Strangest winner story ever? Lawyer sacrifices $14 million jackpot to prevent lottery from learning the winner's identity
The New York lawyer who tried to redeem a multi-million dollar lottery ticket in Iowa last month — only to have his claim called into question by officials demanding to know who he represented — is giving up the quest for the jackpot.
Crawford Shaw, 76, said on Thursday he was withdrawing his claim to a Hot Lotto ticket worth up to $14.3 million "because I'm not going to argue with the lottery."
Shaw's decision would appear to end what Iowa lottery officials called the strangest jackpot pursuit they had ever experienced.
The winning ticket was turned in December 29, less than two hours before it would have expired a year after the drawing. Iowa Lottery officials tested and validated the ticket, but refused to pay out the winnings until they could verify the purchaser's identity, among other things.
Shaw, who had signed the ticket as a trustee for an entity he called the Hexam Investment Trust, never revealed who was in the trust.
Iowa Lottery officials gave him a deadline: Tell us who you represent by 3 p.m. Friday afternoon or forget about collecting the millions.
In the meantime, the lottery said it had learned that Shaw was "associated with criminal proceedings and bankruptcy filings in New York and Delaware," and officials were investigating.
Shaw is the former chief executive officer of Industrial Enterprises of America Inc., a bankrupt public company that the Manhattan District Attorney's office said was looted in a $100 million securities fraud scheme.
Shaw, who was not charged with criminal wrongdoing, is a defendant in a civil suit by the company. He claims to know nothing about the suit.
In any case, he chose to call it quits on Thursday, telling Reuters he had asked a local law firm to pass along his decision to lottery officials.
A spokeswoman for the lottery said they had not received notice of withdrawal from Shaw as of late Thursday afternoon.
"We are checking with the local counsel," said the spokeswoman, Mary Neubauer.
OMG!!!!! Nobody in their right mind would walk away from millions of dollars. Something very shady is going on. Congrats to the Iowa Lottery!
And now, for something completely different.
That ticket was stolen and the thief's plan to claim the jackpot has been destroyed. The sad part is that the real winner won't be able to enjoy the benefits of winning the jackpot. Everyone should sign and protect their tickets. I'm signing every ticket I purchase from now. Every single one.
My guess is telling who the owner is may have something to do with the bankruptcy. If the owner of the ticket is involved in the bankruptcy it would need to be listed as an asset and he would no doubt lose it all anyhow in bankruptcy proceedings.
Lawyers.
You think the guy would be smart.
He must know somebody in Iowa that he could give the ticket to and then share the jackpot.
All that time holding on to a $14 million dollar lottery ticket.
Don't get it at all!!
If I ran the Iowa Lottery this would not be the end of the story.I'd prosecute Shaw for attempted theft by deception or some such law.I'd put him behind bars at Fort Madison (Iowas maximum security prison).I'd make him wish that he'd never heard of Iowa.
Jarasen,
LOL!!! Only a Monty Python fan could recite that and make it work!! good line!
i would't mind seein some lawyers go to jail.
but some criminals go to jail and come out lawyers.
Well, LP members, this one hurts deeply (when we picture it being taken from our self)!
I think that the Iowa Lottery should put the $14.3M or whatever the monies they get to keep from this jackpot win in their own state for a special raffle with several BIG multi-million $ first, second, and third place jackpots. Otherwise, it just looks bad on the multi-state run Hot Lotto and Iowa Lottery Headquarters.
What do you folks think and feel about this deflating/bummer end result of no jackpot winners among Hot Lotto's and Iowa Lottery's wistful players?
I do love that Monty Python crew. Watched it on channel 20 10PM.....and of course the movies.
This turn of events is just that, a plot twister, another book, very confounding!
I like this scene so very much. "Allo who ease it???????????"
I agree, JAP. Somebody was probably trying to hide it from his creditors and now realizes he won't be able to, so he'd rather give it up than give them the satisfaction of taking it from him.
