Kansas Lottery officials mull GTECH systems failure

Jul 15, 2008, 11:00 pm (6 comments)

Kansas Lottery

Kansas Lottery officials already had more than their hands full with the selection of gaming license applicants for their four casinos so they really didn't need another problem.

But, there it is:  a casino data systems failure from GTECH, the Providence-RI-based firm that manages the state's lottery activities.

"It was defective software, pure and simple," said Ed Van Petten, lottery executive director, in describing the systems failure. GTECH, a former publicly-traded American company, was purchased by the Italian Lottomatica company two years ago.

Van Petten explained that lottery officials had awarded GTECH the contract to be the central monitoring system for all casino games once the four state-owned, but gaming company operated, casinos are up and running.

"If they can't address software issues in the lottery system," Van Petten said, "how do we know they're going to be able to operate the gaming system. I'm not moving forward until I'm satisfied. There is too much at stake for the state to move forward with a knee-jerk reaction."

The problem Van Petten referred to involved the Pick 3 drawings on June 29, June 30 and July 1, officials disclosed. GTECH's system reported the wrong winning numbers. It was feared that many winning tickets were discarded before the errors were discovered on July 2.

When the corrections were announced, only seven of the 169 rightful winners claimed their share of $23,740 in prizes that should have been awarded. As for the tickets that were cashed holding the wrong numbers, the lottery said it would continue to honor those but would seek reimbursement from GTECH.

The only other bidder for the casino monitoring system was Scientific Games Corporation (SGMS).

Meanwhile, lottery officials are conducting hearings in the four designated areas of the state where casinos are planned. Hearings have been held in Sumner County and Cherokee County. Hearings are scheduled in Dodge City on July 31 and in Kansas City on Aug. 13.

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Comments

Todd's avatarTodd

Nice to see the Kansas is putting some focus on the computer systems, but I really wish they would seriously consider getting rid of the computerized drawing system.

I've said for many years that the first lottery to go back to real drawings will cause quite a stir among players, and if handled correctly — as a major player event with some nice web feeds of the live drawings as a novelty — that lottery will capitalize on some big sales improvements.

The people of Kansas deserve to get their real drawings back, and they will reward the lottery with big sales.

JimmySand9

Quote: Originally posted by Todd on Jul 15, 2008

Nice to see the Kansas is putting some focus on the computer systems, but I really wish they would seriously consider getting rid of the computerized drawing system.

I've said for many years that the first lottery to go back to real drawings will cause quite a stir among players, and if handled correctly — as a major player event with some nice web feeds of the live drawings as a novelty — that lottery will capitalize on some big sales improvements.

The people of Kansas deserve to get their real drawings back, and they will reward the lottery with big sales.

I couldn't agree more. It's funny, there have been all sorts of problems related to computerized drawings. Yet, no lottery official has ever made any procedural changes. Just an oops, a quick fix, and that's it. And this is not the first time Kansas has had problems with their draws. One thing is certain, they won't be changing to balls. They're simply too lazy, as are all lotteries who make the dreaded switch. They just want to reduce their workload, at any cost.

pick4hawk's avatarpick4hawk

This is why -a lot of people do not play.

I guess they feel were all donkeys.

After all, software can and will and must show a profit.

Drivedabizness

Have any of you folks ever contacted Ed Van Petten?

 

I know him - and he's one of the best guys I ever met in the industry. If any Lottery Director would give your argument a fair hearing, it would be him. 

Todd's avatarTodd

Quote: Originally posted by Drivedabizness on Jul 16, 2008

Have any of you folks ever contacted Ed Van Petten?

 

I know him - and he's one of the best guys I ever met in the industry. If any Lottery Director would give your argument a fair hearing, it would be him. 

No, not directly, but I have been in contact with other folks at the Kansas Lottery, and they have all been very nice.

I'm certain that they are all aware of the issue and my/our feelings on the matter.  This really has to be one of those things that germinates inside the lottery and builds support from within.  Otherwise the reaction is always, always, always defense of the current system.

I'll keep putting the suggestions and ideas out there as I come up with them, and maybe one of them will create a spark of interest. 

I know there is a lot of profit to be had, which is why I like to present it in those terms, but it's really the residents of the state who will benefit the most.

pick4hawk's avatarpick4hawk

In an age where --there are those in government who can pass laws to raise their own salary.

Not by ballet box.

Why would lottery officals re-start regular drawings that would cut into their pocket book?

End of comments
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