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Texas authorities had previously investigated brother of lottery cheat

Oct 14, 2015, 10:01 am

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By Todd Northrop

The outrageous Hot Lotto rigging scandal that started in Iowa is now spreading into other states — including Texas. Officials are taking a second look at a $570,000 winning multi-state lottery ticket purchased a decade ago in Colorado by a Central Texas judge.

The investigation does not involve the Texas state lottery.

Tommy Tipton, the subject of the investigation, is a Fayette County Justice of the Peace for Precinct 3, based in Flatonia. According to records from the Texas Commission on Law Enforcement, Tipton has held a state peace officer license since 1986. He was also a reserve officer for the Flatonia Police Department until two weeks ago.

Charges have not been filed against Tommy Tipton at this point.

Tommy is the brother of Eddie Tipton, the former security official with the Multi-State Lottery Association (MUSL) who was convicted of rigging a $14 million Hot Lotto jackpot by secretly installing software on the computerized drawing machine to match the numbers he purchased on his lottery ticket. Now, recently filed legal documents raise the question of whether Judge Tipton was involved in an earlier effort by his brother to rig a Colorado lottery drawing.

According to Lottery Post, Eddie Tipton's scam began unraveling five years ago, when a New York lawyer tried to claim a $14.3 million Iowa jackpot only hours before it was set to expire. The attorney claimed to represent a Belize corporation, however, lotto officials refused to pay it out because state law requires a winning ticket's purchaser and possessor to be identified. Later, others, including a Houston man who is a close friend of Eddie Tipton's, also tried to collect on the ticket, which ultimately was never paid out.

During Eddie's trial, jurors heard from several witnesses who identified Eddie Tipton in surveillance video from a Des Moines QuickTrip where the ticket had been purchased. The man in the video had his face obscured by a hood, but several witnesses identified his voice on the tape, as well as his build.

Because of his job as an information security director for MUSL, Eddie was prohibited from buying lottery tickets.

Eddie Tipton helped design and build the same computerized drawing computers that he later rigged. Officials testified during his trial that Tipton had previously discussed how software "rootkits" were a computer system's primary threat. A rootkit is software that compromises a computer system during it's boot-up phase, and which is difficult to detect and delete. It is the kind of software that Tipton was convicted of using to rig the computerized drawing.

In order to gain access to the drawing computer, Eddie manipulated the security cameras so that they only recorded one second of video every minute. This permitted him the time to install the rootkit undetected.

A Des Moines jury found Eddie Tipton guilty of fraud in July.

Soon after the verdict, investigators responding to tips began casting a wider net into winning lotto tickets purchased in other states, including Wisconsin and Colorado. Two weeks ago, they focused on Fayette County, about 70 miles southeast of Austin.

An affidavit filed a week ago by the Iowa attorney general's office describes the investigation so far:

"In Spring 2006, authorities initiated an investigation into Tommy Tipton, a Justice of the Peace in Texas, who was reported to have $500,000 in consecutively marked bills. The investigation closed when Tipton informed authorities that he won $568,990 on a Colorado Lotto ticket he purchased in November 2005 that won a share of a $4.5 million jackpot."

At the time, however, "Authorities were unaware that Tommy was [Eddie Tipton's] brother, or of [his] position at the time with the Multistate Lottery Association (MUSL). Recently, Colorado Lottery officials report that the ticket...was a 'manual play' ticket (meaning the purchaser selected his own numbers)...

"The winning numbers are determined by a random number generator computer. That computer was built at MUSL by MUSL staff, including [Eddie Tipton]. In addition, a witness will testify that around the time of the Colorado jackpot, Tommy Tipton had asked him whether, and how, cash money could be traced."

A spokesman for the Iowa office confirmed that the investigation into Judge Tipton was considered open.

Lottery Post Staff

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17 comments. Last comment 6 years ago by CSense.
Page 1 of 2
Avatar

United States
Member #21
December 7, 2001
4530 Posts
Offline

.

    lejardin's avatar - Lottery-014.jpg

    United States
    Member #118604
    November 4, 2011
    1438 Posts
    Offline

    And this fraud scam grows how many more are going to be investigated? 

