Audit reveals 'questionable' Colorado Lottery wins

Comment #32

grwurston — Sun, 30 Sep 2018 18:25:00 GMT

beret32,

Do you see that little blue bar below your avatar? If you hover your cursor on it, it will say Rookie. You are no longer a new member. (some one that has no blue bars) Once you get that first blue bar, you can then post links. Congratulations on your promotion!!!

Side note. New member status does not depend on how long you have been an LP member. You can be here for years, but if you never post anything you will still be a new member.

Comment #31

autoprt — Sun, 30 Sep 2018 12:59:08 GMT

This is crazy. These people obviously don't play because the fact if certain numbers get hot and you load up on them putting about 100 of the same ticket played straight and it hits consistently over the period the number is hot you are playing based on history and some luck is involved.

Of course there is a chance something funny is going on but if it's what I explained there is nothing criminal about that.

Sounds to me like the lottery just expects you lose consistently and if anything d... [ More ]

Comment #30

Stack47 — Sat, 29 Sep 2018 15:52:19 GMT

The Auditor report is in the story and is incorrect according to the COLORADO LOTTERY FINANCIAL AND COMPLIANCE AUDIT June 30, 2017 and 2016. Are you suggesting this report was wrong in the fiscal years 2015 and 2016 too?

Most pick-3s payout well over $1 million for one drawing when a triple is drawn. Again do you really believe with two drawings a day, that pick-3 lottery is only averaging payouts of $10,000 a week?

And with that low of pick-3 revenues your report suggests, why did they go... [ More ]

Comment #29

beret32 — Sat, 29 Sep 2018 15:21:06 GMT

I can't post links but the actual audit report is here: (I removed the http...)

leg.colorado.gov/sites/default/files/documents/audits/1753p_colorado_lottery.pdf

Exhibit 2.1 shows the Pick 3 winnings for 2017 as $543,170. Multiplying by 3 (as an estimate) gives $1.6 million. My guess is they are only counting wins of $600 or more and that most people don't bet high enough (or specify an exact order win) to win more than $500.

There are more interesting details, including a stati... [ More ]

Comment #28

Stack47 — Sat, 29 Sep 2018 03:50:42 GMT

It looks like someone didn't proof read their story and made it look like the auditors were making a mountain out of a moe hill.

Comment #27

Stack47 — Sat, 29 Sep 2018 03:43:35 GMT

and the period was three years.

Comment #26

Stack47 — Sat, 29 Sep 2018 03:41:28 GMT

Didn't you read where KY Floyd noted over $460K was wagered on PB on Wednesday after betting over $501K on MM?

Your numbers might include all prizes.

Seriously do you really believe a lottery with two pick-3 drawings per day has on average only $730 in paid outs every drawing?

The Kentucky pick-3 paid out almost $275,000 just today and the Colorado yearly pick-3 revenues are found on page 15 and the payoffs are on page 17.

Comment #25

beret32 — Sat, 29 Sep 2018 00:25:56 GMT

The article refers to high dollar prizes (presumably the ones at least worth $600). Your numbers might include all prizes.

Comment #24

grwurston — Fri, 28 Sep 2018 23:58:00 GMT

Stack, It was in the article.

Specifically, we identified 10 individuals who each won 15 or more times from the Pick 3 game during our review period, auditors told the Legislative's Audit Committee. In total, these 10 individuals won 230 of the 1,276 high-dollar prizes and claimed almost $326,000 of the $1.6 million paid out in prizes from the Pick 3 game during this period.

Your homework says the auditors don't know what they're talking about.

Comment #23

Stack47 — Fri, 28 Sep 2018 20:25:51 GMT

Instead of just suggesting the real problem is with the auditors, I should have done the homework. In the fiscal year 2017 that ended in June 2018, the Colorado pick-3 game had revenues of $10,995,867 and paid out $5,509,525 in prizes. Whoever said the lottery paid out $1.6 million in pick-3 prizes over three years was mistaken.

