LOTTERY MANAGERS

HC Deb 28 April 1993 vol 223 c1095

Mr. Peter Lloyd

I beg to move amendment No. 161, in page 17, line 16 leave out 'he' and insert `that person'.

Mr. Deputy Speaker

With this, it will be convenient to consider Government amendments Nos. 162, 163, 164 and 165.

Mr. Lloyd

Amendment Nos. 161, 162 and 165 fulfil an undertaking that I gave in Committee to exempt a wholly owned subsidiary trading company of a society that manages a lottery on behalf of that society from a new certification regime for lottery managers.

Clause 44 is designed to bring under Gaming Board supervision what are known as external lottery managers. Those managers undertake the running of a lottery on behalf of a society in return for a management fee, which is often an agreed proportion of the lottery proceeds. It is important to provide for some control over the operations of external managers to ensure that the lotteries that they manage are properly and honestly conducted and to safeguard the interests of the societies or local authorities that employ them.

The same considerations do not apply to a wholly owned subsidiary of a society. Such subsidiaries cannot be described as external lottery managers in the sense that they act independently of the society, and we therefore think it is right to exempt them from the requirement to obtain a Gaming Board certificate.

Amendments Nos. 163 and 164 are technical. Proposed new section 9A(2) to the 1976 Act is drafted on the basis that a society must always be an unincorporated body. In fact, a society may be either an incorporated or unincorporated body, and the amendments alter section 9A(2) to reflect that position.

Mr. Orme

Does the amendment deal with donated expenses?

Mr. Lloyd

No, it does not deal with donated expenses. That is relevant to a later group of amendments.

Amendment agreed to.

Amendments made: No. 162, in page 17, line 21, at end insert— `(ba) in the case of a society's lottery, a company that is wholly owned by the society,'.

No. 163, in page 17, line 27, leave out 'a society or other' and insert 'an'.

No. 164, in page 17, line 28, leave out 'society or other'.

No. 165, in page 17, line 29, at end insert— `() For the purposes of subsection (1)(ba) above—

1. (a) "company" means a company formed and registered under the Companies Act 1985 or a company to which the provisions of that Act apply as they apply to a company so formed and registered, and
2. (b) a company is wholly owned by a society if the society is entitled (whether directly or through one or more nominees) to exercise, or control the exercise of, the whole of the voting power at any general meeting of the company.'.—Mr. Peter Lloyd.]