Why were they fined?
The National Lottery operator Camelot has been fined £3m by the Gambling Commission due to allegations of a fraudulent prize claim in 2009.
Camelot had breached its operating licence and faced three key problems. These related to its databases and other information sources, the way it investigated the prize claim and its processes around the decision to pay a prize.
Camelot has paid the £3m fine, this also includes £2.5m to represent the amount that would have been received by good cause if the claim prize had not been paid.
Camelot said: “The allegation is not related in any way to The National Lottery draws,”
Camelot said they notified the commission when the issue came to light in late 2015 and got in contact with the police. The firm has cooperated with both sides since.
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 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,”