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Licence Lotto Strike

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					                   CONDITIONS OF LOTTO STRIKE LICENCE

Subject to the Act and the Regulations made thereunder, the following are the
conditions subject to which the Licensee holds its Licence to conduct Games of
Lotto Strike and Promotional Lotto Strike.

SUMMARY OF CONDITIONS:

CONDITION 1:              Definitions

CONDITION 2:              Responsibilities of Licensee

CONDITION 3:              Agreement

CONDITION 4:              Rules

CONDITION 5:              Entry Forms

CONDITION 6:              Frequency

CONDITION 7:              Subscriptions Received

CONDITION 8:              Lotto Strike Prize Fund Account

CONDITION 9:              Duty Payable to Treasurer

CONDITION 10:             Prize Fund Reserve and Prize Pool

CONDITION 11:             Prize Payments

CONDITION 12:             Minister’s Nominee at Drawing

CONDITION 13:             Publication of Results

CONDITION 14:             Inspection of Equipment

CONDITION 15:             Approved Lotto Strike Equipment

CONDITION 16:             Provision of Information to the Minister

CONDITION 17:             Agent’s Commission

CONDITION 18:             Copyrights

CONDITION 19:             Ownership of Equipment used for Drawing
NSW Lotteries Corporation                                         Lotto Strike Licence




CONDITION 1:          Definitions

(a)   In these conditions, unless the context or subject matter otherwise requires:-

      (i)      "Act" means the Public Lotteries Act, 1996;

      (ii)     "Agent" means a person appointed by the Licensee as its Agent for
               purposes associated with games of Lotto Strike conducted by the
               Licensee;

      (iii)    "Agreement" means any agreement for the time being made
               between the Licensee and interstate or overseas authorities in
               participating areas for the conduct by them of Games of Lotto Strike
               and Promotional Lotto Strike as referred to in Condition 3 of this
               Licence;

      (iv)     "approved" means approved in writing by the Minister;

      (v)      "automatic entry" means an Entry made pursuant to verbal
               instruction (not requiring completion of an entry form) given by a
               Player wishing to enter a Game of Lotto Strike wherein the selection
               of numbers is made by way of a computer linked terminal and not by
               that Player;

      (vi)     "Bloc Members" means all the parties from time to time to an
               Agreement entered into with the Licensee pursuant to Condition 3 of
               this Licence for the conduct of Games of Lotto Strike and
               Promotional Lotto Strike on a joint basis;

      (vii)    "Chief Executive Officer" means the Chief Executive Officer of the
               New South Wales Lotteries Corporation;

      (viii)   "commission" means the amount approved which the Licensee is
               authorised to charge a Player for an Agent or Direct Mail Agent
               accepting and doing all things required to effect a Player's Entry into
               a Game of Lotto Strike but does not include a charge determined in
               accordance with Condition 17(c);

      (ix)     "computer linked terminal" means computer equipment located in
               branches of the Licensee or places of business of Agents, Direct
               Mail Agents or otherwise which is linked to the central processing
               computer equipment of the Licensee for purposes associated with
               Games of Lotto Strike;

      (x)      "computer records" means the sum of information which is provided
               to the Licensee by way of the Licencee’s central processing
               computer equipment in respect of details of a Player's Entry in a
               Game of Lotto Strike and which is retained or recorded on magnetic
               tape or otherwise stored;

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NSW Lotteries Corporation                                        Lotto Strike Licence




     (xi)      "conduct" in relation to a Game of Lotto Strike or Promotional Lotto
               Strike has the meaning assigned to it by section 4(1) of the Act;

     (xii)     "corresponding law" means a law of another State, Territory or
               Country pursuant to which a person is authorised to conduct Games
               of Lotto Strike or Promotional Lotto Strike;

     (xiii)    "corresponding lotto draw" means the lotto draw which is used to
               select the four (4) winning numbers for Lotto Strike;

