Camelot Lottery Agreement Disapproved by Pennsylvania Attorney General

According to the state's Attorney General, Kathleen Kane, the Pennsylvania's intention to hire the UK lottery operator Camelot to run its $3.48 billion state lottery is illegal as the governor's office "exceeded its authority" in awarding the contract.

Underlining that the agreement with Camelot was concluded without the state Legislature's approval and is unconstitutional as such, Kane said Thursday that the contract was particularly illegal because it infringed on the Legislature's authority; permitted online games requiring the Legislature's approval; and allowed Camelot indemnification of 'indirect expenses' thus breaching the constitution.

The former Pennsylvania AG and current Governor Tom Corbett agreed in January this year to award management of the state lottery to Camelot which estimated $34 billion in lottery profits over the next 20 years.The event immediately triggered criticism from Democratic Party officials and a lottery workers' Union.

The governor has not yet commented on the AG Kane's recent statements.

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  • United States chillymellow


    Well, that puts a damper on things, doesn't it? I was anxiously awaiting a successful turn of events regarding Pennsylvania's try at internet lottery. It would have been a step in the right direction towards finally getting the US market into the online gambling arena. I am hoping that they resolve the issues quickly and get the game going online.

    It's an interesting timeline with the approval of the outgoing Attorney General being overthrown by the incoming Attorney General. Did the governor perhaps do some good old boy politicing in order to push the approval through? How exactly did they exceed their authority in awarding the contract in the first place? If legislative approval is required, how would they be able to get the approval without it. It all seems odd.

    I would think that there would be charges brought against the governor and former attorney general if they were committing unconstitutional acts with the state's money. But I haven't heard any news about the governor and any unconstitutional actions other than this brief mention here. I would love to see an update with the governor's and anyone else's involved statements. This really is a can of worms being opened.

    I wish Pennsylvania the best of luck in resolving this issue and in getting their online lottery system up and running. That high revenue that they can earn is probably one of the best things that could happen to the state.

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