BBC News Online: UK

Branson wins £100,000 in lottery bribe case

Mr Branson claimed that Guy Snowden, GTech's chairman and chief executive had offered him a bribe to withdraw his non-profit bid to run the national lottery.

Shortly after, Mr Snowden resigned his seat on the board of directors of Camelot and from GTech's UK arm, saying it was "the right thing to do at this point."

The Lottery watchdog, Peter Davis had already ordered Camelot to "terminate Mr Snowden's involvement" in the National Lottery within 24 hours and Culture minister Chris Smith also demanded Mr Snowden quit "immediately".

Unanimous decision

The £100,000 award was at the high end of the judge's guidance to the jury for an award; he said more than £125,000 would be 'extravagant'.

The result was unanimous and came after less than three hours deliberation.

Mr Branson says he will donate the award to "the smaller charities that have suffered from the very existence of the lottery."

The loser also faces legal costs estimated at £2m.

Mr Branson said he was "delighted" with the result and said neither GTech nor Peter Davis, who gave the US firm a clean bill of health before awarding Camelot its licence, should have any role in running the lottery.

He claimed during the case that he told Mr Davis of the bribery attempt.

Mr Davis, whose five-year term ends in October, said he was "quite clear" that the allegation was not made to him "in a way that he heard it".

He admitted to the court of feeling "real concern" over GTech, particularly of its practices in obtaining lottery contracts in the United States, but said Camelot was nonetheless "fit and proper" to run a lottery because GTech was only one of four companies in the consortium.

He dismissed Mr Branson's call for him to resign and said there was "no reason to doubt" that Camelot would continue as lottery operator.

"Business as usual"

A Camelot spokesperson said: "This was a civil dispute between Mr Branson and Mr Snowden and did not involve Camelot.

"For this reason and since we understand an appeal is being considered, it is not appropriate for us to comment further. For Camelot it is business as usual."

Mr Snowden said he didn't want "this setback" to distract Camelot or the public. He will remain chairman of GTech in the US on a part-time basis while considering an appeal.

Since his resignation the lottery regulator Oflot stated that it aimed to stop Mr Snowden benefiting from the running of the National Lottery even if he remained GTech Corporation chairman.

The watchdog said detailed discussions had yet to be finalised over what arrangements would be needed to prevent profits from Camelot filtering through to Mr Snowden as a shareholder.

Licence to print money

During the case, GTech had alleged that the accusations were made so that Mr Branson could take over the running of the lottery.

But after the decision, Mr Branson told reporters outside the High Court that he would like to see the lottery run as a non-profit institution but that he didn't want to run it himself.

"Britain's National Lottery is not a normal business run for profit in the cut and thrust of competition", Mr Branson said.

"It is a risk-free private monopoly with a licence from the British Government to print money."

Relevant Stories

Lunchtime bribe bid costs £100,000 (02 Feb 98 | UK)
Angry exchanges at Branson libel trial (19 Jan 98 | UK)
Branson denies lying about lottery 'bribe' (14 Jan 98 | UK)
Government pushes for a 'people's lottery' (04 Dec 97 | UK)

Internet Links

The National Lottery page
GTech's UK page
Virgin Group

The BBC is not responsible for the content of external internet sites.

Summaries

In this section

Camelot under fire after Branson victory
Circus animals 'routinely beaten'
The grandmother who can't bare ageism
Lunchtime bribe bid costs £100,000
Chancellor booed at party meeting
Schools await annual report
Priest raped schoolgirl in confession box, court told
'Welfare to work' extended to young offenders
Ashworth inquiry told of ward "gang-culture"
War records of Sassoon, Lawrence released
Dobson cleared of health trust gerrymandering
Transatlantic shares frenzy (From Business)
Employers' code to stop age discrimination
Arthur C Clarke postpones knighthood ceremony
Tougher drink-driving laws on the way
"Slaves" want UK law change
Protests precede Charles's visit to Sri Lanka
Lottery money sought to keep Moore medals
Teletubbies top toy sales
"New fuhrers" betraying classical music
Millennium Dome 'waste of money'
Scientists listen intently for ET (From Sci/Tech)
Spell broken for 20th century witch
'Divis' are back. And this time time they mean business (From Business)
Weapons amnesty for new gun ban
Remembering Bloody Sunday

UK Contents

• Politics