Texas Sen. Bob Hall laid out his case for abolishing the Texas Lottery altogether in a committee hearing on Monday, calling it an “illegal organized crime” operation.
Hall is the author of SB1988, which proposes abolishing the state lottery and shutting down the Texas Lottery Commission (TLC) by January 1st, 2026.
Speaking to the Senate Committee on State Affairs on Monday, Hall stated that he believes an “organized crime scandal has been operating behind the shield of being a Texas State government agency.”
This is in reference to a 2023 incident in which a group of individuals spent $25 million to purchase 99% of winning lottery ticket combinations and netted a $95 million jackpot.
He alleged that TLC staff were complicit in the “illegal organized crime lottery operation” and that, “There is no way to reorganize, restructure or restore the integrity of the government-run Texas Lottery.”
He concluded his presentation of the proposed abolishment by stating, “I strongly believe that the only legislative change that would have a meaningful impact and eliminate the culture of corruption of the organized crime center embedded in the Texas government is legislation that completely and permanently abolishes the Texas Lottery Commission.”
Texas Lottery scandal
A group named Rook TX reportedly spent approximately $25 million to purchase nearly all possible combinations for a Lotto Texas drawing, securing a $95 million jackpot in April 2023. As a result, TLC Executive Director Ryan Mindell resigned from his position in 2023.
The TLC has referred the matter to the FBI, and early investigations suggest that officials may have facilitated the scheme by providing additional ticket terminals and overlooking irregularities.
Hall also accused third-party couriers of taking part in the criminal activity. He stated, “The courier companies were the middleman between the groups and advanced lottery commission officials were deliberately indifferent. At worst, they were co-conspirators in the vastest financial crime since Enron.”
Last month, the TLC voted to ban courier services, such as Lotto.com, from operating in the state. Lotto.com is challenging the legality of this move in court.
Texans gambling in high numbers
Last year, Texans bought over $8.9 billion worth of lottery tickets, marking the second-highest year of ticket sales. With no Texas online casinos gamblers play the lottery, or turn to alternative platforms, such as sweepstakes. It is estimated that unregulated gambling platforms generated over $4.5 billion in the state last year.
A ban on the state’s only legal gambling may increase the number of bettors using unlicensed operators. Committe Vice-Chair Angela Paxton acknowledged that Hall’s solution is “definitely the nuclear option”.
The lottery is due for a Sunset Review, and if the lifespan of the TLC is not extended, then it will dissolve at the end of August this year. With the state’s only gambling revenue coming from the lottery, it remains to be seen whether lawmakers will allow this to happen.
Hall’s bill was left pending in the committee at the end of Monday. It could still be sent to the Senate floor, but there are just eight days left until the Texas House bill deadline.
If banned, Texas would join a small number of states, including Utah and Alabama, that do not allow state lotteries. US Lottery games are currently legal in 45 states.
Adam is an experienced writer with years of experience in the gambling industry. He has worked as a content writer and editor for five years on sites such as Oddschecker, CoinTelegraph and Gambling Industry News, bringing excellent knowledge of the world of sports betting and online gambling. Adam focuses on emerging stories in the ever changing landscape of betting in the US. Read the latest on prediction markets, changing legislation, and sweepstakes.
