Unlike a sweepstakes, a lottery is a promotional device by which items of value (prizes) are awarded to members of the public by chance—but some form of payment is required to participate. Lotteries are illegal, except when conducted by states and certain exempt charitable organizations. If you believe you have received a solicitation characterized as a sweepstakes that is in fact an illegal lottery, you should contact your local Post Office or state Attorney General’s consumer protection office.

In South Dakota, lotteries are generally illegal unless they are conducted by the state or certain exempt charitable organizations. The state operates its own lottery, which includes games like Powerball and scratch-off tickets, and the proceeds typically support education and other public services. Charitable organizations may also be allowed to conduct lotteries if they meet specific criteria and obtain the necessary licenses. These are often referred to as 'charitable gaming' and are regulated to ensure they are conducted fairly and legally. If an individual in South Dakota encounters what appears to be an illegal lottery—a game of chance requiring a payment to participate that is not run by the state or a qualified charitable organization—they should report it to the South Dakota Attorney General's Consumer Protection Division or the local Post Office. The Consumer Protection Division is tasked with enforcing laws related to fraudulent and deceptive practices, including illegal lotteries.