     (xiv)     "Direct Mail Agent" means an Agent, approved by the Minister, who
               is authorised by the Licensee to receive subscriptions, commissions
               and instructions in respect of a Game of Lotto Strike or entries and
               instructions with respect to a Game of Promotional Lotto Strike from
               a Player. Such Direct Mail Agent may receive instructions by post,
               telephone, facsimile or modem (internet) and such Direct Mail Agent
               may receive prizes for and on behalf of a Player;

     (xv)      "drawing" means:-

               (a)   in relation to a Game of Lotto Strike (but not including a
                     Second Drawing) the selection by lot of the winning numbers;

               (b)   in relation to a Second drawing the selection by lot of the
                     winning numbers; and

               (c)   in relation to a Game of Promotional Lotto Strike the selection
                     by such method approved by the Chief Executive Officer of the
                     prize numbers;

     (xvi)     "Entry" means:-

               (a)   the form used by a Player to enter a Game of Lotto Strike
                     whether it be in documentary or other form required or
                     permitted by the Rules or as otherwise approved; or

               (b)   the verbal instruction given by a Player wishing to enter a
                     Game of Lotto Strike, in accordance with Condition 1(a)(v) of
                     this Licence;

     (xvii)    “Entry Form” means an approved entry form required by the Rules
               to enable a person to enter or subscribe to a Game of Lotto Strike;

     (xviii)   "Game of Lotto" means a lottery game conducted under the Act
               styled as "Lotto" but does not include Promotional Lotto;

     (xix)     "Game of Lotto Strike" means a lottery game conducted under the
               Act styled as "Lotto Strike" but does not include Promotional Lotto
               Strike;

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NSW Lotteries Corporation                                        Lotto Strike Licence




     (xx)      "Game of Promotional Lotto Strike" means a public lottery
               conducted for the purpose of promoting a Game of Lotto Strike,
               and in respect of which:

               (1)   eligibility to enter is confined to Players in a Game of Lotto
                     Strike; and

               (2)   no further Subscription or Commission is charged;

     (xxi)     "interstate authority" means a person who is authorised to conduct
               Games of Lotto Strike and Promotional Lotto Strike in a participating
               area within Australia;

     (xxii)    "Licensee" means New South Wales Lotteries Corporation; a
               corporation constituted pursuant to section 5 of the New South
               Wales Lotteries Corporatisation Act 1996;

     (xxiii)   "Lotto Strike" means a game known as "Lotto Strike" the design and
               Rules of which have been approved;

     (xxiv)    "Lotto Strike Prize Fund Account" means the account referred to in
               Condition 8 of this Licence;

     (xxv)     "Minister" means the Minister of the Crown for the time being
               administering the Act;

     (xxvi)    "month" means a calendar          month    and   "monthly"    has        a
               corresponding meaning;

     (xxvii)   "New South Wales Lotteries Corporation Fund" means the account
               referred to in Condition 7 of this Licence;

     (xxviii) "overseas authority" means a person who is authorised to conduct
              Games of Lotto Strike and Promotional Lotto Strike in a participating
              area overseas;

     (xxix)    "participating area" means a State, Territory or Country in which a
               person is authorised to conduct Games of Lotto Strike or
               Promotional Lotto Strike under a corresponding law;

      (xxx)    “Player means a person who has:

               (a)   submitted an Entry to the Game of Lotto Strike;

               (b)   has paid the Licensee the subscription and the commission;
                     and
               (c)   who has received a ticket in that Game of Lotto Strike as
                     confirmation of the Player’s entry into that Game of Lotto
                     Strike.


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NSW Lotteries Corporation                                       Lotto Strike Licence




               and where the Rules so permit includes a Player who holds, bears
               or submits a ticket and where the context admits, includes a
               Registered Player and/or a Player who has entered a Game of
               Promotional Lotto Strike in accordance with the Rules.

