“Texans must be able to trust in our state’s lottery system and know that the lottery is conducted with integrity and lawfully,” Texas Gov. Greg Abbott said in a statement earlier this year. “Texans deserve a lottery that is fair and transparent for everyone.”
A lottery courier company has filed a lawsuit against the Texas Lottery Commission, claiming that it violated state law when it approved a ban against Lotto.com’s services in less than a week.
According to The Texas Tribune, the lawsuit was filed by Lotto.com against the Texas Lottery Commission and its current acting director, Sergio Rey. The company calls the state’s potential courier ban an abrupt “about-face” from the agency’s previous position. In the past, lottery officials told lawmakers they were unable to regulate courier-type services.
“It is time to reconsider the agency’s politically motivated decisions regarding lottery couriers and restart good faith collaboration between our companies and fresh leadership at the TLC,” the Coalition of Texas Lottery Couriers said in a statement.
Lottery couriers are third-party companies that let gamblers buy tickets online instead of having to visit a physical website. Many couriers charge a fee for purchasing and managing tickets.
In Texas, lottery couriers have been largely unregulated. Earlier, lottery officials indicated they were concerned about the impact couriers have or could have on the integrity of the state’s games.
“We are taking decisive steps to uphold the public’s trust and ensure that the lottery operates as intended—in a fair and secure manner,” said then-Texas Lottery Commission executive director Ryan Mindell.
Mindell resigned from his position earlier this year; the commission did not provide an immediate explanation as to why he left the agency.
In its lawsuit, Lotto.com claims that the TLC violated its own rules when it imposed restrictions on couriers without providing at least 30 days’ notice. However, Texas officials have repeatedly raised concerns about organized efforts to manipulate the lottery system. In 2023, for instance, an individual won a $95 million jackpot after purchasing every possible number combination—about 25.8 million different numbers. The scheme was orchestrated, in part, by a man from Malta, and financed by a London-based betting company.
“Texans must be able to trust in our state’s lottery system and know that the lottery is conducted with integrity and lawfully,” Texas Gov. Greg Abbott said in a statement earlier this year. “Texans deserve a lottery that is fair and transparent for everyone.”
The state attorney general’s office is also conducting an active investigation into suspicious lottery transactions and winnings.
“I’m deeply concerned about the integrity of our state’s lottery system, especially when it appears that non-citizens have shown that they are attempting to rig the system to win on demand,” Texas Attorney General Ken Paxton said in a press release. “Texas citizens deserve far better than bad actors getting rich off a lottery system that is open to exploitation, and we will hold anyone who engages in illegal activity accountable.”
Sources
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Texas Lottery executive director resigns as lawmakers’ scrutiny mounts
What’s up with the Texas Lottery – and what exactly is a lotto courier service?
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