Section 370-400-401 - LOTTERY GAME RETAILER APPLICANTS401.01 The Division may contract with persons to act as Lottery Game Retailers. The Division will only contract with those persons who will, in the judgement of the Division, meet the statutory requirements for contracting, promote the sale of lottery tickets and materials, promote the best interests of the Nebraska Lottery and of the State, and achieve the goals of the Act. 401.01A Any person interested in obtaining a contract as a Lottery Game Retailer must first file an application with the Division on forms supplied for that purpose by the Division. The application form shall be designed to solicit sufficient relevant information from an applicant to permit the Division to make a determination pursuant to the Act and these rules for issuance of a contract.401.01B Contract of a Lottery Game Retailer in any capacity is a privilege personal to that person and is not a legal right. Such contract may be terminated by the Division or by a Lottery Game Retailer by surrender of the contract to the Division.401.02 Eligibility for a contract An application submitted in the following situations cannot be accepted for a contract as a Lottery Game Retailer:
401.02A Any person who will engage in business solely as a Lottery Game Retailer;401.02B Any person who is under the age of nineteen (19);401.02C Any person who has been convicted of a felony or misdemeanor involving gambling, moral turpitude, dishonesty, or theft;401.02D Any person who has been convicted of any felony in the last ten (10) years;401.02E Any person who has been convicted of a violation of the Nebraska Bingo Act, The Nebraska County and City Lottery Act, the Nebraska Lottery and Raffle Act, the Nebraska Pickle Card Lottery Act, the Nebraska Small Lottery and Raffle Act, the State Lottery Act, or Chapter 28, article 11;401.02F Any person who has had a license revoked or denied under any of the acts listed in Reg-401.02E;401.02G Any person who has had a license or contract to sell tickets in a lottery in another jurisdiction revoked by the authority regulating such lottery or by a court of such jurisdiction;401.02H Any person who has not been in substantial compliance with Nebraska tax laws during the last five (5) years;401.02I Any person who is the State Tax Commissioner or an employee of the Division, or who is the spouse, child, brother, sister, or parent, by blood or marriage, residing as a member of the same household or in the principal place of abode of the State Tax Commissioner or an employee of the Division;401.02J Any person who is a Lottery Contractor of a major procurement contract, or, which is owned by, controlled by, or affiliated with such Lottery Contractor;401.02K Any foreign corporation which is not currently registered to do business within Nebraska; and401.02L Any person for a location which is licensed for the sale of alcoholic beverages for consumption on the premises unless such establishment holds a Class C liquor license with a sampling designation.401.03 Identification of persons with substantial interest The Lottery Game Retailer must provide information regarding those who own or have an interest in the Lottery Game Retailer. The information depends upon the type of business organization used by the Lottery Game Retailer. The Lottery Game Retailer must provide information for each person as specified in this section. For natural persons, the Lottery Game Retailer must provide the name, address, date of birth, and social security number. For all other entities, the Lottery Game Retailer must provide the name, address and Federal Employer Identification Number.
401.03A If the Lottery Game Retailer is a corporation, the officers, and shareholders; 401.03A(1) If the Lottery Game Retailer is a subsidiary, the officers, and shareholders of the parent corporation.401.03A(2) For publicly-traded corporations, shareholders owning less than 10% do not need to be disclosed. 401.03B If the Lottery Game Retailer is a trust, the trustee, beneficiaries, and any other person entitled to receive income or benefit from the trust;401.03C If the Lottery Game Retailer is a partnership or joint venture, the general partners, and limited partners, or joint venturers;401.03D If the Lottery Game Retailer is an association, the members, officers, and directors;401.03E If the Lottery Game Retailer is a limited liability company, the members and managers; and401.03F If the parent company, general partner, limited partner, or joint venturer of the Lottery Game Retailer is itself a corporation, trust, association, subsidiary, partnership, limited liability company or joint venture, the same information is required for such other entity as if it were itself the Lottery Game Retailer; 401.03F(1) In a chain of ownership, the same disclosures will continue until the ultimate ownership is fully disclosed.401.04 Background and informational statements Lottery Game Retailers may be required to submit to checks or investigations of criminal history, fingerprints, background, financial responsibility, or integrity of any person with a substantial interest as defined in Reg-101.27, or of any key personnel who will be involved with the products or services in the operation of the lottery retail activities.
401.04A The Lottery Game Retailer will pay all expenses incurred by the Division in completing the checks and investigations.370 Neb. Admin. Code, ch. 400, § 401