Intralot vows legal action after Maryland regulator's lottery U-turn
The Maryland Lottery and Gaming Control Agency reversed its decision to award Greek firm the next lottery license, with Intralot stating the decision was based on the role of subcontractors
Intralot has stated it will pursue “every legal remedy available” after the Maryland Lottery and Gaming Control Agency reneged on its awarding of the state lottery contract to the Greek operator.
Last month, the state regulator announced Intralot would take on the next 10-year Lottery Central Monitoring and Control System from 2027, replacing Scientific Games in the process.
However, last week, the agency reversed its decision following a review of Intralot’s proposal.
The review alleged that Intralot’s proposal failed to meet some of the required Request for Proposal (RFP) demands.
Intralot said the rejection was based on the “alleged failure to meet the minimum required percentage of subcontracting to local subcontractors.”
The operator said the decision had come as a “great surprise”, claiming that its proposal had allowed for a “significantly higher percentage of the project to local subcontractors than the minimum required.”
Intralot went on to note that it had provided the agency with the identity and role of the chosen subcontractors.
Intralot said it had engaged nine local business entities to service the contract, in a press release announcing the news of the contract win.
The deal would have allowed Intralot to manufacture counter terminals and self-service machines that sell tickets at 4,300 Maryland Lottery points of sale.
The contract also involved developing the software required to run sales and accounting functions, and “numerous related services.”
An Intralot statement read: “The company reserves all its legal rights and intends to pursue every legal remedy available to protect the interests of its shareholders.
“The bid submitted by Intralot is technically sound and by far the most financially advantageous, significantly outperforming the second-best offer.
“Should it not be accepted, the State of Maryland stands to lose a substantial financial benefit.”
Intralot currently provides tech and facility management services in 12 US states.
John Martin, Maryland Lottery and Gaming Control Agency director, said: “As an independent agency, our review process is designed to ensure that proposals don’t advance without meeting all requirements.
“Upon determining that our initial assessment was incorrect, we have taken appropriate action to move forward with the procurement process in accordance with procurement law.”
In July, Intralot announced it had secured a deal to acquire Bally’s International Interactive in a transaction worth €2.7bn.