Friday, February 15, 2013

Pennsylvania's Attorney General Rejects Contract for Lottery Privatization

Pennsylvania Attorney General, Kathleen Kane
I have been keeping up with the latest news regarding Pennsylvania's proposed plan to privatize its state's lottery. I previously posted two articles to this blog (found here and here) tracking the most recent developments of the story.

For the past couple of weeks, Pennsylvania's Attorney General, Kathleen Kane has been reviewing the legality of the drafted contract. Governor Tom Corbett had a deal in place with British company, Camelot Global Services, to hand over control of the state's lottery to the private company.

Kathleen Kane announced yesterday that she has rejected the proposal "because the deal usurps the legislature's powers and runs afoul of state gaming regulations." Kane insists that she is striking the deal down simply because it is illegal. She further explains that she did not judge the contract for its potential profitability, only its constitutional legality. When reached for comment, Governor Corbett expressed his disappointment in the decision, and he is currently evaluating his options to appeal the decision. Angela Couloumbis, of the Philadelphia Inquirer, posted an article providing more details on this latest decision.


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