Washington, D.C., Attorney General Brian Schwalb announced a $6.5 million settlement with the two contractors behind the problem-plagued GambetDC sports betting app for allegedly defrauding the district to get approval.

Intralot, a Greek company, and Veterans Services Corporation, a D.C.-based subcontractor, won the contract to develop the sports betting and lottery programs in the district in 2019 without a bidding process under the promise that the D.C.-based subcontractor would do 51% of the work. The council reluctantly approved the agreement quickly to beat Maryland and Virginia to the sports betting market under the pretense that it would support a local company.

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