GTech Corp. Earns Right To Fight For Lottery Contract

GTech Corp. never felt that they would be in this situation. They have been running the Ohio state lottery for years, and never was worried that they would lose the account. That is precisely what happened, however.

Intralot SA won the rights to become the lottery vendor for the state. The move was quickly challenged by GTech, who felt they did not receive fair treatment in the bidding process. They claim Intralot did not have to go through the proper screening before they were awarded the contract.

A panel of legislators on Tuesday, put off a decision to hire the new operator until GTech has had their proper chance to state their case in court. With the ruling on Tuesday, both Intralot and GTech have hired lawyers and lobbyists in the state of Ohio.

Intralot was not happy with the decision to delay the process. "This will start to be a big deal. Any lottery, especially one the size of Ohio, is going to want to use as much time as they can to get it right. Any delay hurts both of us," said Intralot's U.S. President, Tom Little.

The reason for the agreement with Intralot, according to Lottery Director Michael A. Dolan, is to save almost $24 million a year. That money will be used for the public school systems.

GTech is quick to point out that while the new contract might save the state money initially, the problems that will arise with Intralot's technology will eventually cost the state money.

June 4, 2008
Posted By Larry Rutherford
Staff Editor, CasinoGamblingWeb.com
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