Amidst a growing surge of accusations and mistrust, the Ontario Lottery is facing some tough times. With just days before the Ontario Ombudsman is scheduled to issue an official enquiry report addressing allegations that lottery ticket retailers have been winning more prizes than they statistically should be, the head of Ontario Lottery, Mr. Duncan Brown, has stepped down from his position.

Both the Board of the Ontario Lottery and Gaming Corporation and Brown himself agreed that a change of leadership was needed, and that despite a rumor that Ontario province Culture Minister, David Caplan (who is head of the lottery department) wanted the resignation to remain quiet until after the enquiry was released by Ombudsmen Marin, the Board obviously thought it best to not waste any time with making changes. On the other hand, some people are calling for the resignation of Mr. Caplan, accusing him of using Brown as his scapegoat.

Brown was the CEO of the Ontario Lottery and Gaming Corporation since early 2004. Prior to that, he was CEO of the Alcohol and Gaming Commission in Ontario. His annual earnings in 2006 were for $360,000. And his severance pay resulting from the resignation was for $720,000. Whether or not Brown is the scapegoat or not, his resignation most certainly foretells an unfavorable enquiry from Ombudsman Marin. Many, like Bill Rutsey, who is President of the Canadian Gaming Association, believe that the problems plaguing the Ontario Lottery had already begun before Brown took his post.

Between 1999 and 2006, Ontario lottery ticket retailers claimed roughly $100 million in prizes. Such a high degree of disproportionate jackpot wins sent off the alarm bells and an investigation was eventually launched. Following Brown's resignation, the Ontario Lottery and Gaming Corporation posted two security jobs armed with overseeing investigations of retailers seeking to do business with the lottery. One can only hope that the soonest investigations to take place will be internal investigations of the lottery corporation itself.