Glace Bay, N.S., legion to pay $250 over Chase the Ace regulation violations

The Royal Canadian Legion Branch 3 in Glace Bay, N.S., will have to pay a $250 fine over multiple regulatory violations in the Chase the Ace lottery, according to the Alcohol, Gaming, Fuel and Tobacco Division.

According to a written decision, the legion, which held a ticket lottery licence for a weekly Chase the Ace event, accepted responsibility for violating sections of the Nova Scotia Ticket Lottery Regulations and the Gaming Control Act. The violations happened between March 2023 and March 2024.

The investigating officer launched a ticket lottery investigation of the Chase the Ace operations in March 2025. They noted the legion failed to provide the requested financial data and bank statements in a timely manner.

The records that were submitted were incomplete and consisted of handwritten notes, according to the decision.

“The Licensee admitted that numerous lottery expenses were paid directly out of unrecorded cash collected during weekly draw nights, leaving no verifiable receipt or audit trail,” the decision reads. “Additionally, lottery proceeds were deposited into the main general bank account rather than a dedicated lottery account and were used to fund general Legion operations rather than building renovations as stated on the licence application.”

The review noted the final draw prize should have been $42,621.40 but the winner only received $35,803. It also discovered cheques were made payable to the licensees of the lottery on three occasions, but the payments were not for approved use of lottery money and receipts were not provided.

The investigation ultimately found the legion in violation of five regulations related to the Chase the Ace, according to the decision:

• Illegal ticket bundling and financial accountability audit failure. The legion did not properly sell bundled tickets and failed to ensure they were discounted when bundled. They also separated tickets when they were picked up from retail sites, making “proper financial scrutiny and auditing impossible.”
• Unauthorized postponement of draw. The legion rescheduled and postponed their weekly draw six times without written approval from the executive director. This resulted in the legion running the lottery beyond the 52-week licence period.
• Unapproved retail locations. The legion sold lottery tickets at non-approved retail spots.
• Improper ticket information. The legion failed to use properly assigned licence information on their tickets.
• Failure to Retain Records. The legion failed to retain all records related to the lottery. They also could not provide the tickets used in the draw.

The legion will have to pay its $250 fine to the provincial minister of finance by June 19.

The written decision also says Tom Kennedy and Robert Mounce, who were the listed representatives of the ticket lottery licence, will be banned from holding such a licence for three years.

For more Nova Scotia news, visit our dedicated provincial page