LOTTERY SCHEMES, GENERAL RULES
1. The following shall be posted in a conspicuous place in
the premises designated for the conduct and operation of
a lottery event:
(a) a copy of the current licence authorizing the
lottery and any amendments for the
licence;
(b) related schedules;
(c) house rules; and
(d) notices and posters, as required by the
division.
2. (1) With the exception of charities, registered with
the Charities Division of the Canada Revenue
Agency, licensees shall open and maintain a
separate designated lotteries trust account in a
financial institution authorized to take deposits
and to administer proceeds of the money derived
from lottery schemes.
(2) Registered charities shall maintain separate
lottery accounting records which shall
include deposit books, journals and ledgers.
3. In administering the trust account the licensee shall
appoint a minimum of 2 signing officers, who shall be
members of the licensee and who shall write cheques on
behalf of the licensee.
4. The licensee shall reconcile the trust account on a
monthly basis, or as activity permits.
5. (1) Cash proceeds from lotteries shall be deposited
into the licensee=s trust account immediately
upon receipt.
(2) The licensee shall not deposit money
received from any other sources other than
lottery activity into the trust account, transfer
funds by any means from the trust account
into an operating or general account of the
licensee or close the trust account until all money
has been used for the approved charitable or
religious object or purpose .
6. Any interest accrued on the trust account shall be used
for the charitable or religious object or purpose of the
licensee.
7. Where a lottery is conducted on the occasion of, or in
conjunction with some other lawful activity, such as a
dinner, dance, entertainment, fashion show etc. the
percentage of the overall event revenues that are derived
from lotteries shall be deposited in the trust account as
reported, and used only for authorized purposes.
8. (1) All expenses incurred as a result of conducting
the lottery shall be deducted and paid out from
gross receipts derived from the lottery.
(2) Unless there is negative revenue, the
licensee shall use no money from any other
source to pay for lottery expenses.
9. (1) The licensee shall maintain the division=s
financial records that relate to the licensed
lottery, or a similar version that is approved by
the division.
(2) In addition the licensee shall maintain books
and other documents in support of all
financial records and reports.
(3) The licensee shall obtain receipts for each
expense incurred.
(4) These records shall be kept up to date and be
retained for no less than 6 years from the expiry
date of the licence.
10. A peace officer as defined by the Criminal Code, or an
official of the division, shall be given unencumbered
access to all areas of a premises on which a lottery
scheme is taking place and, the officer or official shall
be given unencumbered access at any reasonable time to
all records pertaining to a lottery scheme, including the
records of any commercial agent, and if considered
necessary to remove the records from a premises.
11. (1) When requested the licensee shall deliver to the
division, or permit the removal of, the licensee=s
books, records and other documents that would
be requested.
(2) Where the licensee refuses access or does not
produce as requested, records or documents, the
division may suspend or revoke licences.
12. The division may require the licensee to provide audited
statements in accordance with guidelines established by
the division.
13. A lottery event shall be conducted in a suitable premises
as approved by the division.
14. (1) All equipment used in the conduct of a lottery
shall be located in an area visible to the players.
(2) Equipment shall be maintained in good
working condition and shall be made
available for inspection, upon request.
15. The licensee shall comply with all federal, provincial
and municipal laws.
16. In any licensed lottery scheme, the chances of winning
shall be equal for all players or participants.
17. (1) A licensee shall not enter into a contract or
agreement, written or verbal, implied or stated,
for the supply or purchase of goods or services,
unless the method of payment is fixed and pre-
determined.
(2) Payment terms based upon a percentage or
commission shall not be allowed.
(3) Excluded are commissions paid on ticket entry
sales.
18. The licensee shall not offer as a prize, tickets for a
proposed future lottery.
19. (1) The Liquor Control Act precludes the