【NEO Bet】Atlantic Lottery CEO Concerned about Illegal Gambling

The new President and CEO of the Atlantic Lottery Corporation has recently shared his concerns about unregulated online gambling. In his words, the Crown corporation misses out on approximately CA$200 million a year to offshore betting sites, which are not legal in the Atlantic region.

At the end of January 2025, ALC announced that Dallas McCready will take over as President and CEO after Patrick Daigle retired. The new CEO is following the example of Manitoba Liquor & Lottery, which recently took offshore operator Bodog to court. Not long ago, the operator withdrew operations from Nova Scotia.

For those unfamiliar with the ALC, this is a state-run agency owned and operated by the four Atlantic provinces – New Brunswick, Prince Edward Island, Nova Scotia, and Newfoundland and Labrador. Its objective is to conduct gambling and lottery products in a safe and regulated way, while investing the profits in the region.

Missing Out on CA$200 Million Annually

Currently, ALC offers the only digital platform where people in the Atlantic region can gamble online. However, the grey operators are proving to be difficult, taking away the players from the Crown’s regulated platform.

Ontario find a solution to this issue by opening up its iGaming sector and licensing third-party operators. Alberta seems to be on that track too. However, it remains to be seen what an approach ALC will take.

In a recent interview, CEO McCready said this:

“CA$200 million is a significant amount of money that could be staying right here in our region to fund important public services but instead continues to be taken away from helping our communities to the sole benefit of these private operators. That number is troubling and a growing concern for the people who live in our region. These illegal operators are motivated by profit and do not place the same priority on responsible gambling as ALC, nor do they return profits or pay taxes to the provinces.”

He added that the ALC felt “encouraged” after hearing that Bodog has decided to suspend work in Nova Scotia. However, he thinks more can be done on the matter of illegal iGaming.

As mentioned, not long ago, MBLL issued an injunction against Bodog in a Manitoba court on behalf of the Canadian Lottery Coalition. Executive Director of CLC, Will Hill, reckons the injunction is a hint of what will happen to illegal operators across Canada. Will also said:

“Provincial lotteries are forced on a daily basis to contend with illegal online gambling operators, their unregulated websites, and in some instances misleading advertising. It’s our intent to meet that goal to curtail illegal gambling through all available means. This is just one of them.”

Taking Action against Illegal Websites

CLC was born from a partnership between ALC, the British Columbia Lottery Corporation, Loto-Québec, MBLL, and Lotteries & Gaming Saskatchewan. McCready believes that the injunction is an effort to raise awareness and exhaust the operations of illegal gaming sites.

He reminded that these websites function without federal or provincial supervision, and provinces cannot ensure the safety of sites they don’t oversee. ALC’s new CEO noted that the Crown corporation will adopt a five-year strategic plan to deal with the issue.

Part of the illegal gambling activities is the misleading advertising by operators. Even today, the people of Atlantic Canada are flooded with ads from iGaming sites, which are not allowed to operate in the region. This marketing leads to confusion among the locals, who believe these operators are regulated to do business in the Atlantic region.

Details on the Five-Year Strategic Plan

In the interview, McCready shed more light on ALC’s five-year plan to subdue grey market activities. He clarified the plan will work as a roadmap that would define ALC’s brand, products, services in that period. The objective is to take ALC’s offerings to the next level, while also supporting healthy playing habits for customers.

He added that the plan outlines four strategic objectives on how ALC will try to achieve that success. These are the key points:

• Play experience
• Betting and gaming market share
• Healthy play
• Account-based play

But that’s not all, as McCready vows that the Crown will release tons of new products, features, and launch new initiatives to help reach its five-year goals.

Attracting Younger Generations

This year, ALC is also preparing for the installation of new lottery terminals at retailers. The new terminals will be an upgrade on the current model. It’s believed that the new ones will boost technical capabilities for both retailers and players. The new machines will also provide more benefits and options for players while improving retail purchases and incorporating in-store and digital offerings.

McCready claims that it is key for ALC to ensure that its product, like online games, remains competitive in the local markets. Lastly, he stated that the Crown must be able to meet and even exceed players’ expectations if it’s to be the main source of gambling entertainment in Atlantic Canada.

Still, it remains to be seen whether the new CEO and ALC will be able to keep their promises. Meanwhile, the Crown corporation and other Canadian lotteries will continue their battle against illegal gambling platforms.