The Lagos State Government has rejected a proposed federal bill to centralize online gaming regulation, calling it a direct assault on the Nigerian Constitution and a 2024 Supreme Court ruling that limits national oversight to the Federal Capital Territory alone.

Attorney General and Commissioner for Justice Lawal Pedro (SAN) labeled the Central Gaming Bill, 2025, a "voyage of unconstitutionality" during a Wednesday press conference, warning that its passage would invite contempt charges against lawmakers.

The legislation, tabled in the Senate on October 7 for concurrence, aims to overhaul the repealed National Lottery Act of 2005 with nationwide controls on remote and online gaming, including licensing and taxation.

Pedro argued the bill oversteps: Gaming falls under states' residual powers, not the National Assembly's exclusive list, per the 1999 Constitution. A seven-justice Supreme Court panel unanimously struck down the 2005 Act's nationwide scope last November, confining federal authority to Abuja. "The legislature cannot directly overturn a specific Supreme Court judgment... without amending the Constitution," Pedro said. "As of today, the National Assembly can only legislate on lottery, gaming and gambling for the FCT."

The AG predicted "grave consequences" if pushed through, including legal challenges that could paralyze the sector.

Lagos, Africa's betting hub with billions in annual revenue from lotteries and sports wagering, stands to lose autonomy over a lucrative industry fueling infrastructure and youth programs. Pedro urged federal restraint: "It would amount to legislating in defiance of a binding Supreme Court decision, which is the highest expression of contempt of court."

The bill's sponsors, led by Senate Leader Opeyemi Bamidele, tout it as a modernization fix for fragmented rules amid online betting's boom—Nigeria's market tops $2 billion yearly. Critics like Pedro see it as power grab, echoing states' rights clashes in telecoms and taxation.

As the Senate debates, Lagos's stance signals a brewing federal-state showdown, with potential ripple effects for Abuja's push to unify gaming under a single regulator.