Friday, 16 December 2016

National Lottery's Camelot in £2.5million payout on 'highly likely' fake ticket

National Lottery
Camelot have been fined £3million after paying out on suspect lottery claim

Although never charged or convicted, the player successfully claimed about £2.5m which would otherwise have been ploughed into good causes, the Gambling Commission estimated. 
Camelot has been hit with the fine after it breached its licence and the commission ruled it had
committed “serious” failures. 
The prize payout goes back to 2009, but it only came to light this year. Police launched an investigation and arrested a man who was later released without charge.


Camelot will now be forced to put the money back into good causes. 
The Gambling Commission said it was “highly likely fraudulent prize claim had been made and paid out."
Commission chief executive Sarah Harrison said: “The Gambling Commission's chief concern is to ensure the National Lottery is run with integrity and that player interests are protected.
"Camelot's failures in this case are serious and the penalty package reflects this. Importantly, the package also ensures that good causes will not lose out as a result of Camelot's licence breach.
Lottery balls GETTY
Herts Police had to launch an investigation
"Lottery players can feel reassured that our investigations have found no evidence of similar events happening and that controls are in place today to mitigate against future prize payout failings of this type.”
A spokesman added:”The Commission’s investigation has established that the circumstances of this case were specific and did not uncover systemic failings of the kind that would call into question other prize payouts.”
The Commission found that Camelot had breached the terms of its operating licence in three key aspects:
• its controls relating to databases and other information sources;
• the way it investigated a prize claim; and
• its processes around the decision to pay a prize.
A spokesperson for Hertfordshire Police’s Cyber and Financial Investigation Unit, said: “An allegation of fraud connected to a lottery win from 2009 was investigated by Hertfordshire Constabulary’s specialist Cyber and Financial Investigation Unit working with the Gambling Commission.
“As part of the investigation a man was arrested on suspicion of fraud by false representation.
“Following a thorough investigation the man was released with no further action to be taken against him.”

Lottery ticket GETTY
The incident allegedly involves a deliberately damaged ticket
Chief executive, Andy Duncan, said: "It's really important that people understand that this allegation relates to a unique, one-off incident dating back to 2009 and involves a potentially fraudulent claim on a deliberately damaged ticket. It has nothing to do with The National Lottery draws themselves
.
"We accept that, at the time, there were some weaknesses in some of the specific controls relevant to this incident and we're very sorry for that."

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