Md. Code Regs. 36.02.02.05 - Security
A. The Director may
require an applicant or retailer to obtain security of at least
$5,000.
B. The security may be:
(1) A surety bond;
(2) An irrevocable letter of
credit;
(3) A cash security
deposit;
(4) Lottery escrow
deposit; or
(5) Any other form of
security approved by the Director.
C. The Agency may require security:
(1) To protect the financial contributions to
the State;
(2) If a retailer fails
to make a payment to the Agency or has insufficient funds for a lottery
transfer;
(3) To ensure the
integrity of an applicant or the owner of an applicant and is based on a
financial evaluation; and
(4) To
pay for damage, loss or misuse of supplies, equipment, or tickets.
D. The Agency may use the
security:
(1) To offset amounts due from the
retailer for the proceeds from the sale of tickets; or
(2) To pay for the cost of damaged, stolen,
lost or misused supplies, equipment, or tickets.
E. The security shall remain in place until
such time that the Director determines it may be removed.
Notes
State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compare.
At the discretion of the Director and in the amount determined by the Director, an
A. A surety bond;
B. An irrevocable letter of credit;
C. A cash security deposit;
D. Lottery escrow deposit; or