Betting firm Lucky Buss DMCC has moved to court accusing a former partner of starting a parallel business and using its trademark to confuse punters.
The company, which trades as Bangbet Limited, said in court documents that Rabow Company Ltd and Joe Muraya have allegedly become direct competitors by starting a parallel business known as Betmania, which is materially similar to Bangbet.
The applicant wants the High Court to issue a temporary order stopping the rival firm from using the trademark Bangbet and freezing its bank accounts at Stanbic Bank, besides suspending paybill numbers 937552 and 999880 in the name of Betmania.
“The applicant has painstakingly invested into the reputation and brand worthiness of the said brand known as Bangbet, and it is imperative that the court protect the said brand from deterioration, pending the hearing and determination of this suit,” said Xiao Kexian in an affidavit.
The respondents have not yet filed their responses.
The firm said it would also be asking the court to compel Rabow to present in court statements showing all transactions made in the stated bank account from June 1, 2024, to date.
Mr Xiao said Lucky Buss DMCC is the registered owner of the trademark Bangbet after acquiring it from Rabow.
He said the firm continued using Rabow’s licence until July 2024, when the registration of the assignment of trademark was issued.
However, Rabow allegedly started a parallel business known as Betmania.
To protect his trademark, Mr Xiao said he shifted his business to a new platform after applying to the Betting Control and Licensing Board, for a licence.
He said all the financial operations of the company solely rely on paybill number 999880, including payments to customers who successfully place bets and win.
Mr Xiao said the parties mutually agreed that any cash held by Rabow arising from the betting business would not be utilised for personal benefits unless with his express authority.
He said as its proxies, the friend-turned-rival was a trustee of his assets and property that was in his control, including money held on behalf of Lucky Buss DMCC.
He said he discovered that the company had started transferring money from the paybill number to a new paybill number 937552 in the name of Betmania and to a bank account at Stanbic Bank before he obtained his licence.
“The respondents have jointly changed the name of the said paybill account number 999880 from Bangbet to Betmania, ostensibly with the intention of confusing customers that Bangbet and Betmania are one and the same, in order to unlawfully recruit the applicant’s customers,” Mr Xiao said.
He said he has lost all control of the financial transactions and is unable to ascertain what the rival firm is doing to his business and finances.
He added that the actions are a threat to his business since punters cannot cash out their winnings.
He said part of expensive endeavours undertaken by the betting firm in order to build the brand was sponsoring a team in last year’s Safari Rally and a football team in the Kenya premier league.
He said Bangbet opened a paybill account number 569699 for its business, but it was suspended by the BCLB without any notice or opportunity to be heard.
“Such arbitrary action of suspending the second respondent’s paybill number 569699, especially on a weekend, which is peak trading time due to numerous sporting events across the country, has severely affected the applicant’s finances, cash flow and the ability to seamlessly conduct its business,” Mr Xiao said.