     (xxxi)    "prize" means any sum computed and payable to a Player in
               accordance with the provisions of the Rules and includes a dividend;

     (xxxii)   "prize fund" means an account established under section 27 of the
               Act and known as the Lotto Strike Prize Fund Account;

     (xxxiii) "prize numbers" in relation to a Game of Promotional Lotto Strike
              means the first four or fewer numbers, as may be applicable to that
              game, drawn or selected in such other manner as directed by the
              Chief Executive Officer for that game or such other numbers as may
              be specified by the Chief Executive Officer;

     (xxxiv) "prize pool" means the amount allocated for the payment of prizes
             being not less than sixty percent (60%) of all subscriptions received
             for a particular Game of Lotto Strike unless otherwise approved;

     (xxxv) "Prize Reserve Fund" means the fund located in the Prize Fund
            under section 27 of the Act and known as the Prize Reserve Fund;

     (xxxvi) "Registered Player" means a Player whose personal details have
             been provided to the Licensee which has recorded same on
             computer records for the purpose of a player registration service
             (which may be approved from time to time by the Chief Executive
             Officer) to that Player;

     (xxxvii) "Regulation" means a regulation made under the Act;

     (xxxviii) "Rules" means the rules in force under the Act in relation to Games
               of Lotto Strike and Promotional Lotto Strike;

     (xxxix) "Second Drawing" means an additional drawing conducted as part
             of a Game of Lotto Strike in accordance with the Rules;

     (xl)      "subscription" means the amount approved, excluding commission
               and any additional amount determined in accordance with Condition
               17(c), which a Player shall be charged to enter a Game of Lotto
               Strike;

     (xli)     "ticket" means the receipt which is the official confirmation of a
               Player's Entry in a Game of Lotto Strike and which is produced and
               validated by a computer linked terminal;




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NSW Lotteries Corporation                                         Lotto Strike Licence




      (xlii)   "winning numbers" in relation to a Game of Lotto Strike (including a
               Second Drawing) means a number or numbers corresponding with,
               and selected in the exact same order as, one, some or all of the first
               four (4) winning numbers drawn in the corresponding lotto draw.

               Example:

               Numbers selected, in order of selection, are: 5, 10, 15, 20

               The first four (4) winning numbers drawn in the corresponding lotto
               draw, in order of drawing, are: 6, 5, 15, 20

               The winning numbers are: 15, 20

(b)   In these conditions unless inconsistent with the context:

      (i)      a reference to the singular shall include the plural, and vice versa;
               and

      (ii)     headings are for convenient reference only and have no effect in
               limiting or extending the language of the provisions to which they
               refer.

CONDITION 2:           Responsibilities of Licensee

(a)   Games of Lotto Strike and Promotional Lotto Strike shall be conducted in
      accordance with the Act, the Regulations, the Rules, and these Conditions
      as amended from time to time and all other corresponding laws.

(b)   The Licensee shall, at its own cost and expense (except where otherwise
      hereinafter expressly provided):-

      (i)      arrange for the distribution and acceptance of Entries for, and the
               acceptance of subscriptions in respect of, Games of Lotto Strike and
               entries for Promotional Lotto Strike at all its branches, including
               those branches established before or after the commencement of
               these conditions, and through Agents and Direct Mail Agents or as
               otherwise may be approved;

      (ii)     have the authority and responsibility to select Agents and Direct Mail
               Agents and to determine the terms and conditions upon which they
               are appointed;

      (iii)    control the distribution to all Agents and Direct Mail Agents of all
               Entries including tickets;

      (iv)     take such steps as are necessary, including the implementation of
               appropriate security procedures, to ensure the proper conduct, in
               accordance with these conditions and the Rules, of each Game of
               Lotto Strike or Promotional Lotto Strike;
                                       Page 6
NSW Lotteries Corporation                                         Lotto Strike Licence




      (v)      have the sole authority to receive subscriptions and to operate upon
               the New South Wales Lotteries Corporation Fund and the Lotto
               Strike Prize Fund Account;

      (vi)     identify each Entry eligible for a prize as soon as possible after each
               drawing;

      (vii)    take such steps as are necessary to ensure the observance of the
               Rules so far as concerns the admission of Entries and the payment
               of prizes;

      (viii)   secure the provision of Entry Forms and such other stationery and
               other stores as may be necessary to conduct Games of Lotto Strike;

      (ix)     have the responsibility for processing all current Entries where the
               subscription was paid prior to the commencement of this Licence,
               and all Entries where the subscription was paid subsequent to the
               commencement of this Licence; and

      (x)      arrange for the marketing, promotion and advertising of Games of
               Lotto Strike and Promotional Lotto Strike and the publicity attendant
               upon the conduct of those games.

