Hard times for Washington DC Lottery

Controversial issues related to DC Lottery deals are being disputed and put under overview.

Online gambling in Washington DC meets a series of difficulties. First the proposal implementation by DC Lottery was deferred because a public consultation was needed then the public consultation itself was deferred. All these things have direct effects on online gambling in DC.

Colbert King refers in his Washington Post article to an investigation made by Washington DC Inspector General Charles J. Willoughby, of a $38 million contract given by DC Lottery to IntraLot. This investigation has started in July 2010 by the attorney general at that time, Peter Nickles.

According to King, the passage of the online bill is related to the must pass budget. King points out that it is all about money. According to the procurement laws, the contract had to be given to a small local certified company with disadvantaged business.

Since there is almost impossible to find such a company that can operate a lottery, there was the need to have a small local partner company and an expert in this field, which to handle the operational matters.

As King’s article states, the contract was awarded by the DC Lottery to the Greek gambling company IntraLot in 2009, in December. After that, in 2010, IntraLot has been informed by Ward 8 council member Marion Barry that the council would approve the contract only if IntraLot would take on a local partner.

Barry took leverage on the situation to see a black businessman getting into the lottery business. That business man was Emmanuel S, whose company called Veterans Service Corp got a majority share in the contract. Willoughby refused to talk about any investigation progress and IntraLot sustains its fairness in the deal.

This story is connected to the online gambling proposal of Washington DC, where its builder, independent councilor Michael A Brown, did not reveal that he was employed by the legal firm Edwards Angell Palmer&Dodge as a senior public policy adviser, working for the government, job that got him a $240,000 salary in 2010.