Mastermind of lottery fraud will explain how he rigged jackpots
Lottery Post's warning to the lottery industry about computerized drawings, issued more than a decade ago, is about to be confirmed as fact by Eddie Tipton, a former Multi-State Lottery Association (MUSL) security director.
A lottery programmer will tell investigators how he was able to use his position to rig state jackpots for years and he and his brother will repay $3 million in prizes they improperly claimed, under a plea agreement released Monday.
Prosecutors will seek a 25-year priso ...
Jun 12, 2017, 9:21 pm - Lottery News forum
18 arrested in illegal lottery bust in New Jersey
May be part of larger network of illegal games
Includes video report
Cracking down on a vast underground gambling operation, Irvington Police hit the jackpot on Friday, arresting 18 people, allegedly connected to an illegal lottery enterprise out of storefronts across New Jersey.
Basically, the numbers are run by the New Jersey or New York lotteries, the mid-day and the night number, and they usually call, make payments on the numbers, says Irvington Police Detective Mitchell Molina.
Apr 3, 2017, 8:49 am - Lottery News forum
Best friend to testify against Tipton at July lottery rigging trial
It took Texas businessman Robert Rhodes more than a year to turn against his good old boy best friend after he realized that Eddie Tipton would not do a deal and tell prosecutors about how he had created an elaborate system to rig lotteries in five states.
But despite fear for his safety, Rhodes is poised to give testimony at a trial scheduled for July 10 in Des Moines that prosecutors hope will finally put Tipton behind bars a decade after launching a scheme that netted $2 million in jackpot ...
Mar 31, 2017, 7:48 am - Lottery News forum
Kansas files lawsuit against accused lottery rigger
A lawsuit by the state of Kansas accuses the man at the center of a multi-state lottery number-fixing scam of working with two others to redeem two rigged lottery tickets for $44,000.
Kansas Attorney General Derek Schmidt announced Tuesday he filed the Shawnee County lawsuit against Eddie Tipton and two others who Schmidt says turned in the tickets to the Kansas Lottery. Schmidt alleges Tipton used software manipulation to rig the tickets.
Tipton, 54, of Flatonia, Texas, once worked as the ...
Mar 16, 2017, 6:26 am - Lottery News forum
Iowa Supreme Court hears lottery rigging case
The Iowa Supreme Court heard arguments Monday on whether purely circumstantial evidence was enough to convict a former lottery employee of rigging Iowa's Hot Lotto game to win a $16.5 million jackpot.
Eddie Tipton was convicted of tampering with Iowa's Hot Lotto game and attempting to cash a ticket in early 2015, but an appeals court reversed his conviction on the charge of attempting to redeem the lottery ticket, finding it was barred by the three-year statute of limitations.
The Iowa Sup ...
Feb 14, 2017, 4:47 pm - Lottery News forum
US lottery operators worry as fewer millennials line up to play
Young Americans are showing less interest in buying lotto tickets than their parents, prompting lottery officials to worry about the odds for future growth.
While overall ticket sales rose 9 percent last year versus 2015, the number of millennials adults in their late teens to early 30s who play is falling.
That is creating consternation among leaders of the industry, which generates $80 billion in annual revenue, more than the combined U.S. sales of movie tickets, music and concerts.
Feb 10, 2017, 11:36 am - Lottery News forum
Texas man pleads guilty to fraud in lottery scandal case
A Texas businessman has pleaded guilty to fraud and admitted to helping lottery computer technician Eddie Tipton cash jackpots in a multi-state number-fixing scheme that netted $2 million.
Robert Rhodes pleaded guilty in a Des Moines courtroom Monday. Iowa prosecutors will seek two years of probation.
Rhodes says he helped Tipton try to cash a $16.5 million 2010 Iowa Hot Lotto ticket but suspicious officials never paid.
Rhodes agreed to testify against Tipton and his brother, Tommy Tipt ...
Jan 11, 2017, 4:18 pm - Lottery News forum
Former MUSL official received severance amid lottery jackpot scandal
A prominent lottery official who was stripped of power after a subordinate allegedly carried out a prolonged jackpot-rigging scheme received a $284,000 severance payment, a recent tax filing shows.
The Multi-State Lottery Association (MUSL) made the payment to its longtime executive director Chuck Strutt as part of a voluntary termination agreement signed March 31, according to its 2016 tax return. The filing, released by the group in response to a request by The AP, also reveals that its leg ...
Jan 10, 2017, 10:04 pm - Lottery News forum
Trials for Tipton brothers charged in lottery scandal delayed
Trials for brothers charged with ongoing criminal conduct in Iowa for allegedly fixing lottery games to collect jackpots have been delayed.
District Court Judge Bradley McCall entered an order Wednesday moving the trial for Eddie Tipton to July 10. His trial had been scheduled to begin Feb. 13.
His brother, Tommy Tipton, a former Texas justice of the peace, was facing trial Jan. 23. His trial date was moved to Sept. 11.
Attorneys for both sides agreed to the rescheduling.
Eddie Tipto ...
Jan 8, 2017, 10:58 am - Lottery News forum
Man files lawsuit over rigged lottery jackpots
Hopes to achieve class action certification
Hundreds of thousands of lottery players who were allegedly cheated by an insider's long-running scheme to rig jackpots should be reimbursed for their losing tickets, according to a lawsuit filed Wednesday that seeks class action certification.
Lawyers filed the consumer fraud case against the Multi-State Lottery Association, the Iowa-based nonprofit that helps administer games that are offered by state lotteries. It alleges the association faile ...
Jan 4, 2017, 8:56 pm - Lottery News forum