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GoB announces lotteries tender for 4 regional Master Agents

HeadlineGoB announces lotteries tender for 4 regional Master Agents

Photo: Logo of the government-owned company that will administer the government lotteries

BELIZE CITY, Mon. June 19, 2023

Belizeans who indulge in games of chance have been on an unwanted fast from all government lotteries (Boledo, Jackpot Lottery and Ordinary Lottery) for 49 days, since May 2nd. That’s the effective date of the revocation of the gaming license for Brads Gaming Group, which still had seven more years to go on its contract. With growing impatience over the length of time it is taking to get Boledo back up and running, many have criticized the Briceño Administration’s apparent lack of a plan after they took back the government lotteries. However, Prime Minister John Briceño has insisted that they are doing things properly so that Belizeans are the ones who benefit from the new lotteries scheme when it is eventually set up.

At the end of May, Briceño reported that the government-owned company (Belize Government Lotteries Limited, BGLL) that will administer the public lotteries has already been registered, and they were next moving to set up the board of directors and to find the four regional master agents to sell and distribute lottery tickets (one each for the north, south, east and west of the country). On Friday, June 16, in a tender notice, the Ministry of Investment issued a call for bids.

There will be two rounds in the tender procedure, with the first consisting of a review of the technical proposal and short-listing of applicants. The short-listed applicants will then see a review of their financial proposals, after which the most suitable applicants will be selected. Bidding companies must have a minimum of 5 years of experience in management and sales and be “fit and proper” persons (of good character and reputation, not bankrupt or having been convicted of an offence involving fraud). If a previous license holder applies, they must “have a history of full compliance with the Lotteries Control Act and Regulations.”

The Ministry of Investment advises that all applicants will bear all costs of preparation and presentation of their documents so “no claim shall be enforced against the Selection of Tenders Panel.”

The Ministry has set aside June 20, 2023 to July 7, 2023 as the period for the submission of applications.

In its Terms of Reference to guide applicants to become master agents, the Ministry of Investment states that it is “currently ensuring all procedures, systems, equipment, and personnel are in place to operationalize BGLL.” The Government cites as benefits from its direct administration of lotteries, that sales will be electronic, thereby reducing illegal lottery sales. Additionally, it notes that due to the use of technology, costs will be reduced and revenues will increase. It says anyone can apply to be a sub-agent (no bond required), and a lottery expert will be hired to audit and maintain the equipment, systems and processes. It also states that loopholes used for tax avoidance in the lotteries sector will be remedied.

The four master agents will be required to establish the management, distribution and sales of tickets to sub-agents and establish prize claim centers and a policy for customers to redeem winnings. They must also formulate a strategy to monitor and report the sale of illegal lotteries and “maintain financial ability to be a Master Agent over the course of the agreement with the ability to cover payment of commission to sub-agents and payment of winnings in a timely manner.” The Master Agent must present a certified bank letter showing it is in good standing and has access to a minimum of $1,000,000 in their accounts and a letter of assurance from a financial institution that a Bond of $500,000 (to be renewed annually) can be provided to cover any winnings to be paid.

Terms of service will be for a period of 1 year “subject to the conditions of the agreement.” The non-refundable application fee is BZ $15,000. Forms are available at https://www.invest.gov.bz/ or can be requested from the Investment, Policy and Compliance Unit, the Office of the Prime Minister, and the Ministry of Investment.

The Selection of Tenders Panel shall comprise a representative from the Ministry of Finance, two representatives from the Lotteries Committee, and two representatives from BGLL.

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