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Twenty-four individuals previously arrested in connection with a large-scale betting-related revenue fraud—estimated at over 100 billion birr—have been fully released from prison, according to information obtained by Addis Insight. Authorities, however, have not issued an official announcement or explanation regarding the releases, leaving the legal status of the case unclear.
The individuals were initially detained following a high-profile operation announced in November 2025, when Ethiopian authorities said they had arrested owners and associates of a major sports-betting operator suspected of embezzling massive government revenues.
Allegations of Systematic Revenue Diversion
Investigators alleged that betting firms, working in coordination with local payment aggregators, concealed large transaction volumes that should have been taxed or transferred to government accounts. The companies were accused of underreporting betting turnover, evading taxes, and channeling profits through cryptocurrency systems and international money-transfer networks.
NISS further claimed that some domestic fintech intermediaries, despite being licensed by the National Bank of Ethiopia, enabled tax evasion by hiding or understating transaction data while citing client-confidentiality protections.
Coordinated Security Operation
The original arrests were carried out through a multi-agency operation involving NISS, the Federal Police, the Financial Security Service, and security forces in Addis Ababa and Dire Dawa. Authorities said the investigation was complicated by the use of foreign-developed software, abandoned offices, international networks, and associates of multiple nationalities.
National Security Claims
In its earlier statement, NISS alleged that part of the diverted funds had been used to launder illicit money, finance terrorism, and support anti-government activities, framing the betting-revenue scheme as both an economic crime and a national security threat aimed at undermining Ethiopia’s macroeconomic reform agenda.
No Clarification on Release
Despite the gravity of the allegations, no official statement has been issued to clarify why the 24 suspects were released, whether charges were dropped, cases transferred, or investigations remain ongoing.
