Gtech Corporation has been fined $1.4 million by Washington, D.C., over alleged irregularities in the District of Columbia's lottery system.
The Star-Ledger, a New Jersey paper, reports that the fines follow charges that subcontractors of the company, or a company partner firm, hacked into the district's lottery system, and, over a period of six months between 2005 and 2006, printed winning lottery tickets for themselves.
The Rhode Island company and its Washington partner, Lottery Technology Enterprises, were fined the cost of the tickets and winnings, the costs of investigating the system breach and $979,557 for losses district officials argue arose from damages to the lottery's reputation.
In a statement to The Star-Ledger, Gtech called Washington's action "an unsubstantiated and unjustified calculation based more on politics than math." It plans to appeal the fine.
Setting the backdrop to Gtech's claim, Washington's mayor and council are reportedly at odds over whether to award a future lottery contract to Gtech and its partners or the company's Greek rival, Intralot S.A.