961 CMR, § 2.43

Current through Register 1537, December 20, 2024

Section 2.43 - Payment of Prizes

(1) All prizes shall be paid within a reasonable time after they are awarded and after the claims are verified by the Director. The date of the first installment payment of each prize requiring annual payments shall be the commencement date of the payments and a payment shall be made on or about the anniversary date of the drawing thereafter in accordance with the type of prize awarded. The Director may, at any time, delay any payment in order to review a change of circumstances relative to the prize awarded, the payee, the claim or any other matter that may have come to his or her attention. All delayed payments will be brought up to date immediately upon the Director's confirmation and continue to be paid on each original anniversary date thereafter. If any prize is payable for the life of the prize winner, the measuring life shall be the natural life of the individual whose name appears on the ticket pursuant to 961 CMR 2.39. Only a natural person may claim such a prize and, if claiming on behalf of a group, corporation or the like, the life of such natural person claiming shall be the measuring life.

(2)High-frequency Prize Winner.

(a) The Director may conduct an internal review of a High-frequency Prize Winner, as defined in 961 CMR 2.03, to determine if the submission of at least 20 claims for Lottery prizes, each with a value of at least $1,000.00, within any period of 365 days, is factually or statistically improbable. If the Director makes such a determination of factual or statistical improbability, the Director may impose a prize claim suspension, as provided in 961 CMR 2.43(2)(b).

(b)Penalties. The Director may impose a prize claim suspension, as follows:

1.First Violation. A High-frequency Prize Winner shall be suspended from claiming lottery prizes, with a value of $600 or more, for a period not to exceed 90 days.

2.Second Violation. A High-frequency Prize Winner shall be suspended from claiming lottery prizes, with a value of $600 or more, for a period not to exceed 180 days.

3.Third Violation. A High-frequency Prize Winner shall be suspended from claiming lottery prizes, with a value of $600 or more, for a period not to exceed 365 days.

(c)Hearings on Prize Claim Suspensions. A High-frequency Prize Winner shall be entitled to a hearing before any prize claim suspension goes into effect, provided that the hearing request is in writing and received by the Director before the 21st calendar day from the date which appears on the suspension notice.

The hearing shall be conducted by the Director or their designee. If the High-frequency Prize Winner is aggrieved by the decision of the Director, they may appeal to the Commission for a hearing pursuant to M.G.L. c. 30A. Any such appeal shall be in writing and made within 30 days of the Director's level decision.

In accordance with M.G.L. c. 30A, § 11(7), if less than a majority of the Commissioners of the Massachusetts State Lottery Commission are present at a hearing, no party shall be entitled to a tentative or proposed decision unless such party makes a written request in advance for such tentative or proposed decision.