Pa. lottery deal could yield big payout to firm
House Democrats are estimating that a consultant to Gov. Tom Corbett’s move to privatize the management of the Pennsylvania Lottery stands to make tens of millions of dollars if the deal goes through.
The state Department of Revenue, which runs the lottery, has refused to estimate the potential contract value to New York-based investment bank Greenhill & Co. until a deal is made.But the House Democratic Appropriations Committee staff now estimates it would be between $30 million and $50 million.
The Revenue Department says the money would be paid out of the $50 million put up by the only bidder, Britain-based Camelot Global Services, to secure its bid.
The $3.5 billion Pennsylvania Lottery is one of the nation’s biggest. Only a couple states have handed management to private companies.
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