The Swedish Social Democratic Party's lottery company A-lotterierna faces calls for immediate resignation due to an investigation revealing suspicious sales practices. Erik Nises (S), the chairman of the Borlänge City Council, has demanded the resignation of the CEO and board members following reports that the company employed aggressive telemarketing strategies targeting confused elderly customers and concealed key information.
Shortly after these practices were exposed by the Swedish daily "Dagens Nyheter," the Social Democratic Party halted lottery sales. Despite the swift response, Nises claims that the leadership of A-lotterierna and its subsidiary Kombispel has severely damaged stakeholders' trust. "The CEO and board members risk losing member trust and now face disastrous consequences. They must take responsibility," insists Nises.
A-lotterierna and Kombispel's lotteries are major sources of income for the Social Democratic Party, contributing 9.8 million Swedish kronor (862,000 euros) to the party's coffers in 2023, and an additional 6.3 million Swedish kronor (554,000 euros) to the party's youth organization SSU.
Confused elderly
According to the investigation, sales agents were allegedly instructed to adopt aggressive tactics, mainly targeting elderly customers who often do not fully understand the terms of lottery subscriptions, which are frequently sold in the form of ongoing commitments. A former employee of the telemarketing company admitted that the elderly were seen as easier to deceive, thus being the primary targets of these campaigns.
"We couldn't hang up the phone; you had to keep pushing until the customer bought or hung up," a former employee explained to "Dagens Nyheter." They added, "Most were elderly—about 98% of the time. They were seen as easier targets because they were not 'in the game'."
Outsourced sales operations
The investigation found that A-lotterierna outsourced its sales operations to a Spanish telemarketing company, potentially circumventing Swedish labor laws.
Nises stated that this contradicts the values of the Social Democratic Party, especially their advocacy for stricter regulation of the gambling industry. "This is fundamentally a moral issue, and there has been widespread criticism within the party," Nises pointed out.
Response from the Social Democratic Party
In response to the scandal, officials from the Social Democratic Party have promised a thorough investigation of the allegations. Jonas Lindholm, CEO of A-lotterierna and Kombispel, declared, "We will thoroughly investigate this matter." Meanwhile, some are calling for his resignation. "We need new people who can responsibly manage this business and avoid further scandals," Erik Nises declared.