New York Lottery feeling cautious amid courier service scrutiny
By Kate Northrop
The New York Gaming Commission revealed during a meeting last week that it will be conducting a review of its own practices following problematic publicity surrounding the Texas Lottery and courier companies.
In response to the controversy surrounding Texas Lottery's recent Lotto Texas jackpot wins, the New York Lottery announced that it's looking forward to a review of its policies to avoid facing similar issues down the road.
During a New York Gaming Commission meeting on Monday, Feb. 24, commissioners gathered to discuss Problem Gambling Awareness Month, but among other routine topics was a mention of the legislative issues the Texas Lottery is currently managing.
Last week, Senator Bob Hall threatened to defund the Texas Lottery if it does not comply with SB28, a bill that would criminalize lottery ticket courier services if it becomes law.
The controversy stems from two recent Lotto Texas jackpot wins. A New Jersey-based group "bought out" a $95 million Lotto Texas jackpot in April 2023 by purchasing nearly every number combination with the aid of lottery courier companies, and an $83.5 million jackpot was won by a single winner, who purchased the ticket through a lottery courier service.
These two wins have prompted Texas legislators, and now the New York Lottery, to investigate internal policies that make it possible for groups to organize a bulk purchase of a jackpot.
"The commission has noted in their discussions that there has been a real problem that has come up and subject of an awful lot of publicity on the Texas Lottery, and all the problems that are inherent in the cornering of that market," New York Gaming Commission Chair Bryan O'Dwyer said during the meeting last Monday. "The commission is, again, cognizant of that. We've had discussions with our staff, and we look forward to real review of that... and we want to make sure that that never happens in New York."
Part of the concern, O'Dwyer noted, stems from the possibility of minors engaging in unregulated gambling activities, and that there are avenues that allow underage gamblers to "participate in activities which are not suitable for them at all."
Another Commissioner, John Crotty, revealed that New York Lottery staff are already thinking through a number of related issues, such as who has access to lottery terminals and what that access looks like.
"I've expressed reservations in the past about our courier services, their access to our system and the implications for the lottery here in New York," Crotty added.
Given the Texas Lottery's ban on courier services last week, it is possible that the New York Lottery is considering similar moves to ensure "that everyone is on the same playing field" in games of chance. In other words, ensuring that no one is capable of buying out and profiting from a lottery jackpot in the state of New York.
"I have some serious questions about what that looks like today based on what happened in Texas," Crotty continued. "It's unclear on a number of factors, not the least of which, is they haven't been here already and operated the same type of plan that they did in Texas. I've been assured that that's not possible, but we've asked staff to take a look at that and make sure that's the case."
Crotty did not clarify who he was referring to as "they," but considering the successful execution of the planned $95 million Lotto Texas jackpot buyout, he is likely referring to "purchasing groups" in general.
"There's a broader question of couriers, generally, their access to the system and implication and fairness to our existing vendor network and the players themselves," Crotty concluded. "So hopefully, we'll see some of those answers in the near future and determine what would be in everyone's best interest."
Ok, here we go.
I don't really care about the big jackpot games because the odds are too ridiculous for me. I like to have fun winning on a regular basis so all I care about are the games that do not have prize amounts that increase over time (like the Pick 3) but they are being punished for something that can't even be done in those games. No jackpot can be bought in games that do not have a jackpot so why make it illegal to play those games through a courier.
The law must be specific based on the nature of the game.
We should have the option to not have to drive to the store to buy tickets. This is going to cause ticket sales to go back down. I think these lawmakers who own stores that sell lottery tickets will benefit from people having to only go to retailers to buy tickets.
Store clerk: Would like to buy anything they ask.
Me: NO just give me my tickets so I can get the hail out of here.
We should able to buy as many Pick 3 tickets as we want, when and where ever we want.
It doesn't make sense to include all games in these laws based on stopping people buying jackpots.
We are the players. We know what we want.
Players have power and we must use it to defend ourselves. Either these lawmakers know better and don't care about us nonjackpot game players or they're lack of knowledge/ignorance is why they make these blanket laws for games that have nothing to do with the problem.
This makes us feel like we should boycott the lottery until they make laws against buying jackpots that only apply to jackpot games. We may need to do 1 or more days of not buying any lottery tickets....maybe except through a courier where it's legal to do so.
