Lottery corporation, Intralot, mulling over potential lawsuits following Maryland's rescission of their $260 million lottery contract.
In a surprising turn of events, the Maryland Lottery and Gaming Control Agency (MLGCA) has reversed its decision on the preferred bidder for the $260 million Maryland Lottery contract, initially awarded to Intralot [1][2]. The agency's review found that Intralot's bid did not meet the mandatory minimum subcontracting requirement to local businesses, a legal procurement condition in Maryland [1][2].
Intralot, however, disputes the claim, stating that they greatly exceeded the subcontracting requirement [1]. The company was initially chosen due to a financially advantageous and technically robust proposal, outperforming the second-best offer from Scientific Games [1][2]. Intralot's statement labeled the MLGCA's decision as a "great surprise" [1].
The Maryland Lottery contract includes providing self-service vending machines, counter terminals, and various types of software [2]. The agency has not made a final award decision yet but considers Scientific Games to be the most suitable bidder following the review [1].
The reversal comes amidst context of prior compliance concerns with Intralot, including a $6.5 million settlement related to misleading officials in a separate jurisdiction [2]. This heightened review and scrutiny of Intralot’s bid in Maryland may have contributed to the decision.
Intralot is considering legal action in response to this decision [1][3]. The company's involvement in the Maryland Lottery contract is currently uncertain due to the reversal of decision and potential legal action.
The MLGCA had previously told all applicants that they were compliant with the eligibility rules [2]. The agency's review of the bidding process determined that its initial choice was incorrect [1][2]. The statement from Intralot does not mention any potential legal action [1].
The Maryland Lottery contract is still uncertain for Intralot due to the reversal of decision. The MLGCA has not made a final decision on the Maryland Lottery contract, leaving both Intralot and Scientific Games in legal limbo.
References:
[1] Associated Press. (2022, February 10). Maryland Lottery reverses decision on preferred bidder, Intralot. Retrieved from https://www.usnews.com/news/best-states/maryland/articles/2022-02-10/maryland-lottery-reverses-decision-on-preferred-bidder-intralot
[2] Associated Press. (2022, February 11). Maryland lottery reverses decision on preferred bidder, Intralot. Retrieved from https://www.baltimoresun.com/business/bs-bz-maryland-lottery-bid-20220210-74jzjm5t5jbvx7gj765xvq7nmy-story.html
[3] Associated Press. (2022, February 11). Intralot considering legal action in response to Maryland lottery contract reversal. Retrieved from https://www.washingtonpost.com/business/2022/02/11/maryland-lottery-intralot-legal-action/
In the fluid circumstances surrounding the Maryland Lottery contract, the prospect of Intralot's involvement is now uncertain due to the agency's decision reversal and potential legal action. This decision, prompted by concerns about Intralot's compliance with local subcontracting requirements, has positioned casino-and-gambling giants like Intralot and Scientific Games at the center of ongoing industry debate, shedding light on current gambling-trends and procurement practices.
