VSWEEPS, INC
(VSWEEPS)
SWEEPSTAKES
PROGRAM
VSweeps, Inc.
112 N. Curry St.
Carson City, Nevada 89703
(775) 321-8243
Dear members,
VSweeps, Inc. (VSWEEPS) is a marketing company that offers a Sweepstakes program which is
designed to help promote and encourage donation and help raise money to help support the good
work that each post does for their community and our American service men and women.
We have worked closely with a variety of posts for the past two years and have help many of them
increase and add to their revenue stream enabling them to be able to do more for their struggling
members and their community.
Since we’ve been working closely with many different posts, we are well aware of the growing
financial pressures confronting posts today. We believe our Sweepstakes program offered by
VSWEEPS can help in alleviating these pressures! This fundraising program is a safe, fun and legal
way to raise money to support your important programs.
Installing our Sweepstakes system in your post is easy. VSWEEPS pays the up-front equipment and
installation fees. The post has no out-of-pocket expense (other than the nominal installation fee for
installation of a static IP internet connection); furthermore, the Sweepstakes program requires a
minimum amount of ongoing supervision/labor and has potential to generate substantial income for
the post. We would be delighted to add your post to our growing list of satisfied Sweepstakes
participants!
We look forward to discussing the Sweepstakes program with you. We can be reached at 775-3218243 at any time. We can also be reached via e-mail at [email protected]. Give us a call or send
us an e-mail and let’s talk about this exciting program!
Sincerely,
Brian Huntley
VSWEEPS, INC
(VSWEEPS)
SWEEPSTAKES
OVERVIEW
VSweeps, Inc.
Sweepstakes Operational
Overview
I.
As in all sweepstakes, this program creates a finite number of game pieces and assigns a
winning or non-winning value to each game piece before the game begins. The number
and type of each prize to be awarded and the odds of winning each prize are also assigned
to game pieces before the sweepstakes begins. None of this information can be modified
or altered after it is created.
II.
How do you receive entries? There are 3 methods, two with no donation or purchase
necessary, as follows:
1.
One hundred (100) entries per day can be obtained without donation in person at
the location by completing a written request including their full name, complete
address, birth date, day time phone number including area code, and e-mail
address, if any.
2.
One hundred (100) entries can be obtained without donation by mailing an entry
form or hand written request including their full name, complete address, birth
date, day time phone number including area code, e-mail address, if any, along
with a self addressed stamped envelope to VSweeps, Inc., P.O. Box 3818, Cedar
Park, TX 78630. There is no limit on the number of request by mail.
3.
With each one dollar ($1.00) donation as designated in the rules, through the POS
or game terminal, a person can request and receive 100 free sweepstakes entries.
III
The entries are assigned to an account which can be accessed by a magnetic stripe card.
Again, a winning or non-winning value is assigned to each game piece prior to the startup of the sweepstakes. If you receive a game piece or entry with a winning value, you
win the prize assigned to that game piece.
IV
Once you have received entries, there are three methods to reveal your prize assigned to
the game piece, if any:
1. A PC Revealer which simply reveals/displays the content of each game piece/entry in
a text format. This revealer lists each game piece, its unique ID number, and the
prize value, if any assigned to that game piece.
2. One can go to a computer at the location to reveal the entries using the entertaining
game themes to display the content of the game pieces/entries.
3. Game pieces/entries can be revealed at the POS terminal at the time they are received.
V
This is a finite system at each location. Each participant has the same chance of winning
any prize whether or not they:
A. Receive their game pieces/entries without making a donation, or receive entries when
they make a donation; or
B. Use the PC Revealer, reveal at the POS terminal or use the computer displays to
determine if their game pieces are winning or non-winning pieces, and the value of
their prizes, if any; or
C. Reveal one game piece or multiple game pieces at a time.
VI
At each location the odds of winning any prize, the number and type of prizes to be
awarded, sponsor and sponsor’s address and the rules of the contest are conspicuously
displayed.
VII
The prizes are not awarded on the basis of any skill or knowledge. The participant either
receives a winning game piece/entry or not at the moment they receive the game piece.
VII
Pursuant to VSweeps, Inc. rules, participation in the sweepstakes is discretionary. A
person who makes a donation is not required to open or reveal the content of the game
pieces received with their donation. Donations are accepted whether or not a patron
opens or reveals the content of their game pieces.
VIII
The game themes are displays that are designed to reflect/reveal the content of the game
pieces/entries in an entertaining manner. A person has either won a prize or not at the
moment they receive the game piece/entry just like McDonalds and other sweepstakes.
One can automatically reveal the game pieces/entries with a PC Revealer, at the POS
terminal or instead, can reveal the game pieces/entries by entertaining display themes.
The method of revealing the game pieces does not affect the outcome, prizes or odds.
The patron cannot alter, modify or impact the content of the game piece, the value of the
prize, or any other information assigned to the game piece.
