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Former W.V. Lottery inspector admits lying to feds

West Virginia LotteryWest Virginia Lottery: Former W.V. Lottery inspector admits lying to feds
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CHARLESTON, W.Va. — A former inspector with the West Virginia Lottery Commission admitted Wednesday that she lied to investigators about taking money from a former state delegate who ran an illegal gambling ring in West Virginia and Kentucky.

Carolyn A. Kitchen, 55, of Chapmanville, admitted that she lied to investigators with the Federal Bureau of Investigation and the Internal Revenue Service when they questioned her about her involvement with Joe C. Ferrell in February 2008.

Among other things, they asked her if she took money from Ferrell, a longtime Logan County delegate who owned Southern Amusement Co., a company that provided video lottery machines to bars and other venues.

"At that time, I lied to them, knowing that I had taken money," she said Wednesday.

Ferrell, 63, pleaded guilty to racketeering and tax fraud charges last month. He said he helped Kitchen, whom he had known since she was a teenager, get her job with the Lottery Commission, knowing that she would bend the rules for the machines owned by his company.

"He would call and ask me to come out after hour to fix [Southern Amusement's] video lottery machines," Kitchen said Wednesday.

Kitchen, who agreed to a plea deal with federal prosecutors in May 2008, knew that the federal agents were investigating Ferrell when she lied to them three months earlier.

She faces up to five years in prison when sentenced by U.S. District Judge John T. Copenhaver Jr. on Feb. 23.

"She was always around to do favors for us," Ferrell said of Kitchen during his plea hearing. He said he periodically gave her money, including $2,000 in June 2007 when she wanted to buy a car, and meals and other gifts.

In exchange, she was expected to be immediately available if he needed access to sealed parts of the gambling machines, and provide favorable reports to the Lottery Commission, where she worked between 2004 and 2007, according to court records.

Ferrell became a major video machine owner in 1995, when he bought Southern Amusement Co. from the family of Earl Ray Tomblin, then a state senator and now acting governor.

As part of Ferrell's plea deal, federal prosecutors dropped charges that he bought votes and bribed Logan's mayor and the county's sheriff-elect, both of whom have been convicted of election-related charges.

In June 2005, federal investigators raided Southern Amusement Co.'s Logan headquarters, seizing records related to both gambling and election fraud.

In January 2006, after he was linked to a federal vote-buying probe that resulted in convictions of multiple elected officials in Southern West Virginia, Ferrell announced through his attorney that he would not seek re-election. Ferrell, who pleaded guilty in state court in 1992 to illegally funneling $58,000 in cash to campaigns in Logan, Boone and Lincoln counties, served a total of seven terms in the Legislature.

Charges remain pending against former Southern Amusement employee Mark Anthony Cantrell, who had previously been charged with lying to federal investigators about removing money from video machines. He faces racketeering and gambling charges, as well as charges that he helped Ferrell pay another employee in cash so that he could work and continue to collect Social Security benefits.

Charleston Gazette

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9 comments. Last comment 6 years ago by Daveyl.
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rdgrnr's avatar - walt
Way back up in them dadgum hills, son!
United States
Member #73904
April 28, 2009
14903 Posts
Offline
Posted: November 17, 2010, 11:27 pm - IP Logged

A former inspector with the West Virginia Lottery Commission admitted Wednesday that she lied to investigators about taking money from a former state delegate who ran an illegal gambling ring in West Virginia and Kentucky.

Carolyn A. Kitchen, 55, of Chapmanville, admitted that she lied to investigators with the Federal Bureau of Investigation and the Internal Revenue Service when they questioned her about her involvement with Joe C. Ferrell in February 2008.

Among other things, they asked her if she took money from Ferrell, a longtime Logan County delegate who owned Southern Amusement Co., a company that provided video lottery machines to bars and other venues.

"At that time, I lied to them, knowing that I had taken money," she said Wednesday.

Ferrell, 63, pleaded guilty to racketeering and tax fraud charges last month. He said he helped Kitchen, whom he had known since she was a teenager, get her job with the Lottery Commission, knowing that she would bend the rules for the machines owned by his company.

"He would call and ask me to come out after hour to fix [Southern Amusement's] video lottery machines," Kitchen said Wednesday.

Kitchen, who agreed to a plea deal with federal prosecutors in May 2008, knew that the federal agents were investigating Ferrell when she lied to them three months earlier.

She faces up to five years in prison when sentenced by U.S. District Judge John T. Copenhaver Jr. on Feb. 23.

"She was always around to do favors for us," Ferrell said of Kitchen during his plea hearing. He said he periodically gave her money, including $2,000 in June 2007 when she wanted to buy a car, and meals and other gifts.

In exchange, she was expected to be immediately available if he needed access to sealed parts of the gambling machines, and provide favorable reports to the Lottery Commission, where she worked between 2004 and 2007, according to court records.

Ferrell became a major video machine owner in 1995, when he bought Southern Amusement Co. from the family of Earl Ray Tomblin, then a state senator and now acting governor.

As part of Ferrell's plea deal, federal prosecutors dropped charges that he bought votes and bribed Logan's mayor and the county's sheriff-elect, both of whom have been convicted of election-related charges.

In June 2005, federal investigators raided Southern Amusement Co.'s Logan headquarters, seizing records related to both gambling and election fraud.

