Texas Lottery Commission opens investigations against retailers associated with courier services

AUSTIN (Nexstar) -- The executive director of the Texas Lottery Commission (TLC) confirmed on Tuesday the agency has opened multiple investigations against known retailers associated with a courier service.

A lottery courier service allows people to purchase lottery tickets online or through their phone.

"We have taken action because of violations of existing rule or statute against all the known retailers associated with couriers," Ryan Mindell, the executive director of TLC, said on Tuesday to the Texas House Committee on Licensing and Administrative Procedures. "A number of them have either voluntarily surrendered their license, or they have stopped their relationship with the courier."

A spokesperson for the commission told Nexstar the agency issued "show compliance" letters to eight retailers. "As seven of the enforcement cases remain open and pending, we are unable to comment further or provide any additional details on those at this time," the spokesperson said in an email.

The commission recently proposed a rule change on March 4 that would prohibit a lottery retailer from working with a courier service. The rule change must go through a 30-day public comment period before it can be approved at another open meeting in April.

If the rule change is approved then the TLC can revoke the license of any retailer that solely works with a courier. The proposed rule change reads, "The TLC intends to exercise this authority through administrative enforcement proceedings to revoke the lottery ticket sales agent license of a retailer that works in concert with a courier, whether under a common ownership arrangement or otherwise."