Chavdar Vasilev is a journalist covering the casino and sports betting market sectors for CasinoBeats. He joined CasinoBeats in May 2025 and reports on industry-shaping stories across the US and beyond, including legislative debates, market...
Read Full BioThe Texas Lottery Commission (TLC) will pay nearly $46 million to Kristen Moriarty, who won an $83.5 million jackpot in February, but was denied payment because she bought the ticket through lottery courier Jackpocket.
Moriarty filed a lawsuit against the TLC in May after it refused to pay her winnings due to ongoing investigations by Attorney General Ken Paxton‘s office and the Department of Public Safety into lottery couriers and TLC’s oversight.
The controversy surrounding Moriarty’s jackpot, along with another massive win in 2023, prompted scrutiny that ultimately led to the abolishment of TLC, which will cease operations as of September 1.
Moriarty told the Texas Tribune that she’s “sad, stressed, and angry” that she got trapped in the middle of a political firestorm:
“I’ve lost faith in our elected officials. And yeah, I really don’t know what else to say that I can say out loud.”
The two parties settled last week with the guidance of Paxton’s office. The Houston-area resident will receive $45.8 million before taxes in a lump sum.
Moriarty’s Prize Caused the Ban on Lottery Couriers
Lottery courier apps, such as Jackpocket, allow users to place orders for lottery tickets through their app. The courier then purchases the physical ticket on the user’s behalf and uploads an image of it to the app.
If the ticket is a winner, the app directly pays the winnings of up to $600. For bigger prizes, it arranges the delivery of the physical ticket, and the user must claim the winnings in person. That’s what Moriarty did, claiming that TLC initially certified her for the $83.5 million jackpot.
Jackpocket, which DraftKings bought for $750 million in 2023, is the largest lottery courier in the US, serving over 17 states. Other major apps include Jackpot.com, Lotto.com, and theLotter.
Although they operate in over a dozen states, lottery couriers are mainly unregulated, except in New York and New Jersey. Still, to offer services in a state, lottery couriers must have an official agreement with the state lottery governing body. That includes TLC in Texas.
Moriarty’s win, the fifth-highest in the state’s history, set off alarms after it became public that it was purchased through Jackpocket. Soon after, Texas Gov. Greg Abbott called for an investigation into the matter.
The probe uncovered another controversial case. In 2023, a secret syndicate, led by a British former banker and a Tasmanian gambler, won a $95 million prize through lottery couriers. The syndicate purchased 26 million tickets, essentially all possible combinations, at $1 each.
The revelations shook Texas, and authorities launched an investigation into TLC’s integrity. The scrutiny forced the TLC to vote on banning lottery couriers. Also, the commission’s Executive Director, Ryan Mindell, resigned in April.
TLC Will Cease Operations by September 1
Amid concerns of its operational integrity, TLC will be dissolved by September 1, following legislative reforms.
State Sen. Bob Hall, a lottery opponent, introduced a bill to disband TLC and implement changes in lottery operations in June. Hall’s bill gained support and quickly progressed through the Texas legislature. Gov. Abbott signed it into law at the end of the month.
Under the new law, following the abolition of TLC, the Texas Department of Licensing and Regulation will assume oversight of lottery operations. Other key provisions of the new law include:
- Limit of 100 tickets in a single transaction.
- Ban on online lottery ticket sales.
- Establishment of a Lottery Advisory Committee for external recommendations on lottery operations.
- Extend the lottery until 2029, after which the Sunset Advisory Commission must review and authorize its continuation.
