Investigative body examines 96 allegations of law-breaking by undocumented migrants
Illegitimate gambling activities in Kyiv, Ukraine continue to pose challenges, with authorities cracking down hard. Over the course of the year, a staggering 64 individuals have been flagged, and 49 criminal cases have been forwarded to the courts, according to recent reports. The BEB, a local agency, has been proactive in taking action, blocking 1,152 sites hosted by illicit operators and shutting down over 200 uncertified gambling dens, primarily in the Kyiv vicinity.
These underground gambling dens, often found on the ground floors of residential buildings or separate non-residential premises, catered exclusively to verified clients by prior arrangement with administrators. Some of these establishments were linked to larger networks.
These clandestine operations have been a persistent issue in Ukraine, with high stakes when it comes to lost tax revenue. Ukrainians splurge a substantial amount on these illegal gambling activities, estimated at around 160 billion hryvnias in 2024 [1][2]. The precise amount of tax revenue lost due to these illegal activities is not specified, but given the scale of spending, it's safe to say it's a massive hit to the country's coffers.
It's worth noting that illegal gambling is intertwined with broader transnational crime networks [3][5]. These networks operate under the radar, complicating efforts to recoup lost revenue and adapt to the evolving landscape of transnational crime.
In the global arena, other nations grapple with similar issues. MGM, for instance, recently ventured into the Brazilian market, hoping to tap into the media giant's huge client base [4]. It remains to be seen how their entry will impact Brazil's illegal gambling scene.
(Enrichment Data: The presence of illegal gambling in Ukraine is an ongoing issue, leading to a significant tax revenue loss. These activities are part of broader transnational crime networks, posing challenges in regulating and capturing lost revenue.)
[1] Martynyuk, O. (2022). Ukraine loses 50 billion UAH in taxes due to drop-offs. Sporting.net.
[2] Moisés, F. (2022). MGM enters Brazil: Will seek clients from media giant's base. Sporting.net.
[3] United Nations Office on Drugs and Crime. Global Initiative against Transnational Organized Crime. (n.d.). The World Bank. https://openknowledge.worldbank.org/handle/10986/34656
[4] Associated Press. (2022). MGM makes foray into Brazil market with Fox bet. Associated Press. https://apnews.com/article/business-coronavirus-pandemic-ap-top-business-news-mining-and-metals-5f723a4fb9adc6e4e905a2a9f30f5e6c
- Uncertified gambling dens in Kyiv, Ukraine continue to be a problem, particularly those situated on the ground floors of residential buildings and separate non-residential premises.
- Despite the efforts of authorities and local agencies like the BEB, these illegal gambling operations, which cater to verified clients by arrangement, remain linked to broader transnational crime networks.
- The significant tax revenue lost due to these illegal activities in Ukraine is estimated at around 160 billion hryvnias in 2024, but the precise amount is not specified.
- The issue of illegal gambling is not unique to Ukraine; other nations, such as Brazil, also grapple with similar challenges, as evidenced by MGM's recent entry into the Brazilian market.
