China has clearly defined illegally issued and sold lotteries in a package of detailed rules on lottery management, which is set to take effect from March 1.

Illegal lotteries include those, other than welfare and sports lotteries, issued and sold without the approval of the State Council, as well as overseas lotteries issued and sold in China without authorization, according to the rules jointly released by the ministries of finance and civil affairs and the General Administration of Sport.

They also refer to welfare and sports lotteries and lottery games issued and sold without the approval of the Ministry of Finance (MOF) and those without the commission from lottery issuance and sales agencies.

Clear definitions will help to more effectively crack down on illegal lotteries and further promote the sound development of the country's lottery market, according to a statement posted on the MOF website after the rules were released.

The rules also urge government agencies above the county level, including finance, civil affairs, sports, and lottery issuance and sales agencies, to cooperate with public security departments, as well as industry and commerce administrations, in investigating illegal lotteries.

Moreover, the rules stipulate that unclaimed lottery prizes will be transferred by lottery sales agencies to provincial-level governments as part of local governmental funds.

It is hoped that such stipulations will better benefit lottery ticket buyers and encourage local governments to support the development of the lottery market, according to the statement.

In 2011, lottery sales amounted to 221.5 billion yuan (about 35.2 billion U.S. dollars) in China and 63.4 billion yuan was received as public welfare funds, official statistics show.