[Congressional Record Volume 142, Number 28 (Tuesday, March 5, 1996)]
[House]
[Page H1700]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




              TRUTH IN ADVERTISING FOR STATE-RUN LOTTERIES

  The SPEAKER pro tempore Mr. (FOX of Pennsylvania). Under a previous 
order of the House, the gentleman from Texas, Mr. Pete Geren, is 
recognized for 5 minutes.
  Mr. PETE GEREN of Texas. Mr. Speaker, today I introduce legislation 
requiring State lotteries to inform consumers of the statistical 
probability of winning the lottery prize as a part of all radio and 
television advertising.
  As a general principle, the Federal Government has been quite 
aggressive in requiring truth in advertising from those who use our 
Nation's airwaves. However, it has neglected to act in one of the 
Nation's fastest growing industries, that is, State-run lotteries.
  In 1994, nationwide, consumers spent $34.4 billion on lottery 
tickets. In Texas alone we spent almost $3 billion. These billions were 
spent in spite of the fact that the chance of winning the lottery grand 
prize is less likely than getting struck by lightning.
  Mr. Speaker, there were 1.178 billion lottery tickets bought for the 
Lotto Texas grand prize last year. There were 74 grand prize winners. 
Statistically, the chance of winning the Lotto Texas grand prize is 1 
in 15,890,700.
  Mr. Speaker, if a medical product offered one person in 15,890,700 a 
chance of growing hair on a bald head, the FDA would not approve it and 
the FTC would not allow it to be advertised on TV as a cure for 
baldness. Unfortunately. If a stock broker, price indexer, advertised 
an investment where 1 person gets rich and 15 million get nothing in TV 
ads showing only the person who got rich, the SEC would shut him down.
  The duty of a State to its people is higher than I would ask of 
private citizens or a business. If a State is going to be in the 
numbers business and use the Nation's airwaves to market the chance of 
living the life style of the rich and famous, it has the duty to tell 
those people their chances of winning that life style.
  For most of our Nation's history lotteries and other numbers games 
were illegal. They were illegal because they were deceptive and tricked 
people out of their hard-earned money. Times have changed, and today 
lotteries are an accepted fact of life. We have a duty to ensure our 
Nation's airwaves; we have a duty to ensure that the people get the 
facts.
  In Texas, every ad that brings the smiling face of our State's newest 
millionaire in the living room should conclude with the tag line, ``The 
chances of winning are 1 in 15,890,700.''

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