By Grace Matsiko
and James Odomel
UGANDA Lottery Company (ULC) has written to the Government, warning of legal action against it to recover US$6m (about sh11.2b) if it is stopped from conducting the Lotto lottery.
The Chinese ambassador, Li Qiangmin and a delegation from Beijing, China who arrived in the country on Monday, are to meet President Yoweri Museveni today to discuss the lottery saga.
During a press conference yesterday, ULC marketing manager Lu Ruijun said â€œdue to technical reasonsâ€ and â€œfollowing solutions with the Ministry of Financeâ€, the official launch of the Uganda on-line Lotto had been postponed and a new date would be communicated.
He said they held a meeting with the Minister of Finance, Gerald Ssendaula, but gave no details.
During the press conference at the Workers House in Kampala, Ruijun handed over sh2m in cash to Hakim Tamale of Mengo, one of the first 10 winners in the promotional â€˜free gamesâ€™ that ran on Monday and Tuesday this week. The rest of the winners were not named.
In a letter dated January 22, ULC said when they applied for an investment licence from the Uganda Investment Authority (UIA), the agency contract was a prerequisite to an investment licence.
â€œBy UIA issuing the licence to the company on September 25, 2002, government continued to recognise the validity of the agency contract,â€ the letter to Rukutana said.
They said over US$6m had been committed to the project in form of equipment, market research, travel, arrangements, intellectual titles, property titles and other costs.
The Lotto was partly initiated by Children and Wives of Disabled Soldiers based in Mubende. The association was to get 2% of the gross revenue expected from the sales.
The Government was expected to take 10% of the gross earnings.