Illegal lottery in Malta can be responsible for taking 30% out of the legal lottery market

The murder of Maltese journalist Daphne Caruana Galizia in 2017 remains active today because it uncovered alleged criminal activity in several areas, including politics and gambling. A new report indicates that it may have also exposed a massive illegal lottery operation that is still running.

It is believed that Melvin Theuma, who acted as a middleman in the assassination case and was allegedly one of the primary people responsible for running it, was profiting by taking 30% of the legitimate lottery market through his involvement in illegal lottery operations. Melvin Theuma acknowledged in court last November that he had a longstanding involvement in unlawful gambling.

Financial investigators, who closely monitor the movements of this profitable industry, have reported that the individuals behind this unlawful “national” lottery may have inherited part or all of the operation from Theuma. The illegal lottery is estimated to have around €10 million in annual turnover, which is then laundered through various means where cash is king, such as construction.

As per the investigation into the illegal lottery, it has come to light that the operators have divided the operation into separate “districts” or zones, each of which they control. Within these districts, there are numerous regular customers who enthusiastically participate in illegal activity, often accruing significant debts to the criminal groups involved.

According to a source familiar with the parallel lotto, “the major operators of this illegal lotto are a few, but they each have a corner of the island or ‘districts’ that fall under their control, with their runners taking the numbers in the village bars and ‘ka?ini’ (local social clubs).”

In some areas, it is not uncommon for individuals to participate in both legal and illegal lottery games at local bars. Unfortunately, some individuals have accumulated significant debts with the unofficial lottery runners, and are relying on winning the big prize to pay off these loans. However, the interest rates charged by these runners are often exorbitant, leading to further financial struggles for those in debt.

This illegal game is essentially a parallel lotto that operates using tickets, offering participants the opportunity to win substantial sums of money, often exceeding the amounts previously offered in official lottery prizes from several years ago. The game is tied to the national lottery, with players selecting a series of numbers and awaiting the announcement of the official winning numbers at the conclusion of each week.

The illegal lottery operations have been active for a minimum of three decades, and reportedly, the local police have been aware of them. However, with the emergence of Melvin Theuma’s testimony, this situation could potentially change. As financial investigations intensify, there is a possibility that enforcement may increase as well.

SiGMA News will be closely following the story and reporting any new revelations that may emerge in the coming weeks. Readers can expect to stay informed about the latest updates on this story by checking the News page.