A few years ago when I asked for a pick-3 number straight for $1 ten times on separate tickets, a clerk told me I could get a $10 bet on one ticket and pay no taxes.... [ More ]

Comment #22

beret32 — Fri, 28 Sep 2018 12:18:40 GMT

It depends on how many tickets were bought. If that first guy bought only 47 tickets, you'd be suspicious, right

Comment #21

KY Floyd — Fri, 28 Sep 2018 07:27:36 GMT

The highest pick-3 prize in Colorado is $500 and the most 230 tickets could collect is $115,000.

As with most lotteries, the payout for a $1 pick 3 straight bet is $500 but you can bet as much as $5 on a single bet. That's why a single ticket can be worth as much as $2500. That some of the tickets are obviously bets for more than $1 and therefore result in payouts bigger than the $600 threshold is strong, though not irrefutable, evidence that the tickets weren't bought by the people claiming... [ More ]

Comment #20

grwurston — Fri, 28 Sep 2018 05:43:04 GMT

So the Colorado lottery paid out $1.6 million in Pick 3 winnings over three years. Divide that by 1,095. (365 days /year, times 3 years.) That comes out to $1,461 a day. Sounds like no one in Colorado wins the Pick 3. That wouldn't be because they use computer draws would it?

BTW, the top prize on any Pick 3 wager there is $2,500 according to the Co lottery website.

Comment #19

Stack47 — Fri, 28 Sep 2018 04:36:48 GMT

I thought that's what happened too, but if players want to avoid paying taxes on large pick-3 winnings, all they have to do is buy separate tickets on each $1 straight bet. I saw a player cashing 12 pick-3 tickets worth $500 each without signing anything.

In total, these 10 individuals won 230 of the 1,276 high-dollar prizes and claimed almost $326,000 of the $1.6 million paid out in prizes from the Pick 3 game during this period.

The highest pick-3 prize in Colorado is $500 and the most... [ More ]

Comment #18

Cruzincat — Fri, 28 Sep 2018 04:08:13 GMT

It could be the cashier takes the slip to check it for the player and keeps the winner, telling the player it was not a winner. Wouldn't be the first time that's happened.

Comment #17

GuesssWork — Thu, 27 Sep 2018 15:24:58 GMT

maybe that states lottery feels no one should EVER, be so lucky.lol

Comment #16

billybucks — Thu, 27 Sep 2018 12:26:00 GMT

it is obvious that 99.4% of these wins are being claimed by people cashing tickets for others for a fee. it used to happen in every racetrack until they abolished the 600.00 tax withholding limit. if all these wins are over 600.00 people seek out others to cash it to avoid child support payments, back taxes and other reasons.

Comment #15

KY Floyd — Thu, 27 Sep 2018 05:10:27 GMT

raises a question as to the legitimacy of the wins

The only question is whether or not the people claiming the prizes are the people who bought the tickets that are certainly legitimate winning tickets.

Sounds like the Colorado Lottery thinks their shouldn't have been any Winners during the 38 month time period checked.

How did you reach that conclusion

Comment #14

kennedygrandma8 — Wed, 26 Sep 2018 14:49:32 GMT

This is not unusual before NC got stupid I won often like twice a week sometimes back to back and at least every other month now lucky if I hit 3 times a year

Comment #13

itpmguru — Wed, 26 Sep 2018 10:50:34 GMT

If ya ask me, that is not that many big wins over the period in question. It is pick three....it is called SKILL!

Maybe they will takes notes from NC and learn how to rig their lottery better so less people win.

Comment #12

DELotteryPlyr — Wed, 26 Sep 2018 09:47:01 GMT

WAIT! Why are the players playing tickets which will win over $600??? Pick 3 should ALWAYS be played at winning levels below that.

Comment #11

Stack47 — Wed, 26 Sep 2018 05:57:35 GMT

Auditors said the odds of winning that many times is about one in 33 million.

