Lottery courier services such as DraftKings-owned Jackpocket are drawing scrutiny from Texas Lt. Gov. Dan Patrick.
Patrick says he believes the relationship between the Texas Lottery, couriers and retail stores should be investigated to ensure that “no one has an advantage” in the market and that lottery sales are fair and trustworthy.
Patrick was speaking after an $83.5 million winning ticket was purchased at a retail store in North Austin owned by lottery courier company Jackpocket. He posted a video to social media in which he attended the store where the ticket was sold, earning its buyer the fifth-largest lottery jackpot in Texas history.
“Recently, there have been many questions raised about the integrity of the Texas Lottery,” said Patrick in the caption for the video, posted on X on Tuesday evening.
“Last night, an $83 million winning ticket was sold in Austin. It turns out the retail establishment that sold the winning ticket in the front of the store was owned by the courier service that purchased the ticket behind the wall in the back of the store. I decided to go out and investigate for myself…”
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
“Do you not see an issue where the public might lose confidence if the courier service somehow happened, at this one location in the entire state of Texas, [to sell] an $83 million winning ticket, and they also own the location that printed the ticket?” Patrick asked an attorney by phone in the video.
The attorney clarified that couriers purchase tickets to order from Texas residents, and that the Winners Corner retail outlet in question is a licensed lottery retailer under Texas law.
“The bottom line is if people are going to have confidence in the lottery, we have to be sure that no one has an advantage,” Patrick said later in the video, speaking to camera. “Again, we’re not suggesting anything illegal, but this is not the way the lottery was designed to operate. It was designed to operate by someone coming into a store, giving someone cash and getting a ticket back, not for machines behind walls and not for a courier service and a retailer all being connected.
“And so, when someone wins a ticket here for $83 million, it makes everyone ask a lot of questions.”
“It’s time we take a deep look at these courier services and these retail units, especially when they’re owned by the same company,” he concluded.
Jackpocket advocates for regulatory standards
Lottery couriers started popping up in Texas in 2019. They allow the public to order tickets through the app, and the company purchases them on the user’s behalf. Jackpocket charges commissions on deposits. That fee is currently 14%, having risen from 10% last year.
Jackpocket was purchased by DraftKings for $750 million last spring. Along with Jackpot.com and Lotto.com, which also operate in numerous states in partnership with state lotteries, they make up the Coalition of Texas Lottery Couriers.
In a statement provided to SBC Americas, the brand stressed that is not in violation of any laws and that all transactions are fully documented and transparent.
“On behalf of our customers, we are strongly advocating for enforceable regulatory standards that allow our customers to continue to use lottery courier services with confidence and peace of mind,” added a spokesperson.
Texas lawmakers already scrutinizing lottery couriers
Patrick noted in the video that in the Texas legislature’s last session in 2023, the Senate passed Sen. Bob Hall’s bill to ban lottery couriers 29-2 but it died in the house.
Patrick is also an ardent opponent of sports betting and is regularly cited as the largest obstacle in the Senate considering legislation that would put sports betting and casino expansion to voters.
At a Senate Finance Committee meeting last week, Texas Lottery Executive Director Ryan Mindell insisted the organization has no regulatory authority to prevent couriers from operating.
Multiple senators dissented.
“They’re not obeying the law now, and it’s obvious that they have no intent to obey the law,” argued Hall.
On Friday, the Texas Lottery sent a letter asking the Attorney General’s office to confirm whether it has any regulatory power over courier services or if legislation is needed.