"Just pay it!", how many on here said of Iowa Lotto?
They might as well pay it if they're not going to give the people who built that pot another chance to win it.
Why should Iowa get to keep it?
BASED ON THE LAWYER IN THIS CASE BEING ON THE UP AND UP.............
If I ever find myself in a situation like this and I wanted my identity protected, I'd most certainly want a lawyer like this to represent me.
Since I do not know the inside information on what is going on, it is not my place to speculate. Why the Iowa Lottery officials had such a hard on to know who the ticket purchaser is/was is beyond me.
I expect to see a lot more of these cases popping up in the near future. Meaning, there will be no more options to collect annonomously. And I also suspect that the lottery commissions will use this method as a way to justify not paying out. Add to the soup a little, the lottery commission will begin releasing winners identities for all predators and moochers.
Mr. Shaw's background is irrevelant to cashing in the ticket. Put yourself in the winning seat and try to cash in a ticket. How much would you really appreciate being treated like a crimminal?
It is easy for us to say, it's no big deal because we are not there. Notice how the lottery commission had no problem running their mouths to the press about Mr. Shaw. What make you think they would keep their mouth shut about you if you were the real winner?
How many of you would appreciate the world knowing about all of your financial failures or the failures of people you know? How many of you would like to have your past drug into the public eye and examined by any and all to see and judge?
How much are you willing to sell your privacy for?
What's your selling price?
If a bit of stonewalling let's the state keep whatever the cash value is on $14MM, it's a safe bet they'll do this more often.
It doesn't make a whole lot of sense to say "I'm not going to reveal the name of the person who won that $14.2 million.",and just walk away. That's easy for Crawford Shaw to say.Where is the winner of this big jackpot?.I would love to know.Perhaps the winner met some bad fate.If I was the winner of $14.2 million lottery jackpot,I would reveal myself.Wow.This is some strange case.
the ticket was stolen. period
Give it to a good charity.
I don't think the ticket was stolen, I do think it probably has something to do with the Bankruptcy so whatever.
Hot Lotto is a multi-state game so every state that contributed to that jackpot should get their money back, not just Iowa.
Let's think this one through. Shaw didn't say he wasn't going to tell the lottery commission who the trust beneficiaries are because they'd instructed him not to; he said he wasn't because "he wasn't going to argue with the lottery commission". HE wasn't; not the beneficiaries. If he's truly representing someone, then how do you think they'd feel about his giving up the $14 million they'd won? What's even more interesting is a report this evening about how the trust had been established AFTER the lottery drawing had taken place, meaning this investment trust was more than likely established for the sole purpose of shielding the lottery proceeds, meaning it wasn't established earlier by someone rich as a general investment trust & the lottery win just happened to be something they'd add to an already large pot of cash. The obvious conclusion is it had nothing to do with anyone besides himself; the upshot is, he's either the winner himself & created this trust to shelter the lottery proceeds from the opposing attornies of his civil case (so it couldn't be seized if he lost his case) or he'd stolen the ticket & tried to shelter this fact by creating the trust to shield the name of the winner, but realized that his scheme wouldn't work so he gave up. It doesn't take a brain surgeon to figure this one out...
The judgmentalism on here is amazing...It's one thing to speculate but not state "the ticket was stolen period." Whosever ticket it was they have their reasons for letting it go or maybe it was stolen but nothing is affirmative... I'am not taking any sides but rather appreciating our differences & with that comes different approaches...Anyway good luck to all players!!!
