A committee fundraising for an €11 million sports and leisure project in one town has received legal advice suggesting some of the prizes in the monthly draws may be in breach of the terms of the Gaming and Lotteries Act because they are too big.
The committee of the Killarney Sports and Leisure Centre, in Co Kerry, are now looking at how they may stay within the terms of the 1956 Act and still offer large prizes.
The outcome could have repercussions for hundreds of local fundraising committees around the country, a spokesperson said.
The grand prize in the Killarney Sports and Leisure 36-month-lottery, with additional special prizes every six months, is a Spanish holiday home in a location yet to be decided, or €80,000 in cash.
Under the licensing terms of the Gaming and Lottery Act, 1956, amended most recently in 2002, the total value of prizes of periodical lotteries on any occasion in a 12-month period is set at €20,000.
If more than one lottery is held in any week the total value of the prizes for the week also cannot be more than €20,000.