AUSTIN, Texas — The Texas Lottery Commission took a major step Monday, announcing that third-party courier services are not allowed to operate under state law following recent controversy over a massive lottery win.
The announcement came as lottery officials have faced scrutiny over a controversial $83.5 million lottery ticket that was purchased through a third-party “lottery courier,” a service that allows people to buy state lottery tickets virtually and have a courier buy the ticket for them in person.
The particular lottery courier used was an app called Jackpocket, a subsidiary of the online sports gambling company DraftKings. Though lottery couriers have been operating in Texas since 2016, the practice has drawn the attention of lawmakers, including Lt. Gov. Dan Patrick, who bashed the use of the service last week. In the wake of the scrutiny, Texas Lottery commissioner Clark Smith resigned on Friday.
It wasn’t immediately clear how the lottery commission’s announcement would impact Jackpocket’s operation in Texas. WFAA has reached out to DraftKings officials for a statement on the developments Monday.
The announcement came Monday morning from Ryan Mindell, the Texas Lottery Commission Executive Director, who issued a “policy statement” saying that lottery courier services are not allowed under Texas law and that the lottery commission will “move forward with proposed rule amendments” banning lottery courier services.
“The Policy is effective immediately and aligns with legislative efforts to address serious concerns raised by players and state leadership regarding the integrity, security, honesty and fairness of lottery operations,” lottery officials said in a statement. “Under the proposed amendments, a retailer that works in concert with a courier service would have their lottery ticket sales agent license revoked.”
The amendments will be presented by lottery staff to the commission during a March 4 board meeting.
The announcement Monday didn’t satisfy Patrick, who questioned why the lottery commission is just now saying courier services aren’t allowed.
“In recent years, the Lottery Commission has repeatedly said they could not regulate their so-called “courier” services they themselves allowed to enter Texas and refused to regulate,” Patrick posted on X.
Patrick pointed out that the commission now “suddenly” announced that courier services aren’t allowed, “only 6 days after I investigated” a location that sold the winning ticket.
“I now have even less confidence in the integrity of the Lottery Commission with this abrupt turnaround,” Patrick said.
In recent years, the Lottery Commission has repeatedly said they could not regulate their so-called “courier” services they themselves allowed to enter Texas and refused to regulate. These courier services sell millions of dollars in lottery tickets through an app on your phone… https://t.co/ljn456sMBR
— Office of the Lieutenant Governor Dan Patrick (@LtGovTX) February 24, 2025
Here’s the video Patrick posted last week after visiting the location that sold the $83.5 million winning ticket.
Recently, there have been many questions raised about the integrity of the Texas Lottery. Last night, an $83 million winning ticket was sold in Austin. Turns out, the retail establishment that sold the winning ticket in the front of the store was owned by the courier service that… pic.twitter.com/i4MyR2wQXd
— Office of the Lieutenant Governor Dan Patrick (@LtGovTX) February 19, 2025
North Texas State Rep. Matt Shaheen, R-Plano, filed a bill earlier this year looking to remove the loophole. The state’s concern is regulation. Texas Lottery Commission officials had said they can only regulate brick-and-mortar stores that sell lottery tickets, not online courier services.
Mindell said the lottery commission previously did not interpret its authority as extending to courier services. However, Mindell said he has been “keenly focused on making changes to improve the public’s perception” of the lottery.
“In recent days, our agency conducted a review of our authority under the State Lottery Act,” Mindell said. “As a result of this review and information from recent retailer investigations, the Commission will revoke the license of a retailer that works with or assists a courier service and we are moving to prohibit courier services in Texas to ensure all ticket sales comply with state law and agency regulation as well as to maintain public trust.”