I keep coming back to Shaw's statement that he was giving up "his pursuit of the ticket because he didn't want to argue with the lottery". HE didn't want to argue, HIS pursuit. He didn't say he was giving up the beneficiaries pursuit of the lottery proceeds, or that the beneficiaries had instructed him to withdraw. It just smells to high heaven. And, it immediately becomes suspect, as the 2 most publicized times to claim a lottery prize are right after the drawing and right before the ticket is set to expire. Also, Shaw mis-spells the name of the trust that he supposedly set up himself for the supposed beneficiaries? Also, Shaw (a Delaware Lawyer) represents someone who won in Iowa? One thing I can understand, 2 things makes me wonder, more than 2 starts to stink up the place. Also, if I'm someone who wins $14 million and has a choice of getting the money & publicity vs. no publicity & no money, I'm choosing the money; with that money, you could consult with a security expert & minimize your profile so you retain your annonymity; no one turns down $14 million because of a press conference, regardless of their situation. Throw in the fact that Shaw is an accused fraudster in a $100 million company fraud & is currently being sued in civil court over that, and I'd have to side with the Iowa Lottery Commission on this one...
The lottery has video showing who bought the ticket and probably the car they were driving, so the investigator has probably already interviewed this person . they know exactly what has happened. They are just calling Mr shaw's bluff. Lottery officials know rules were broken, so they have always known shaws claim would be denied. They are just trying to get him to confess to his scam.
Ok this is what gets me.I have read all this mess from the start.Lottery officals said saw store footage of person buying ticket,which is very possible.Forget the state where this happened before but months before the ticket was to expire the unkown state posted picture on local tv news showing picture of person buying ticket and name of the store and the rightful winners came forward said he had placed ticket down on truck dashboard and forgot about it after several friends saws news broadcast informed him and he found ticket and cashed it in get prize money.My point here is most stores have camera's and lottery can pinpoint the time and store of the winning tickets on all tickets sold.both scratch and big bucks lottery tickets.Why do state lottery officals not do this on all large winning tickets say anything of 10,000.00 or larger.Answer lotteries can take this money free and clear period.I say either look for rightful owner by footage on store video and if that is not possible then pot should go back into that game at experation date.Funny how Lottery can investigate a person after comming in to claim yet can not investigate before it expires.
Yes i agree. They should find a way of making 14 Iowans lucky by winning one million dollars each.
They aren't keeping it.
"The unclaimed money will go toward future prizes, Rich said."
http://xfinity.comcast.net/articles/news-national/20120127/US.Mystery.Millionaire/?cid=hero_media
And perhaps force him to spit shine Iowa's lottery TOP COP security super star Bogle's shoe's daily for a year or two.
"I say either look for rightful owner by footage on store video and if that is not possible then pot should go back into that game at experation date. Funny how Lottery can investigate a person after comming in to claim yet can not investigate before it expires."
You are a little confused. Or your point is confused.
"investigage before it expires"? They investigate ANY TIME A WINNING TICKET IS PRESENTED. They don't wait until after it expires.
In this case the person that presented the ticket purposefully waited until the ticket was about to expire. They waited almost a full 12 months to set in motion this claim. That's not the lottery's fault. What they are required to do is make sure the claimant is legal. That for instance the claimant did not steal the ticket or somehow print a duplicate ticket using lottery computer system (happened before!)
A lottery ticket is a "bearer bond". So, the person who bought it is not necessarily the "rightful owner" -- they are just the person who bought it. Many people buy lottery tickets and give them away as tips at restaurants or as Christmas present stocking stuffers. (Remember this ticket was bought in December 2010.)
With a "bearer bond", whoever owns the ticket when presented is the owner. If you don't intend to give your ticket away to someone, you should sign the ticket as soon as you buy it. Then, no one except you can claim it.
When this lawyer presented the ticket, all he had to do was show the chain of possession to make sure nothing illegal took place. He declined to do that. Therefore, he doesn't get to claim the money. Otherwise other criminals would figure out how to replicate this.
"Iowa Lottery CEO Terry Rich said Thursday that it's the strangest situation officials can recall in the 26-year history of the lottery. He declined to speculate on the details of the claim, saying if he knew more than what's been released, lottery officials would probably be writing a check to a winner."
http://xfinity.comcast.net/articles/news-national/20120127/US.Mystery.Millionaire/?cid=hero_media
You are exactly right. I know someone personally who did just that and because of him, 5 men who were wrongfully convicted have come home to their families.
