Paper Showing the Words Legal and Illegal

Questions Over Legality of D.C. Lottery and Sports Betting Contract, Photo by Pixabay Laws & Regulations

D.C. Council Expresses Concerns About Lottery and Sports Betting Contract

By Lisa Spencer Senior Editor Updated: 19 September 2019

Lisa Spencer Senior Editor

As a Senior Editor at Betting.US, Lisa Spencer is a valuable member of our expert team. With a Master’s degree in Applied Mathematics, Lisa is adept in gambling theory and analyzing odds. She contributes by writing online sportsbook reviews and finding competitive markets to help our readers make an informed choice.

See Full Bio

Several members of Washington D.C.’s council board have voiced concerns about the recent contract that was awarded to Intralot. The contract – worth $215 million and covering both lottery and sports betting – was awarded earlier this month, and officials are worried that the contract doesn’t fulfill local business subcontracting requirements.

Recently, the Washington Post carried out an investigation into the contract, and found that the Greek company behind Intralot has no employees. They then discovered that the top executive is actually paid directly from another company run by Intralot – and not the small business that it listed on application forms with the council.

After raising their concerns, the council members were reportedly told from a ‘high-level District staffer’ that “everything’s fine.”

What Else Did the Washington Post Uncover?

The investigation also found that Veterans Services Corp – the company listed by Intralot as their main subcontractor – also has no employees. In fact, their website – which is still active now, at the time of writing – showed off company executives who didn’t even work at the company.

D.C. Council member Elissa Silverman has been personally looking into the matter, and she’s asked Attorney General Karl A. Racine to look at whether the contract can be nullified or not. Another Council member – Mary M. Cheh – has also written to the Attorney General, asking whether the companies involved in the contract had committed fraudulent activities – raising the possibility that an investigation by law enforcement officials might open. Racine’s spokesperson announced on Tuesday that the office was ‘looking into the matter.’

It’s no secret that Silverman has been an opponent to the contract from day one, however. She voted against the no-bid contract earlier this year and had this to say about the process:

“We really aren’t concerned whether it’s a real company, or there are employees, or whether local businesses and District residents actually benefit. Our residents are growing more cynical about how our government operates, and this is a perfect example that their cynicism is valid.”

What Happens Next?

If the Attorney General’s office decides that fraudulent activity has taken place, then it’s very likely we’ll see a proper investigation opened into the conduct. This could also raise some questions to the ‘high-level staff member’ of the Council’s conduct – and claims of bribery have already been voiced by some.

Regardless of the outcome, it’s a devastating blow for all involved – and if the contract is nullified, it’s also a big blow for punters in Washington D.C. At the time of writing, it appears as though investigators are still trying to determine whether or not the Veterans Service Corp is a shell company or not. However, representatives from the Council have started that they’ve ‘double checked’ everything, and all is above board and legit.

Only time will tell as to whether things really are above board or not – and it’s unlikely that this will be the last we hear of this developing story.