Chamber
pei
Stage
Introduced
This PEI bill creates a formal licensing and oversight system for charitable lotteries run by non-profit and religious organizations.
Key Changes
- Creates a formal licensing system for charitable and religious organizations to run lottery schemes in PEI
- Establishes a Registrar responsible for issuing, suspending, and cancelling lottery licences
- Requires licensees to keep financial records for at least 3 years and submit reports to the Registrar when prizes exceed $5,000
- Bans certain prizes including alcohol, cannabis, and live animals
- Prohibits anyone under 19 from participating in or applying to run a lottery scheme
- Provides an appeal process through the Island Regulatory and Appeals Commission (IRAC) for disputed licensing decisions
Gotchas
- Existing licences issued under the old Lottery Schemes Order (EC884/84) are automatically transitioned and treated as valid under the new Act, avoiding disruption to current licence holders.
- Out-of-province charitable organizations can apply for a PEI licence under specific Criminal Code provisions, but must show that net proceeds from PEI ticket sales will benefit PEI residents.
- The Registrar can require an independent audit of any licence at any time, and the cost of that audit must be paid by the licensee — not the government.
- Licences cannot be cancelled solely because a person associated with the licensee has been charged (but not convicted) of an offence; an investigation must be completed first.
- The Lieutenant Governor in Council can adopt lottery standards from other provinces or international bodies by regulation, meaning PEI's rules could align with or mirror external frameworks without further legislative changes.
Who's Affected
- Charitable and religious organizations in PEI that run fundraising lotteries
- Boards of fairs and exhibitions that host lottery games
- Suppliers of electronic gaming equipment used in lottery schemes
- Players participating in charitable lotteries
- The PEI Department of Justice and Public Safety (administers the Act)
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Gotchas
- Existing licences issued under the old Lottery Schemes Order (EC884/84) are automatically transitioned and treated as valid under the new Act, avoiding disruption to current licence holders.
- Out-of-province charitable organizations can apply for a PEI licence under specific Criminal Code provisions, but must show that net proceeds from PEI ticket sales will benefit PEI residents.
- The Registrar can require an independent audit of any licence at any time, and the cost of that audit must be paid by the licensee — not the government.
- Licences cannot be cancelled solely because a person associated with the licensee has been charged (but not convicted) of an offence; an investigation must be completed first.
- The Lieutenant Governor in Council can adopt lottery standards from other provinces or international bodies by regulation, meaning PEI's rules could align with or mirror external frameworks without further legislative changes.
Summary
The Charitable Lotteries Act establishes a legal framework for how charitable and religious organizations in Prince Edward Island can run lottery schemes to raise money. It sets out who can apply for a licence, what information must be provided, how the lottery must be run, and how the money raised must be used — specifically for approved charitable or religious purposes. The bill creates the role of a Registrar (within the Department of Justice and Public Safety) who oversees licensing, can inspect operations, require audits, and suspend or cancel licences if rules are broken. Organizations must keep detailed financial records for at least three years and submit reports to the Registrar when prizes exceed $5,000 or for ongoing event series. The bill also sets clear rules for players and operators: no one under 19 can participate or apply for a licence, credit cannot be advanced to players, and certain prizes like alcohol, cannabis, and live animals are banned. Appeals of Registrar decisions go to the Island Regulatory and Appeals Commission (IRAC). This bill replaces an older regulatory order (EC884/84) with a proper statute.
Automatically generated from bill text using Claude
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