We have two members, one with 18 hits on the Colorado pick-3 and the other with 15 in last 30 days so I'm guessing the auditor's odds for doing that is about 12 times higher

Comment #10

grwurston — Wed, 26 Sep 2018 04:29:58 GMT

Are you kidding me??? The first guy won 47 times in 3 years. That's 15 wins a year, avg win $752. The second guy won 26 times in 9 months. That's 3 wins a month. Avg win $1,777. The third guy won 24 times in 3 years. That's 8 wins a year, for an avg win of $1,656.

What in the world is so unusual about winning the Pick 3 just over once a month like the first guy did? Or 3 wins a month like the second guy did, or once every month and a half like the third guy did? It's unbelievable that the lot... [ More ]

Comment #9

weshar75 — Wed, 26 Sep 2018 04:01:11 GMT

Starting this year in 2018 the Oregon lottery takes the 8% state income taxes out of $1500 or higher in years past they would wait until $5000 and higher for both federal and state taxes. So Oregon wants their cut of the pie.-weshar75

Comment #8

Stack47 — Wed, 26 Sep 2018 03:30:39 GMT

What if the retailers were buying winning tickets at .75 cents on the dollar? And some of the larger prizes could be 50/50.

It happens all the time at race tracks when for whatever reason a winner does not want the IRS or anyone else they owe money to found out about their win. What's fishy about this story is the lottery should know all about the ten percentors .

Comment #7

ckrakowski — Wed, 26 Sep 2018 00:43:50 GMT

Sounds like Tipton still has co-horts loose.

Comment #6

MillionsWanted — Tue, 25 Sep 2018 20:25:24 GMT

There was a woman who learned when to buy scratch offs in which stores using statistics. She became a millionaire.

Comment #5

Tucker Black — Tue, 25 Sep 2018 20:19:12 GMT

owing money to the state -- check

secret lottery system for scratch-offs -- possible (this is why lottery retailers should not be allowed to play)

secret lottery system for pick 3,4 -- slight possibility, not based on a system of picking numbers, but a lottery retailer who does something nefarious to the hardware

Another possibility for winning pick 3,4 so often is someone buys tons and tons of lottery tickets. I'm trying to figure out how they determined that the probability of wi... [ More ]

Comment #4

MillionsWanted — Tue, 25 Sep 2018 20:09:22 GMT

Some of them might be lottery win collectors for people owing money to the state or money to child support and perhaps someone actually got a secret lottery system which actually works.

Comment #3

Tucker Black — Tue, 25 Sep 2018 20:04:47 GMT

Lottery retailers should not be allowed to play the lottery. It smells fishy.

Comment #2

CDanaT — Tue, 25 Sep 2018 14:15:11 GMT

I wonder what the largest dollar figure that these folks won in each drawing ?

If CO is similar to most states, the tax dollars aren't usually taken out until the $5K mark. 47 times in 36 months sure is unique. I guess you could write that off with offsetting losses.

Now, if they were cashing the tix in for someone else ? I wonder what their cut was ?

IMHO it doesn't matter, the ticket was purchased by a legal distributor and matched the number drawn

Comment #1

Raven62 — Tue, 25 Sep 2018 13:35:14 GMT

Sounds like the Colorado Lottery thinks their shouldn't have been any Winners during the 38 month time period checked.

Audit reveals 'questionable' Colorado Lottery wins

Lottery Post — Tue, 25 Sep 2018 13:16:05 GMT

A handful of people seem to have been winning the Colorado Lottery a bit more often than the odds would dictate, raising the specter of possible wrongdoing, a state audit revealed Monday.

That audit showed that some individuals, including one licensed Lottery retailer, have won several high-dollar prizes over the past three years, raising concerns with the Colorado Auditor's Office that something could be amiss.

One person won $600 or more from the Lottery's Pick 3 game 47 times over a th... [ More ]