be prevented? What is the Ministry of Internal Affairs doing to combat this?”
Kyrgyzstan Online Casino Regulation Needed, Says Lawmaker
The Deputy Minister of Internal Affairs, Erkebek Ashirkhodjaev, responded that the ministry routinely launches investigations when a citizen files a complaint.
“If an online casino operates illegally, we hold its operator accountable,” said Ashirkhodjaev. “We have made arrests in previous cases, and there have been prosecutions.”
Amanova’s plea comes just weeks after a fellow lawmaker, Tabyldy Muratbekov, urged the cabinet of ministers to ban or “introduce controls” on online casinos.
Speaking to the cabinet in a meeting on April 29, he said that online casinos “such as MelBet, Mostbet, and others” are “increasingly operating” in Kyrgyzstan.
“People are taking out loans to pay for their gambling habits,” he told ministers, per the Kyrgyz media outlet Kaktus Media.
“Residents are going into debt, families are breaking up, and there are cases of suicides due to casinos,” Muratbekov said. “I ask the government to look into this issue.”
Police Make Arrest
Last month, police arrested a resident of Shymkent in Kazakhstan on suspicion of operating an online casino and money laundering platform that targeted gamblers in Kyrgyzstan, Kazakhstan, and Uzbekistan, the media outlet Tazabek reported.
Police said the platform’s operators used a web of bank accounts registered to “droppers,” or cross-border cash and credit card mules.
Casino operators paid these mules up to $410, investigators say. In exchange, the mules let the operators make full use of their accounts to process casino deposits and withdrawals.
Officers said the casino used its international mule network to launder over $1.1 million worth of illegal funds.
Government Reluctance?
The Kyrgyz government, however, has shown reluctance to pressure casino operators. In recent years, it has pivoted to a limited legalization model now popular in many Central Asian nations.
This model involves legalizing land-based casinos for foreign passport holders only.
President Sadyr Japarov said last month that time has proven his government’s 2022 decision to open such casinos was justified.
Since the first Kyrgyz casinos opened their doors, “we have not seen a single case of a Kyrgyz citizen visiting a casino,” Japarov said.
The President said the casinos have helped boost tax revenues and drive up tourism-related income.
However, there is considerable evidence that illegal online casino platforms are still targeting Kyrgyz gamblers.
In February, promoters took control of a website formerly run by Kyrgyzstan’s Cabinet of Ministers’ trading company. The site now redirects visitors to the Olymp Casino gambling platform.
Its operators say they offer sports betting and slots, allowing customers to pay in Kyrgyz currency.
