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Economy

National Lottery Authority sued

The Ghana Lotto Operators Association and six others have filed a suit at an Accra High Court to stop the National Lottery Authority from attempting to monopolise the lotto business in the country. The six other plaintiffs are Obiri Asare and Sons Limited, Rambel Ent. Limited, Agrop Association Ltd, Dan Multi-Purpose Trading Ent. Ltd., Star Lotto Ltd and From Home Enterprises. They want an interlocutory injunction to restrain the defendant from "interfering with the property rights or lotto operating business of the plaintiffs pending the final determination of this matter." In a statement of claim filed on August 13, the plaintiffs seek "a declaration that the directive from the National Lottery Authority to private lotto operators to surrender machines or equipment used for the operation of lottery to the Director-General by August 14, 2007 is unconstitutional, illegal and unreasonable." They are praying for an order to set aside that directive and a further order restraining the defendant from "unlawfully, unconstitutionally or unreasonably interfering with the property rights of the plaintiffs." Furthermore, the plaintiffs want a declaration that the National Lotto Act, 2006, (Act 722), to the extent that it outlawed the operations of lotto business by private lotto operators, infringes the constitutionally guaranteed right of the private lotto operators to free economic activity. Besides, they request for a declaration that "the creation of the National Lottery Authority to take over and monopolise the operation of the lotto business in Ghana infringes the constitutional injunction to the government to ensure a pronounced role of the private sector in the economy," as well as cost. In their statement of claim, the plaintiffs said they have been in private lotto operating business since 1989 and presently have a large number of employees and independent agents who conduct business for them or assist them in the operation of their lotto business. According to them, the National Lotto Authority in July advertised in the media its establishment and said it was the only body that was mandated under the Act to operate lotto business in the country. "Some of the announcements also listed various fees the defendant intends to charge for licenses to be issued to lotto marketing companies and added that it has taken over the products and machines of the Department of National Lotteries." Plaintiffs contend that they have their own marketing agents and could not be easily relegated to the position of lotto marketing agents. "The defendants have actually taken over the assets and liabilities of the DNL and the latter have ceased to exist." They further claimed that the advertisement also directed all persons, who before Act 722 came into effect had their own machines or equipment for lottery business to surrender such equipment to the Director-General of NLA before August 14. "The machines or equipment in question are our own property acquired with our own resources. We do not only have assets but also liabilities that cannot be severed from the assets," they contended. They further said that the NLA did not negotiate with them in respect of the machines or equipment as stipulated by Act 722. Source: The Ghanaian Times

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DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.