      Avatar
      Simpsonville
      United States
      Member #163182
      January 22, 2015
      2584 Posts
      Offline

      One could say 'All in the Family'!

        Avatar
        Morristown, TN
        United States
        Member #20592
        August 21, 2005
        494 Posts
        Offline

        This is what happens with computerized draws using a random number generator. hack the computer and win the money

          Lynn-Lynn's avatar - yocco
          Kansas city Mo
          United States
          Member #133399
          September 29, 2012
          58 Posts
          Offline

          Wow...Got greedy


            United States
            Member #166704
            June 4, 2015
            24 Posts
            Offline

            This is why some people think Americans are stupid. Why is computer draws still going on after all this. I don't get. How many cases do they want to see before they switch to balls. Unbelievable

              Artist77's avatar - batman14

              United States
              Member #121739
              January 16, 2012
              7774 Posts
              Offline

              This is unreal. I can see the Lifetime tv movie now...starring Will Wheaton!

              Je vous salue, Marie, pleine de grace.  We will rebuild!

                rcbbuckeye's avatar - Lottery-062.jpg
                100
                Texas
                United States
                Member #55887
                October 23, 2007
                11311 Posts
                Offline

                Well.

                The plot thickens.

                CAN'T WIN IF YOU'RE NOT IN

                A DOLLAR AND A DREAM (OR $2)

                  LottoMetro's avatar - Lottery-024.jpg
                  Happyland
                  United States
                  Member #146338
                  September 1, 2013
                  1167 Posts
                  Offline

                  Well.

                  The plot thickens.

                  With all the shenanigans in the news in recent years, I found myself saying this a lot. That is, until we buried a morbidly-obese relative in the family cemetery. No Nod

                  I have a feeling this story has yet to be fully unraveled.

                  If the chances of winning the jackpot are so slim, why play when the jackpot is so small? Your chances never change, but the potential payoff does.
                  If a crystal ball showed you the future of the rest of your life, and in that future you will never win a jackpot, would you still play?

                  P&L % = Total Win($)/Total Wager($) - 1

                    HaveABall's avatar - rocket

                    United States
                    Member #72446
                    March 18, 2009
                    1388 Posts
                    Offline

                    Well, this makes me feel sick when thinking deeply of all the people who bought a ticket(s) for multiple months of draws, from vendors located in various states, TRUSTING that this lottery game was paying out legitimate 1st and 2nd place wins.  There will NEVER be any money returned to these financially abused folks!

                    Regardless, I wonder if this "Justice of the Peace" is living, spending, and investing these probably stolen monies peacefully!  I also wonder how much Eddie's 'tip of gratitude' was.

                    Frown

                    Having several millions of dollars in my financial accounts means receiving several valuable services each day!

                    Disney

                      sully16's avatar - sharan
                      25
                      Dr.President Elect
                      Michigan
                      United States
                      Member #81738
                      October 28, 2009
                      86066 Posts
                      Online

                      And we thought the Patels were the only cheats,

                      US Flag

                        Avatar
                        northern fl
                        United States
                        Member #161488
                        December 1, 2014
                        16 Posts
                        Offline

                        always love it when the cheap seats say something

                          rcbbuckeye's avatar - Lottery-062.jpg
                          100
                          Texas
                          United States
                          Member #55887
                          October 23, 2007
                          11311 Posts
                          Offline

                          always love it when the cheap seats say something

                          What do you mean by that???

                          CAN'T WIN IF YOU'RE NOT IN

                          A DOLLAR AND A DREAM (OR $2)

                            sully16's avatar - sharan
                            25
                            Dr.President Elect
                            Michigan
                            United States
                            Member #81738
                            October 28, 2009
                            86066 Posts
                            Online

                            always love it when the cheap seats say something

                            Thanks for speaking up cheap seat.

                            US Flag