Texas Lottery Commission to ban lottery courier service

The commission declared that lottery ticket couriers are no longer legal under state law.

US.- Texas Lottery Commission executive director Ryan Mindell has issued a policy statement confirming plans to prohibit lottery courier services in the state. Under proposed amendments, a retailer that works with a courier service would have their lottery ticket sales agent licence revoked.

The rule amendments will be formally proposed by agency staff at an open meeting scheduled for March 4 with the intent for the amendments to be adopted at an April open meeting following a 30-day public comment period. Mindell said the move “aligns with legislative efforts to address serious concerns raised by players and state leadership regarding the integrity, security, honesty and fairness of lottery operations.” 

The media statement noted that couriers that take lottery ticket orders from customers online are unregulated. Upon receipt of funds from a customer, the courier purchases lottery tickets from a licensed lottery retailer. In practice, the courier and the retailer are often located in the same building or office, the statement says.

Mindell said: “The Texas Lottery was established to provide a secure and transparent system for players to purchase tickets in person from licensed brick-and-mortar retailers for the purpose of generating revenue for public education and veterans’ services in a responsible manner.

“Lottery courier services operating in Texas have been a significant concern for many of our stakeholders. Previously, the agency interpreted its authority as not extending to the regulation or prohibition of these services. Since I became executive director less than a year ago, I have been keenly focused on making changes to improve the public’s perception of Texas Lottery games and how they are played and operated.” 

He concluded: “In recent days, our agency conducted a review of our authority under the State Lottery Act. As a result of this review and information from recent retailer investigations, the Commission will revoke the licence of a retailer that works with or assists a courier service and we are moving to prohibit courier services in Texas to ensure all ticket sales comply with state law and agency regulation as well as to maintain public trust.”

Robert G. Rivera, chairman of the Texas Lottery Commission, said: “Our priority is to protect the security and integrity of the Texas Lottery and the public’s confidence in our games. By this rule proposal, the agency will take decisive action to ensure that ticket sales remain in full compliance with state law. 

“Maintaining a well-regulated lottery system that serves the people of Texas is essential to fulfilling our mission of responsibly generating important revenue for public education and veterans’ services in our state. I look forward to adopting these rules our commitment to the people of Texas. The Texas Lottery Commission is dedicated to upholding the integrity of lottery operations and will work in full cooperation with the Legislature to implement any further changes deemed necessary.”