Impass between NLA and LSU is due to reduction in commission - Dr Duffuor

Category: Business & Economics Created on Thursday, 07 June 2012 18:40 Published Date Written by GNA Hits: 326

Accra, June 7, GNA – Dr Kwabena Duffuor, Minister of Finance and Economic Planning on Thursday said the cause of the impasse between the National Lottery Authority (NLA) and Lotto Sellers Union (LSU) was the reduction in the payment of commission from 25 per cent to 20 per cent.

    He said before the adjustment on March 28, 2011, the NLA had engaged Lotto Marketing Companies including LSU in line with the modernisation and automation being undertaken by the NLA.

    Dr Duffuor announced this when he appeared before Parliament to answer a question tabled by Mr Simon Osei-Mensah, NPP Member for Bosomtwe.

    He said members of LSU were not happy about the proposed reduction in commission and instituted a legal action against the NLA on the grounds that the attempt to adjust the commission downwards was unlawful and without merit.

   The court ruled in favour of the NLA, stating that “Even though it may be the case that for a long time LSU has been enjoying 25 per cent commission, they could not establish that the commission had accrued into an immutable legal right.

    "The fact is that, Act 722 gave the Governing Board of NLA the right to determine the new levels of commission to be paid to the lottery marketing companies and others.”

     Dr Duffuor said NLA had complied with the court ruling.