Payout situation getting worse for Illinois lottery winners

Oct 15, 2015, 4:32 pm (44 comments)

Illinois Lottery

Suspends lottery payouts for winners of $600 or more

Feeling like you've hit the jackpot through the Illinois Lottery? Well, think again. 

State officials announced Wednesday that winners who are due to receive more than $600 won't get their money until the state's ongoing budget impasse is resolved. Players who win up to $600 can still collect their winnings at local retailers.

In a statement, the Illinois Lottery said that its account for writing out checks to winners would be exhausted as of Thursday, and the agency does not have the legal authority to replenish its own funds. Officials say the legislature must authorize the state comptroller to release the funds.

Despite the payment delay, lottery officials have continued selling tickets. 

Last month, the Illinois comptroller's office announced that without a budget for the July 1 fiscal year, the agency didn't have the authority to write checks of more than $25,000 and payments would be delayed.

"Once a budget is passed in Springfield, all outstanding claims will be paid," according to the statement.

Two lottery winners have filed a federal lawsuit against the Illinois Lottery for stopping payouts of prizes above $25,000 because of the budget impasse. The lawsuit seeks to force the lottery to pay winners of more than $25,000 with 5 percent interest and asks that the lottery be barred from paying its administrative or operational costs until the winners receive their prizes. The lawsuit alleges dozens await more than $288 million in prizes.

"If I was the one selling raffle tickets and I didn't pay, I would be sued or in jail or both," Rhonda Rasche, one of the winners who filed the suit, said in a recent interview.

Tuesday's announcement came the same day state Comptroller Leslie Munger said the budget impasse means next month's $560 million payment to Illinois' pension system will be delayed. She said retirees will still receive benefit checks as scheduled. But the impasse has led to an immediate cash shortage, altering the way her office will dole out payments to the system.

Despite the budget impasse, money is still being allocated through state laws and consent decrees at last year's rates while less revenue is coming in.

Lottery Post Staff

Comments

JordanT1021's avatarJordanT1021

just shut it down...

and what happened?

poor managment of funds

Drenick1's avatarDrenick1

This debacle will not end well. I have a feeling this is only the beginning for the financially crisis Illinois is currently experiencing.

Long Odds

Why is this story being recycled? No updated information, just the original story.

MADDOG10's avatarMADDOG10

Simple, just stop playing the Lottery for a week and see how quick the State reacts...!

savagegoose's avatarsavagegoose

you do know its only limited to $600, because that's the amount the stores have to payout! if i was stores i wouldnt pay any prizes, and say " send it to state lotto, i cAnt get nay money out of them " even the $2 ones

Drenick1's avatarDrenick1

Quote: Originally posted by savagegoose on Oct 15, 2015

you do know its only limited to $600, because that's the amount the stores have to payout! if i was stores i wouldnt pay any prizes, and say " send it to state lotto, i cAnt get nay money out of them " even the $2 ones

You bring up a good point. Retailers better be careful about paying out winners because there is a good chance they will not get reimbursed. I have a feeling even if they withheld lottery ticket sales proceeds as ransom for winning ticket payouts that the state would quickly come down on them. What what I have been told most retailers keep 5% of ticket sales and send the balance to the state lottery commission.

Gleno's avatarGleno

10/15/15 

The State of IL is getting nasty, suspending payments over $600.00

Their  lottery income must be hurting , just a little?

No Nod

sully16's avatarsully16

States surrounding Illinois

Wisconsin

Iowa

Missouri

Kentucky

Indiana

Those close enough can go play in those states.

mypiemaster's avatarmypiemaster

So why are state officials still getting their paychecks?

Technics's avatarTechnics

Quote: Originally posted by MADDOG10 on Oct 15, 2015

Simple, just stop playing the Lottery for a week and see how quick the State reacts...!

Best answer, they always seem to understand the loss when it happens. People can simply stop playing for a period of time. Problem solved. Smile

Stack47

Quote: Originally posted by MADDOG10 on Oct 15, 2015

Simple, just stop playing the Lottery for a week and see how quick the State reacts...!

I Agree! 

And there is no point in playing if they can't collect their winnings period.

dr65's avatardr65

The state needs to stop selling lottery altogether.

I would be livid if I couldn't collect a $1,000 winner....not collecting over $600

is PATHETIC.

There are going to be a lot of angry people. I wonder what notifications

they are posting at terminals...do most people know they won't be paid over $600??

I highly doubt it. If a state sinks to the level of...OR fails miserably like this one did...

selling but not paying winners….first of $25k and over, now of $600 and up, they

should be stripped of the priviledge of selling tickets....period. Where is the over-

seer for this abomination? They all need to be fired. Total mismanagement and greed

is bringing the house down and the players are suffering for it when THEY are the ones

that funded this out of control monster.

DELotteryPlyr's avatarDELotteryPlyr

Quote: Originally posted by Technics on Oct 15, 2015

Best answer, they always seem to understand the loss when it happens. People can simply stop playing for a period of time. Problem solved. Smile

I Agree!

so, the money is coming in FROM the players BUT only $600 or less gets paid??? WOW!! The funds in the accounts which receive/hold the lottery funds must be BUSTING from not paying any of it out!! 

And wonder what the fall out might be? Nothing? will the players just go back to playing when its is cleared up? 

marcie's avatarmarcie

What ... that is Crazy somebody going in the Pot  I hope that doesn't happen in Ohio although we have had some crooked officials from the Ohio Lottery trying to Cash a winning Jackpot but he got busted..

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