CONDITION 3:           Agreement

(a)   The Licensee may, under the terms and conditions approved by the Minister,
      enter into an agreement with an interstate and/or overseas authority with
      respect to:-

      (i)      the administration of a scheme for the conduct of Games of Lotto
               Strike and Promotional Lotto Strike on a common basis among
               participating areas;

      (ii)     the manner of making payments to the Licensee by an interstate or
               overseas authority towards payment by the Licensee of prizes won
               in respect of Games of Lotto Strike and Promotional Lotto Strike;

      (iii)    the manner of making payments by the Licensee out of the prize
               fund of prizes won in respect of Games of Lotto Strike and
               Promotional Lotto Strike conducted in a participating area; and

      (iv)     related matters;

(b)   Any agreement made pursuant to this condition must not be inconsistent
      with the Act, the Regulations, the Rules, or these conditions as amended
      from time to time or any other law of this State or of the Commonwealth or of
      an overseas participating area.




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NSW Lotteries Corporation                                           Lotto Strike Licence




CONDITION 4:           Rules

(a)   The Licensee shall have the general responsibility for the design of Games
      of Lotto Strike and, in particular, shall prepare for the approval of the Minister
      the proposed Rules and any changes thereto in accordance with which
      Games of Lotto Strike are to be conducted by the Licensee;

(b)   Games of Lotto Strike shall be conducted by the Licensee in accordance
      with the Rules;

(c)   The Licensee shall display and shall cause its Agents and Direct Mail Agents
      to display and make available to the public copies of the Rules at every
      place that is open to the public to enter a Lotto Strike Game conducted by
      the Licensee.

CONDITION 5:           Entry Forms

Entry Forms for Games of Lotto Strike conducted by the Licensee shall be in such
form and contain such extracts from the Rules and such other information as shall
be approved by the Minister.

CONDITION 6:           Frequency

(a)   The Licensee shall conduct two Games of Lotto Strike in each and every
      week during the term of its Licence unless otherwise approved.

(b)   Games of Promotional Lotto Strike shall be drawn at such times as the Chief
      Executive Officer determines.

CONDITION 7:           Subscriptions Received

(a)   All subscriptions received by the Licensee in respect of any Game of Lotto
      Strike conducted by the Licensee pursuant to this licence shall, in the first
      instance, be forthwith paid into the New South Wales Lotteries Corporation
      Fund.

(b)   The subscriptions referred to in paragraph (a) shall, in accordance with
      Conditions 8 and 9, be appropriated in the following manner:-

      (i)     to the payment of not less than sixty-two percent (62%) of the
              subscriptions into the Lotto Strike Prize Fund Account in accordance
              with Condition 8 or as otherwise approved;

      (ii)    to the payment of sixty-six point one percent (66.1%) of the player
              loss to the Treasurer as General Duty in accordance with section
              28(1) of the Act;

      (iii)   the balance remaining to the Licensee as payment for the operating
              costs of the Licensee.

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NSW Lotteries Corporation                                         Lotto Strike Licence




CONDITION 8:           Lotto Strike Prize Fund Account

The Licensee shall, for the purposes of section 27 of the Act, open an account to
be named "Lotto Strike Prize Fund Account", and to be operated on by the Chief
Executive Officer, and the Chief Executive Officer shall, out of the New South
Wales Lotteries Corporation Fund, pay into the Lotto Strike Prize Fund Account
prescribed percentage of subscriptions referred to in Condition 7(b)(i).