Personally, I believe this lawyer may have stolen the ticket from a person who is either dead or ignorant of the fact that they won the lottery.
Ok let me clairify my answer.Lottery said it was investigated and I would assume footage was watched from store cam,maybe not but if not should be a rulling that all states and lottery should be filmed then watched by lottery and if ticket is unclaimed 1 month prior to experation then lottery post footage on tv news showing person buying ticket,doesn't make any difference he/she kept ticket or gave ticket as a gift he/she would know whom the ticket was given too.Plus article says money from this will go towards further pots what does that mean.ffurther pots already have money paid towards them this should either be rolled over nto that game,this money has already been put there by all the players not the lottery office.We can't investigate what the lottery does with all the money the collect.Lottery offices claim so much goes back to local towns/cities but my town/city doesn't have any better roads/school's showing from any money comming from lottery.All I'm saying is not much being done by lotteries to find rightfull owner of lottery winnings.Then again could have been bought by Whitey Bulgar think he was vacationing there around that time.
I read a story this morning in the Des Moines Register that says that Shaw (the lawyer) never met the people involved in the trust.They are from the small country of Belize,according to Shaw.The story just keeps getting stranger.
http://www.desmoinesregister.com/article/20120127/NEWS/301270040/-14-3-million-Hot-Lotto-prize-claim-withdrawn?odyssey=tab|topnews|text|News
My thought was that the guy or gal who won may have had active warrants for some serious crimes and knew he would get caught by coming forward.
Sue, the next chapter.
I would be a rich prisoner.
So let me see if i got this right. You are supposed to tell the lottery whose hands the ticket passed thru. So suppose u leave a dollar for ur roommate to pick a ticket up for u cause ure sick at home. He then goes to work and is too busy to buy ticket he has his coworker buy it for him. He then returns home and gives u the ticket. Ur roommate dies from an accident or heart attack of something so u never had any idea who the coworker was that actually bought the ticket. Is Iowa gonna do a full investigation to get that coworkers name. Secondly supposed u beat the odds and find a ticket on the ground that turns out to be a winner. How would the lottery prove ur lying or not.
The Death Certificate
peppy 007 you have 2 options if you find the ticket on the ground 1. is I lost it and will come and get it if you call me and give you a reward. 2. if you are without friends then go to local newspaper or television station and tell them you found it and looking for the rightful owner to call you to pick it up. I myself think option 1 is the way to go
ok suppose I do have the death certificate. U think that ll be enough for Iowa officials?
NOPE sounds to me like you MURDERED the poor guy to get his ticket now his family will take you to court and you will go to jail plus the lawyers will get rich from this case LOL
"What's even more interesting is a report this evening about how the trust had been established AFTER the lottery drawing had taken place, meaning this investment trust was more than likely established for the sole purpose of shielding the lottery proceeds, meaning it wasn't established earlier by someone rich as a general investment trust & the lottery win just happened to be something they'd add to an already large pot of cash."
We've had many discussions about creating a trust so the winner could remain anonymous and for the most part, the reasons are they don't want people knocking at their doors or constant phone calls. However some states do have laws that require their Lottery to check for things like unpaid child support and taxes. The laws make it necessary for the name of ticket owner to be known to the state lottery.
In Ohio on winnings over $601 and under $5001, the claim must be notarized stating the claimant owes no back child support and the winner is given a W2-G. On claims where taxes are withheld, lottery security runs a background.
It's possible in some states they run checks for unpaid fines, court costs, judgments, and outstanding warrants. It's a two way street because while their are many logical reasons to claim anonymous by using a trust, there are just as many reasons why a trust would be made because of illegal activities.
Wow, I had a feeling this is how it would turn out! Still wonder who the 'rightful' winner was, if there ever was one?
I'm sure it will all be revealed when the lawyer's book comes out, lol.
Step 1: Buy your own tickets. Do not wear sunglasses, a cap or hoody during the purchase and ensure you are in clear view of the camera.
