The Nova Scotia government will investigate the Atlantic Lottery Corp. to find out if some retailers might be cheating ticket buyers out of their winnings.
The move comes in the wake of a report that indicated retailers were winning 10 times more often than they statistically should.
Labour Minister Mark Parent said he wants answers to some simple questions.
"Why are retailers winning at 10 times the amount of the general population?
"Is there any possibility that retailers have not been forthright with customers who have winning tickets who didn't know that?
"Those are the immediate questions we're looking at," Parent said.
Parent said the review will start as soon as possible, and will include outside experts working with his department.
Probe pleases Liberal
"I have no reason to say there was or wasn't fraud. But I think, in light of concerns that have been raised, it's important to have a thorough review, using outside experts, [so] that I can assure Nova Scotians, because I myself cannot stand right now and say categorically there is no problem.
"Until I can do that, and this government can do that, it's clear we need to do something more," Parent said.
Two weeks ago the Atlantic Lottery Corp. concluded that although statistically retailers were bigger winners than they should have been, it couldn't find evidence of fraud.
Liberal MLA Leo Glavine is eager to hear what investigators find.
"I'm absolutely happy. I think there will be some interesting developments, even just based on the information that has come to our party."
Glavine said those who buy lottery tickets need to know that if they win, they'll get to enjoy their winnings, and not be cheated out of them.
However, New Democrat MLA Vicki Conrad is worried that a long and involved review of the lottery corporation's operations will be expensive.
Ban urged on retailers
She said a simple answer would be to forbid retailers from buying the tickets they sell.
"It would take away suspicion. It would take away any doubt that retailers are being unscrupulous in their actions, and I think it would answer all of the security [questions] that consumers [have].
"We can put in all kinds of checks and balances but, at the end of the day, have we really taken suspicion off of those retailers?"
Conrad said most retailers are honest and shouldn't be placed under suspicion.
In Ontario, provincial police have been called in to investigate tens of millions of dollars in suspicious lottery wins — prizes paid out to Ontario Lottery and Gaming Corp. ticket retailers and lottery corporation insiders — following a damning report by the provincial ombudsman Monday.
Atlantic Lottery Corp. vice-president Mike Randall said the corporation has no plans to ask police to investigate.
'Not a policing organization'
"At the end of the day, we're not a policing organization. If we had evidence of wrongdoing, we would contact the local authorities. If there are others who believe there is wrongdoing, then it would be up to them to contact the local authorities," Randall said.
In New Brunswick, ombudsman Bernard Richard said he sees no need for an investigation by his office.
Richard said he believes some ticket retailers have been committing fraud, but it would be hard to find the right kind of evidence.
"We're talking about fraud or stealing, essentially," Richard said. "That's what it is, and so if anyone has any indication they may have been defrauded or had something stolen from them, their ticket, they should report it to the RCMP."
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