S.C. Code Regs. § § 44-90.20

Current through Register Vol. 48, No. 10, October 25, 2024

Section 44-90.20 - Collection and Enforcement of Non-sufficient Funds, Past Due Accounts, or Delinquent Accounts

A. SCEL may suspend lottery activity by any lottery retailer by causing any equipment or other property provided or acquired for specific and exclusive use in lottery operations to be mechanically or electronically disabled, or otherwise rendered useless, as well as by other means provided for by law or regulation, and by discontinuing the sale or delivery of any lottery products, or any other service or function, to the lottery retailer.

B. When a lottery retailer fails to deposit funds as required by R.44-90.10(B), and the related EFT transaction is rejected by the lottery retailer's financial institution, the Executive Director shall convey a written warning informing the lottery retailer of the future consequence of such action. The Executive Director shall suspend all lottery activity by the lottery retailer and/or shall assess a fee against the lottery retailer, or any of these, in accordance with the following schedule:

(1) As to the first occurrence within any twelve-month period, the Executive Director shall convey to the lottery retailer a written warning of the future consequence of such action.

(2) As to the second occurrence in any twelve-month period, the Executive Director shall suspend all lottery activity for a period of up to seven (7) days, and shall assess against the lottery retailer a fine of not less than one hundred dollars ($100) nor more than ten percent (10%) of the average gross proceeds from lottery sales over the last ten (10) weeks for the retail location.

(3) As to the third occurrence in any twelve-month period, the Executive Director shall suspend all lottery activity for a period of up to thirty (30) days, and shall assess against the lottery retailer a fine of not less than three hundred dollars ($300) nor more than twenty percent (20%) of the average gross proceeds from lottery sales over the last ten (10) weeks for the retail location.

(4) As to the fourth occurrence in any period, the Executive Director shall revoke any license, or other privilege or authority issued to the lottery retailer by the Executive Director, forthwith.

C. The Executive Director may require a lottery retailer to make payment of any past due or delinquent amount by certified check or wire transfer.

D. In determining whether the provisions of the section have been violated, the Executive Director may exercise discretion as he or she deems appropriate so long as the integrity and security of the Lottery is maintained.

E. The SCEL/lottery retailer relationship contemplates that the lottery retailer will establish and maintain an automated clearing house (ACH) account to facilitate the lottery retailer's payments to SCEL. The lottery retailer's depository institution has no liability for the lottery retailer's failure to remit or deposit as instructed by SCEL. SCEL has no requirement to instruct the lottery retailer's depository bank in the specification of service charges, bank statement production schedules, or any other aspect of the retailer/depository institution relationship.

S.C. Code Regs. § 44-90.20

Added by State Register Volume 26, Issue No. 6, Part 2, eff June 28, 2002.