In January 2006, after he was linked to a federal vote-buying probe that resulted in convictions of multiple elected officials in Southern West Virginia, Ferrell announced through his attorney that he would not seek re-election. Ferrell, who pleaded guilty in state court in 1992 to illegally funneling $58,000 in cash to campaigns in Logan, Boone and Lincoln counties, served a total of seven terms in the Legislature.

Charges remain pending against former Southern Amusement employee Mark Anthony Cantrell, who had previously been charged with lying to federal investigators about removing money from video machines. He faces racketeering and gambling charges, as well as charges that he helped Ferrell pay another employee in cash so that he could work and continue to collect Social Security benefits.

I like seeing crooks get caught and go to jail but I can't stomach rats like Ferrell who stab their friends in the back to save their own hides.

What a lowdown bastage.


                                             
                     
                                         

 

 

 

 

                                                                                                   

"The only thing necessary for evil to triumph is for good men to do nothing"

                                                                                            --Edmund Burke

 

 

    RJOh's avatar - chipmunk
    mid-Ohio
    United States
    Member #9
    March 24, 2001
    19825 Posts
    Offline
    Posted: November 17, 2010, 11:35 pm - IP Logged

    I like seeing crooks get caught and go to jail but I can't stomach rats like Ferrell who stab their friends in the back to save their own hides.

    What a lowdown bastage.

    If his friends hadn't been crooks too, he couldn't have stab them in the back to save himself.

     * you don't need to buy more tickets, just buy a winning ticket * 
       
                 Evil Looking       

      time*treat's avatar - radar

      United States
      Member #13130
      March 30, 2005
      2171 Posts
      Offline
      Posted: November 18, 2010, 12:02 am - IP Logged

      Some crooks go to jail -- some crooks go to D.C.

      In neo-conned Amerika, bank robs you.
      Alcohol, Tobacco, and Firearms should be the name of a convenience store, not a govnoment agency.

        rdgrnr's avatar - walt
        Way back up in them dadgum hills, son!
        United States
        Member #73904
        April 28, 2009
        14903 Posts
        Offline
        Posted: November 18, 2010, 12:16 am - IP Logged

        If his friends hadn't been crooks too, he couldn't have stab them in the back to save himself.

        I understand the old saying that there's no honor among thieves.

        I just hate rats no matter the circumstances.

        I hold loyalty and trust in very high regard.


                                                     
                             
                                                 

         

         

         

         

                                                                                                           

        "The only thing necessary for evil to triumph is for good men to do nothing"

                                                                                                    --Edmund Burke

         

         

          dpoly1's avatar - driver
          PA
          United States
          Member #66141
          October 16, 2008
          1672 Posts
          Offline
          Posted: November 18, 2010, 2:50 pm - IP Logged

          Crooks in Government positions !

          Whodathunkit !

          US Flag I'm sitting in the front ....... government crooks in the back in orange jumpsuits!

            Diamon Life's avatar - yocco
            New York
            United States
            Member #95298
            August 7, 2010
            41 Posts
            Offline
            Posted: November 18, 2010, 9:04 pm - IP Logged

            I understand the old saying that there's no honor among thieves.

            I just hate rats no matter the circumstances.

            I hold loyalty and trust in very high regard.

            Loyality and trust is nothing, people lie and believe their own lies. Its their realality that the lie is the truth.

            Do people want the truth? Most times no, they want to believe it is real when it is a lie to feed their twisted agenda.

            So, to hold loyality and trust high when it comes to money is a huge mistake; here is where you trust no one and no system that helps

            it self to generate money. Also, the person who gives alot of truths can run into a wall of hate by the truthfulness they display, because

            Noelthe truth hurts.

              rdgrnr's avatar - walt
              Way back up in them dadgum hills, son!
              United States
              Member #73904
              April 28, 2009
              14903 Posts
              Offline
              Posted: November 19, 2010, 6:32 am - IP Logged

              Loyality and trust is nothing, people lie and believe their own lies. Its their realality that the lie is the truth.

              Do people want the truth? Most times no, they want to believe it is real when it is a lie to feed their twisted agenda.

              So, to hold loyality and trust high when it comes to money is a huge mistake; here is where you trust no one and no system that helps

              it self to generate money. Also, the person who gives alot of truths can run into a wall of hate by the truthfulness they display, because

              Noelthe truth hurts.

              Well I'm glad we got that straightened out!


                                                           
                                   
                                                       

               

               

               

               

                                                                                                                 

              "The only thing necessary for evil to triumph is for good men to do nothing"

                                                                                                          --Edmund Burke

               

               

                sully16's avatar - sharan
                Ringleader
                Michigan
                United States
                Member #81740
                October 28, 2009
                40380 Posts
                Online
                Posted: November 19, 2010, 10:30 am - IP Logged

                Crooks in Government positions !

                Whodathunkit !

                US Flag I'm sitting in the front ....... government crooks in the back in orange jumpsuits!

                well said.I Agree!

                Did you exchange a walk on part in the war ?

                For a lead role in a cage?

                 

                                                            From Pink Floyd's " Wish you were here"

                  Avatar
                  Sacramento, CA
                  United States
                  Member #96354
                  August 28, 2010
                  159 Posts
                  Offline
                  Posted: November 21, 2010, 4:34 pm - IP Logged

                  It looks as if 'somebody' didn't get their 'cut' of the action. As I posted before, the MOB is running our states.