Lottery.com Turned Into Bust for Acquisition Fund, Investors Say

Individuals at Lottery.com Inc. and the special purpose acquisition company that bought it misled investors about the soundness of the purchase, a shareholder says in a proposed class action.

The SPAC, or “blank check” company, was initially formed to buy a company with oil and gas interests in Eastern Europe, according to stock owner Matthew K. McDonald. But when that didn’t work out, it focused on Lottery.com, he says in the complaint, filed Tuesday in the US District Court for the Western District of Texas.

Lottery.com described itself as allowing “consumers and businesses to purchase purportedly legally sanctioned lottery tickets ...