High Court Declares Some of LottoStar's Activities Unlawful, Betting on Lotto in SA is Illegal

• The Mpumalanga High Court has ordered LottoStar to stop offering its customers bets on the outcome of the national lottery draws
• The court ruling stated that offering bets on the national lottery is unlawful in South Africa and against the Lotteries Act
• The High Court found that by offering fixed-odds bets, LottoStar was disadvantaging the national lottery and competing for its customers unfairly

MBOMBELA - Some of LottoStar's actions have been found illegal by the Mpumalanga High Court, which has barred them from offering bets on the outcomes of any lottery drawings.

According to The Citizen, fixed-odd bets which are offered by LottoStar are deemed illegal in South Africa and are a criminal offence based on the Lotteries Act.

The court's ruling found that LottoStar had violated Section 57 of the Lotteries Act of 1997 which stipulates prohibits anyone from participating in, facilitating or benefiting from a lottery that has not been authorised. It also deems the act of organising or providing a game of risk an offence.

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This means that any game of chance that has not been approved or authorised by the National Lotteries Commission is therefore illegal. The National Lotteries Commission stated that the court ruling affirms the regulator's authority and was pleased with the High Court's decision.

According to Mail & Guardian, the High Court found that LottoStar was competing with Ithuba Holdings for its customers while not having the same obligations the national lottery operator has.

The national lottery operator is required to 27% of its ticket sale earnings to the National Lottery Distribution Trust Fund while LottoStar only contributes 1.5% of its earnings. The money raised by the fund is used to fund non-profit organisations in South Africa.

Since LottoStar has fewer financial obligations than the national lottery, they are able to offer higher prize offerings to customers which gives them a competitive advantage over the national lottery.

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LottoStar has previously sponsored shows such as Love Island SA and the Bachelorette in South Africa.

Entrepreneur, 73, plans on sharing R30 million Lotto winnings with his community

Briefly News previously reported that a 73-year-old man who won the R30m Lotto jackpot says a good portion of his winnings will go towards helping his extended family as well as uplifting his community.

“I want to donate money to schools in the rural areas and in townships of Mpumalanga to afford the youth better education opportunities,” said the lucky winner.

Purchasing the winning ticket

The madala bought the winning ticket at Builders Express in Midwater Centre Aerorand, in Mpumalanga. He spent a mere R80 on the ticket, becoming one of Mzansi's newest millionaires.

The 73-year-old, who's chosen to stay anonymous, says he’s always on the move and he was so busy that he had forgotten to check his Lotto ticket until just the other day.

“I'm over the moon. I want to enjoy my winnings with my family and close friends. My family and I have a lovely home and my wife recently purchased a new car,” he said excitedly.

Source: Briefly News