The letter alleged that Sponge Nigeria Limited had over six months ago conducted a promotional lottery captioned Better Life Billionaire Promo where several participants won varying amounts of money, totalling about one hundred and thirty-eight Million Naira (N138,000,000.00) but has failed to redeem these winnings due to reasons the Commission considers unacceptable.
The Commission has directed the promotional lottery operator to pay, without further delay, all fortunate winners in its final promotional lottery with the caption“Better Life Billionaire Promo”.
This was written in a letter to Sponge Nigeria Limited, on 27th May 2020 and signed by NLRC Director-general, Mr Lanre Gbajabiamila.
It read, “Your continued failure and/or refusal to pay legitimate winnings is a glaring violation of the National Lottery Act 2005 (“Act”) and Regulation, and Operational Terms and Conditions, which were duly signed by you on 2nd August 2019.
Sponge was legally bound to conduct its affairs with all due propriety and protect participating stakeholders by embracing the NLRC permit for the BLB promo
The Commission said it discover Sponge in failure of the operational terms and conditions which consequently results in “violation fee in the sum of ten million naira (N10,000,000) which if not paid as soon as the letter was received would earn additional sanctions and action to the full extent of applying law
Apart from the accused violations, NLRC Director-general told Sponge that its failure to pay winnings weakens the integrity of the lottery industry and was clashing with seen accountability and fairness which are quality of the Commission’s operations.