I think it's an awesome idea to have stores that only sell lottery tickets. No one likes standing in long lines at the store, and plus we would be able to fellowship/interact with other players offline.
I love this game! Who is going to stand up for the players and act in our best interest?
Imagine if Lotterypost had brick-and-mortar stores all over the country where members could actually meet offline and have fun buying tickets together. The misguided laws affect our evolution as a lottery community. Some of us are great at seeing what's possible if we work together. Get the money and get organized under one vision/mission and we can make big things happen.
That is why couriers before you begin playing have you to submit proof of identification, hello!!!! This comment pertains to underage gambling. We know what we want, and having the comfort of not having to go to the store to play numbers is great. This is the 21st century.
Good for New York to ensure all players have a level playing field and not overreacting until they discover problems that need correcting.
More states are likely doing the same quietly and will quietly make necessary changes.
I say, boy, I say, good on those states that have taken steps to ensure a fair game for everybody.
Exactly! It's a waste of even playing if someone already bought the winning ticket! I wish the lottery would have the same energy with couriers and random number generators. Quess I'm asking to much!
Can more than one person win the same jackpot?
So if you have the winning numbers you just have to maybe split the winnings. It's just that the other person was guaranteed to win and the other person got lucky or even played a strategy and won.
Is it really unfair to other players if there can always be more than one winner no matter what
Yes, there can be more than one winner. But they could never win the total jackpot if one or the other bought all the combinations.
So when that happens the prize you're playing for is not the prize on the ticket, but half what it says. You could claim you were enticed or misled to buy the ticket due to the large prizes when the dot com who sold the ticket knew you could not possibly win the total jackpot.
This same dot com is under investigation by the DOJ and facing lawsuits from investors.
Their SPAC is facing nine charges, including perjury, obstruction, and allegedly trying to buy a winning ticket. He's facing 70 year in prison if guilty.
Another investor, Florida Phil, filed a lawsuit against them. His real name is Philip Gurian, who was convicted in 2004 of stock trading and money laundering charges.
The dot com says Florida Phil misrepresented himself when he invested 1.3 million with them.
Phil says he did it because he wanted to do business and even if he did misrepresent himself that doesn't mean dot com can keep his money.
The dot com won another case in Florida where a woman invested 1.9 million and was given a letter signed by the CEO.
The dot com took the position that the letter was not a contract and was not legally enforceable on conditions it needed the boards approval and the terms were too broad and vague.
Yet they admit to receiving the money either directly or indirectly.
And these are the people who secure and operate the terminals for third party couriers.
Can you trust them?
"There's a broader question of couriers, generally, their access to the system and implication and fairness to our existing vendor network and the players themselves," Crotty concluded.
I wonder what that statement means?
When they talk about "their access to the system" what does that mean?
Does it mean that they could go into the system, get behind the security walls and see what combinations have been bought already?
Or does it only mean the access to print tickets, whether QP or Own numbers?
I really hope it's the second option.
I wasn't talk to you.
It's okay. I don't mind answering your questions anyway.
Yes. The jackpot is split between grand prize winners. Why would I spend any money on a game that someone already bought the winning ticket? The odds are horrendous to begin with. Then I'm supposed to keep throwing money at a game that I know someone elese is gonna win. And mabye I might get lucky and win half. No thanks Im good! I mean if other people wanna play that's there choice. 🤷 I'm about over all the games anyway. Soon as mega millions goes up to 5 dollars a ticket. I'm probably done with them to. I mean I might buy a ticket or 2 if it's over a billion dollars. But keep playing regularly. Na.... i think I'll pass.....I'm all for spending a couple bucks on a pipe dream. But now the pipe dream is getting expensive and unfair. Like tonight the powerball numbers will be in groups. Like Mondays draw.
Same here. We're going to be watching our spending more closely and only play when the pot reaches those large amounts.
If nothing else, prices will eventually kill the lottery
I think I'm doing the same. This is getting pretty ridiculous. Between Texas. Then the powerball mishap. And even tonight's powerball number. I'm gonna give it a break. Thanks for sending me that message to my inbox. I'm new to all this on here with the messages and stuff. I used to be just a lurker. I'm still trying to navigate thru everything.
Happy to do it.
Soon everything will be second nature .
Dude did you see tonight's mega millions number? Whole Lotta zeros and eights!🤷♂️