CONDITION 9:           Duty Payable to the Treasurer

The Licensee shall pay as General Duty the amount payable to the Treasurer in
accordance with Condition 7(b)(ii) hereof within seven (7) days of the end of the
month in which subscriptions were received;

CONDITION 10:          Prize Fund Reserve and Prize Pool

a)    There shall be retained in the Lotto Strike Prize Fund Account an amount
      equal to two percent (2%) or such other percentage as may be approved of
      all subscriptions received in respect of each game of Lotto Strike together
      with an amount representing any unclaimed prizes;

(b)   The remainder of the subscriptions in the Lotto Strike Prize Fund Account
      received for a particular game of Lotto Strike, excluding amounts retained in
      accordance with paragraph (a) of this Condition, shall be reallocated as the
      Prize Pool for that Game of Lotto Strike in accordance with the Rules;

(c)   The amount in the Lotto Strike Prize Fund Account representing for the time
      being amounts retained in accordance with paragraph (a) of this Condition
      and the proceeds of any investment in accordance with section 27 of the Act
      of any money kept in the Lotto Strike Prize Fund Account shall be applied to
      the purposes referred to in this paragraph and in the order set out
      hereunder:-

      (i)     firstly, in payment of a prize in respect of any Entry which, consistent
              with the Rules, may be accepted by the Licensee as eligible for that
              prize after the declaration of the results of a Game of Lotto Strike;

      (ii)    secondly, in payment, consistent with the Rules, of any additional
              prize or prizes in any game of Lotto Strike which may include prizes
              paid on special occasions (as approved from time to time) and which
              shall include special prizes paid when there is no first division
              winner. Any additional prize or prizes paid on special occasions
              may be paid in monetary terms or in kind and may include a prize or
              prizes paid pursuant to a Second Drawing of a Game of Lotto Strike;

      (iii)   thirdly, in reimbursement to the Licensee for any amount by which it
              has subsidised the Prize Pool;




                                       Page 9
NSW Lotteries Corporation                                          Lotto Strike Licence




      (iv)    fourthly, to meet any shortfall in the Lotto Strike Prize Fund Account
              attributable to adjustments made after the declaration of the results
              of a Game of Lotto Strike;

      (v)     fifthly, in payment, consistent with the Rules, of any prize or prizes in
              any Game of Promotional Lotto Strike. Any prize paid in relation to
              a Game of Promotional Lotto Strike may be paid in monetary terms
              or in kind; and

      (vi)    sixthly, in payment of the cost of operating the Lotto Strike Prize
              Fund Account.

CONDITION 11:          Prize Payments

During the term of its Licence the Licensee shall pay to winning Players, including
such winning Players as may be determined in respect of Games of Lotto Strike
and Promotional Lotto Strike conducted by an interstate or overseas authority
subject to the Agreement, such prizes or dividends as shall be prescribed in
accordance with the Act, the Regulations, the Rules, these conditions as
amended from time to time.

CONDITION 12:          Minister's Nominee at Drawing

The drawing of any Game of Lotto Strike and Promotional Lotto Strike shall take
place in the presence of a person, or persons, nominated by the Minister and at a
place where the public is admitted, and shall be effected by such mechanical or
other means as shall be approved.

CONDITION 13:         Publication of Results

As soon as practicable after the drawing of a Game of Lotto Strike or Promotional
Lotto Strike the Licensee shall make available to the media the results of the
drawing.

CONDITION 14:          Inspection of Equipment

The Licensee shall permit any person nominated by the Minister to inspect,
examine or test at any reasonable hour any equipment by means of which
selection of numbers at a
drawing is to be effected.

CONDITION 15:          Approved Lotto Strike Equipment

A Licensee, Agent or Direct Mail Agent shall not use, in relation to the conduct of
any Game of Lotto Strike, any electrical or mechanical device or equipment:

(a)   in connection with the registration or processing of any Player's Entry in the
      game, or
(b)   that affects the outcome of the game,

                                       Page 10
NSW Lotteries Corporation                                          Lotto Strike Licence




unless the device or equipment, and the location of the device or equipment, is
approved for the time being by the Minister.

