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Michigan Lottery Email Raises Concerns

15 October 2004

LANSING, Michigan – As reported by the Detroit News: "An e-mail from the Michigan Lottery commissioner referencing a future game targeted at young adults with personal computers sparked a controversy this week with some state legislators concerned the state was getting into the Internet gambling business.

"The note from Commissioner Gary Peters warned of a possible loss of revenue from the passage of ballot Proposal 1, which would require statewide voter approval for most new forms gambling. Detroit's casinos and some lawmakers seized on a passage in the e-mail that said Proposal 1 could prevent the state from offering 'new styles of games to younger adults who prefer faster paced electronic games' and games 'utilizing player interaction with a personal computer.'

"Two state legislators - State Sen. Samuel Buzz Thomas, D-Detroit, and State Rep. Jack Hoogendyk, R-Kalamazoo - e-mailed a harshly worded letter to fellow lawmakers Thursday accusing the Lottery Commission of planning to launch an Internet-based gambling lottery.

"…Peters said Thursday he was not suggesting the state lottery venture into Internet gambling as some suggested. He said he was referring to games in which players purchase a game ticket at a lottery outlet and find out if it's a winner or loser by using an Internet connection to the Lottery Bureau. After playing a five-minute game, the computer will tell players the good or bad news. Whether or not players won or lost would be predetermined before the game is played.

"Peters conceded he didn't take enough time to explain the computer game in his note and is did some damage control Thursday by e-mailing lawmakers a detailed explanation of how the game works…"

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