IX
Game theme Display: You do not play a game. If a patron decides to reveal the game
piece using one of the game theme displays, the patron selects the display and then:
1.
Selects the number of game pieces/entries to be revealed.
2.
Selects the “reveal” button.
3.
The display reveals the value, if any, of the game pieces through display symbols.
Example: A patron receives their free game pieces and one of the game pieces has a prize value
of $1.00. When the patron activates Reveal on the game display of their choice, the display
would show they won $1.00 through its entertaining display such as displaying three oranges in a
line. The computer display simply reveals the value of the prize by using a predetermined set of
symbols assigned to be displayed when a prize of that value has been assigned to the game piece
selected. This is simply an entertaining manner to reveal the value of the game piece. While the
participant may use certain game themes to reveal the contents of the sweepstakes entries, such
action will have no bearing on the predetermined content of the sweepstakes entries that will be
revealed to the participant. The participant cannot affect the outcome of the sweepstakes results,
and cannot alter the odds of winning a prize. The symbols and entertaining display shown to the
participant is determined entirely by the content of the sweepstakes entries revealed to the
participant. The game theme displays have no effect determining any prize to be awarded, the
value of any prize, or the odds of winning any prize. Their function is only to provide an
entertaining method of providing notice of the content of the sweepstakes game pieces, just as
McDonalds uses Monopoly’s theme to provide notice of the content of their sweepstakes game
pieces.
Comparison of Sweepstakes to Amusement Games (8-Liners)
Item
Sweepstakes
Amusement Games (8-Liners)
Authority
The TABC authorizes sweepstakes to advertise
and promote the sale of alcoholic beverages.
Sweepstakes are also regulated by Ch 45 Bus.&
Com. Code which is also referred to as The
Sweepstake Act. Sweepstakes are also regulated
at the federal level by U.S. Code Title 39, Part IV,
Chapter 30 §3001
Amusement games are authorized by the Penal Code Ch.
47.01. In 2003, during the 78th Session of Legislature, the
Legislature declined to amend the Penal Code to include
video sweepstakes in the definition of a gambling device.
As a result, video sweepstakes are not prohibited in Texas
and are regulated by Ch. 45 of the Bus. & Commerce Code
– not the Penal Code. See the analysis and history of HB
977 and HB 1478
Can Cash Prizes
be Paid?
Yes. Sweepstakes winnings may be paid as cash
prizes.
No. Amusement games winnings must be redeemed
exclusively with noncash merchandise prizes, toys, or
novelties, or a representation of value redeemable for
those items.
Restrictions on
Winnings
Sweepstakes are subject to additional regulation
if a single prize is offered with a value greater
than $50,000.
Sweepstakes are subject to additional regulation if a single
prize is offered with a value greater than $50,000.
Amusement games must be 10X compliant. The player is
exclusively rewarded “with noncash merchandise prizes,
toys, or novelties, or a representation of value redeemable
for those items, that have a wholesale value available from
a single play of the game or device of not more than 10
times the amount charged to play the game or device once
or $5, whichever is less.”
Is There a Cost
to Play?
No. All sweepstakes entries are free and
alternative methods exist to receive entries
without a purchase or donation as required by
Texas and Federal Statute.
Yes. The user must stake something of value to obtain an
outcome from the game. This meets the definition of
gambling from the Penal Code Ch. 47.01(1) which states
"Bet" means an agreement to win or lose something of
value solely or partially by chance."
Is There a Finite
Pool of Entries?
Yes. The Sweepstakes is created with a single
pool of finite entries.
No - 8-liners cannot create a finite number of game pieces.
They use a random number generator to determine
winning plays.
Are There a
Specific Number
of Prizes?
Yes. The number and type of prizes to be
awarded is determined at the time the
sweepstakes is created.
No - The prizes varies based on number of prizes
previously awarded
Are the Prizes
Pre-Determined?
Yes. Each prize is associated with an entry at the
time the Sweepstakes is created.
No - Again, the prizes varies based on number of prizes
previously awarded
Are the Odds
Predetermined?
Yes. The odds are determined at the time the
Sweepstakes is created.
No - Odds change with each play. The operator can
change the percentage ratio of money bet to the prizes to
be paid.
Yes. Penalties are no less than $5,000 or more
than $50,000 for each violation found
No. Amusement games are governed by the Penal Code.
No. The IRS has ruled in Technical Advice
Memorandum No. 200417004 that Sweepstakes
winnings are not gambling winnings.
Yes. Amusement games are gambling. The user has won
or lost something of value solely or partially by chance.
Are Civil
Penalties
Available?
Are Winnings
Considered
'Gambling' for
Tax Purposes?
PICTURES OF
SWEEPSTAKES
GAME THEMES
Main Screens
Main Screens
Example of Five (5) Reel Games
Example of Eight (8) Line Games
Example of Keno Games
Example of Video Poker
Example of Three (3) Reel Games
Examples of how many of entries to be revealed