Gambling regulators have accidentally handed over more than 4,000 sensitive documents among lawyers acting against media tycoon Richard Desmond, a legal battle with a £6.4 billion national lottery contract. The Guardian made a big mistake.
Northern & Shell, an investment group owned by Desmond, is litigating the Gambling Commission for compensation for £200 million in handling the lottery licensing awards.
Regulators awarded Czech-owned operator Allwyn's 10-year lottery license in 2022, rejecting bids from the current Camelot, and a third proposal from Desmond, the former owner of Daily Express and a range of pornographic publications .
Although the committee warns that any payment by N&S must be funded from the lottery funds allocated to good causes.
N&S rejected a settlement with the committee, which had a maximum value of up to £10 million in December, after it had previously disclosed.
During a process hearing Wednesday, the committee described an insider as a “huge” mistake during a pre-trial disclosure, the two factions handed over relevant information to each other.
The committee was represented by London law firm Hogan Lovells, who was understood to have accidentally handed over more than 4,000 sensitive documents regarding the lottery prize to N&S lawyers.
Regulators want the court to order some documents to be returned, but it is understood that it is not sure which documents have been handed over incorrectly and have been working on the issue since Christmas.
The committee requested a six-week extension to proceed with the process, but Mrs. Jefford granted them until next week.
She described the error as “extraordinary” and “unprecedented” and ruled that regulators must pay the N&S’ fees incurred by the hearing.
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There is no guarantee that the judge will rule that the documents should be handed over to or edited. A new hearing on the matter is scheduled to take place in early March.
The Gambling Commission and Hogan Lovells said they were unable to comment on a public case. N&S declined to comment.
The fourth national lottery license has issued control of Camelot since the weekly draw in 1994.