Step 2: Sign your own tickets
Step 3: Win
Step 4: Cash it in yourself
Step 5: Change your name after you collect your funds. You're rich enough to buy and sell identities - lol.
This is one strange story.
lol. I ll hit u up when I get to Atlantis which is where I'm gonna gamble my winnings. Also if I go on the radio saying I found a winning ticket everyone and their mother will come out saying it's theirs.
I think the ticket owner was murdered....seriously. I aways thought if I won the lottery, I would not be overly loud and visible about it but I did want to gloat at work (to the not so nice ones) a bit before I quit. Now, I will sign all tickets and if I win, I will not tell anyone.
guilty as charged,
in my defense i'd like to say....
ohh... wait that sounds like a lawyer.
uhh...nevermind.
I said it,but I have a good reason.I DON'T TRUST THE IOWA LOTTERY,and if you ask them,they'll tell you so.
What do you call 1000 lawyers chained together at the bottom of the coldest deepest ocean?
A good beginning.
*golfclap.gif* Thank you so much. How many people here spoke ill of the Iowa Lotto and called the investigator a showboat, a busybody and worse?
From the Huffington Post version of this story:
"... Shaw signed it on behalf of Hexham Investments Trust (misspelling Hexham as Hexam), which listed its address as a post office box in Bedford, N.Y., a wealthy enclave where Shaw lives on the property of his daughter and son-in-law Gregory Fleming, the president of Morgan Stanley Investment Management.
Shaw told Lottery officials during a meeting earlier this month that all of the trust's proceeds would go to a corporation based in Belize, a Central American country that has a reputation as a tax haven. (The advantages of the money going there aren't entirely clear, as Lottery spokeswoman Mary Neubauer said the agency would have withheld 30 percent in federal taxes, instead of 25 percent, if a foreign corporation was ruled the winner).
Making matters more complex, Shaw's lawyers told the Lottery that Shaw was retained by an attorney who was representing the ticket purchaser – whose identity was unknown, even to Shaw. Shaw agreed to represent the purchaser's attorney on the condition that both of their identities and all discussions would remain secret because of attorney-client privilege, they said.
At the same time, Shaw's lawyers said in their Tuesday offer to give the money to charity that the person who legally bought the ticket, possessed it and transferred it to the trust approved the deal...."
Total fraud! (Just like I believe those three investment guys were who 'won' in Connecticut a couple months ago on a single quick pick.) This crap is why the lottery would prefer on naming names and knowing who they're giving the money to.
Beautifully put.
(and to the folks here talking about how the money should be put back into the pot... so somebody else (preferably the poster) wins it... no. that money *was* won. it needs to go to the real winner. if that person is eligible, and not an illegal. not this rich guy fraudster with morgan stanley connections and a central american tax haven.)
" Why the Iowa Lottery officials had such a hard on to know who the ticket purchaser is/was is beyond me."
Because it's the law that they know who the winner is. If "insiders" can print duplicate winning tickets -- it's been done before -- and then hide behind trusts, the lottery turns into a scam with us all being the suckers. THAT's why. A trust can claim it but the lottery officials have to know that the person/people behind the trust are ELIGBLE to claim.
I heard the lawyer, Crawford Shaw, is going to be on Dancing With The Stars next season.
Or maybe it was American Idol, I don't remember.
I think I heard that somewhere.
Or maybe not.
I think it's American Idol.He'll be singing the blues!
"THANK GOD 4 LAWYER's" ?????????????
they R.........>>>>>>>>>>>> ????????????
(1)LOYAl
(2) couertise
(3) KIND
(4) TRUSTworthery????????????????????!
THANK GOD 4 honest>>>>LAWWYER'$$
THEY CAN DO the right >> thing>>$$$$$
when they WANT >>>UR>"MONEY"$$$$
WTG Iowa Lottery! Would love to know the real story behind this ticket.
?????????????????????????????????????????????????????
this>>>>>>>>>"TICKET" ??????????????