CONDITION 16:          Provision of Information to the Minister

In addition to furnishing such information as the Licensee is required to furnish to
the Minister under any other condition of this Licence, the Licensee shall furnish to
the Minister such information as the Minister may require relating to the conduct
by the Licensee of Games of Lotto Strike and Promotional Lotto Strike, including
information as to the operating costs and other costs incurred by the Licensee in
the conduct of Games of Lotto Strike and Promotional Lotto Strike, and without
limiting the generality of the foregoing shall, if the Minister establishes any body to
make reports and recommendations to the Minister with regard to the conduct of
Games of Lotto Strike and Promotional Lotto Strike by the Licensee pursuant to its
licence, furnish such information to that body.

CONDITION 17:          Agent's Commission

(a)   The terms and conditions on which an Agent or Direct Mail Agent is
      appointed by the Licensee shall include:

      (i)     provision for the Agent or Direct Mail Agent to charge a Player
              commission on behalf of the Licensee such commission being in
              addition to the subscription payable under the Rules;

      (ii)    provision for the payment by the Agent or the Direct Mail Agent of
              the commission to the Licensee in such manner as the Licensee
              may direct from time to time;

      (iii)   the payment by the Licensee to the Agent or Direct Mail Agent of an
              amount as handling fees being an amount equivalent to the amount
              of commission paid by the Agent or Direct Mail Agent to the
              Licensee.

(b)   A like amount as is referred to in paragraph (a) of this Condition shall be
      charged and retained by the Licensee in respect of the acceptance at any
      branch of the Licensee of any Entry for, or any subscription in respect of, a
      Game of Lotto Strike.

(c)   The Chief Executive Officer may from time to time authorise a Direct Mail
      Agent to charge a Player from whom the Direct Mail Agent accepts a
      subscription in respect of a Game of Lotto Strike an amount in addition to the
      commission payable in accordance with Condition 17(a) hereof for the
      provision of such ancillary services as may be approved by the Minister.




                                       Page 11
NSW Lotteries Corporation                                                                                         Lotto Strike Licence




CONDITION 18:                                                                  Copyright

On revocation or expiry of its licence, the Licensee shall relinquish, transfer or
assign to the Minister at no cost to the Minister, the Crown or the Government of
the State of New South Wales (other than any legal costs, stamp duties or other
costs which shall be for the account of the Minister) all claims to copyright over
and all proprietary rights in all materials, mottos, information, documents,
concepts, trademarks, television and radio commercials produced in relation to
Games of Lotto Strike and Promotion Lotto Strike, provided that the Licensee,
prior to the revocation or expiry of this Licence as the case may be, has not been
issued with a further licence for, or has not entered into some other business
arrangements with the Minister in respect of, the conduct of Games of Lotto Strike
and Promotional Lotto Strike or in respect of this Condition.

CONDITION 19:                                                                  Ownership of Equipment used for Drawings

Upon revocation or expiry of its licence, the Licensee shall transfer all of its
drawing equipment, including spare parts together with instruction and
maintenance manuals held by the Licensee, associated with Games of Lotto
Strike and Promotional Lotto Strike to the ownership of the Minister without costs
(other than any legal costs, stamp duties or other costs which shall be for the
account of the Minister) provided that the Licensee, prior to the revocation or
expiry of this Licence as the case may be, has not been issued with a further
licence for, or has not entered into some further business arrangements with the
Minister in respect of the conduct of Games of Lotto Strike or Promotional Lotto
Strike in respect of this Condition. If requested by the Minister at or prior to the
revocation or expiry of this Licence, the Licensee shall instruct the Minister or the
Minister's delegate as to the manner of operating such drawing equipment and the
maintenance required to keep the same in good working order and repair.




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Description: Licence Lotto Strike