The beleaguered Texas Lottery Commission stated it will prohibit lottery courier services and rescind the license of any retailer that sells tickets to these companies. 

In a statement on Monday, Texas Lottery Executive Director Ryan Mindell clarified that the commission's updated stance stemmed from an evaluation of state law. 

The reversal on the legality of couriers follows shortly after Texas Lottery Commissioner Clark Smith's resignation during significant legislative examination of the commission. The state's Lt. Gov., Dan Patrick (R), has stated that he would eliminate the lottery completely if couriers were not prohibited. 

 

System Manipulated 

Critics have charged the commission with embracing lottery couriers, enabling players to buy tickets from a distance, without the direct consent of the legislature. This allowed a clandestine European syndicate to purchase 25.8 million tickets, sufficient to include all possible winning combinations for the April 22, 2023 drawing. 

The group won a $95 million jackpot along with millions in additional prizes. 

Additionally on Monday, Texas Governor Greg Abbott (R) revealed that the Texas Rangers were looking into the jackpot, as well as another, a $83.5 million prize won last week by an individual who likewise bought their ticket through a lottery courier.

“Texans must be able to trust in our state’s lottery system and know that the lottery is conducted with integrity and lawfully,” Abbott said in a statement.

The winning ticket for February 17 was bought through a courier named Jackpocket.com, which is owned by DraftKings. 

DraftKings claims the purchase was ordinary. It wasn’t a large purchase, and the victor was a resident of Texas who purchased 10 tickets. 

 

How Do Couriers for the Texas Lottery Operate? 

Couriers enable their users to select their numbers and purchase tickets via an application. The courier will complete the order by purchasing tickets from a certified physical lottery vendor. The courier subsequently scans the tickets and returns them to the customer. 

Since lottery couriers manage a high volume of tickets, they rely on licensed retailers that are specifically outfitted with sufficient lottery terminals to handle large orders. At times, they possess these outlets personally. 

The Texas Lottery is presently being evaluated by the Sunset Advisory Commission (SAC), which is responsible for assessing the effectiveness of state agencies prior to suggesting enhancements or potentially concluding that they should be dissolved. 

In a report released last July, SAC expressed strong criticism of the lottery commission, claiming it had grown “stagnant” and “passive” in its inability to address the courier loophole.