It is theft because they did not take reasonable steps to return the property to it's original and lawful owner, had they done this and been able to document as much they then would have been legally entitled to keep the ticket and claim the winnings (at the discretion of camelot).
The fraud charge is Fraud by false representation, i.e they pretended to be the person who bought the ticket in order to claim the winnings. (for boredom and context FFR can also be applied in cases where people have got into taxi's with no intention or means to pay but indicate that they will pay)
Reasonable steps are usually dependant on the value of the item, i.e reasonable steps for a lost car would be informing the police, or a advert in a local paper for a lost bike. etc..
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