Audit: Montana Lottery Breaking State Law with Fantasy Sports Gambling

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By The Associated Press

Story Published: Sep 30, 2009 at 11:16 AM MDT

Story Updated: Sep 30, 2009 at 11:22 AM MDT

HELENA, Mont. - A legislative performance audit has found that the Montana Lottery's involvement in fantasy sports gambling doesn't comply with state law.

The audit, accepted by the Legislative Audit Committee on Tuesday, recommends legislative action to ensure that the state Board of Horse Racing had the authority to contract with the lottery to administer the fantasy sports games.

The audit also recommended that the Board of Horse Racing and the Montana Lottery terminate their agreement immediately.

Sherry Meador, an attorney for the horse-racing panel, says the board and the lottery have operated within their statutory authority and that the fantasy sports game is well-regulated and will continue.

A two-year-old law allows the board of Horse Racing to launch the fantasy sports gambling program in an effort to subsidize horse racing.

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