Posted on 06/16/2008 11:51:23 AM PDT by JZelle
ROANOKE | The Virginia Lottery has taken in millions of dollars illegally by misrepresenting the prize money available for its "Scratcher" games, according to a Washington & Lee University business professor.
Scott Hoover contends that the lottery has not ordered retailers to pull shipments of tickets from Scratcher games after the top prizes have been awarded, meaning players are buying tickets with no chance of winning the largest prize promised on the ticket.
John Fishwick, an attorney representing Mr. Hoover, has filed a notice of a claim with the lottery seeking refunds of $84.7 million to those who purchased an estimated 26.5 million tickets over the past five years.
"The state has profited to that effect," said Devon Munro, Mr. Fishwick's associate.
Lottery spokesman John Hagerty said officials stand by the games.
"We have worked hard over the past 20 years to successfully build a reputation for integrity in the way our games are presented," he said.
Mr. Hoover said he began an investigation after he bought tickets for the "Beginner's Luck" game last summer and tracked the payouts online.
"It became apparent that the numbers posted online violated the basic laws of statistics," said Mr. Hoover, who has a doctoral degree in finance and has taught applied business statistics courses at Washington & Lee. The number of grand prizes available should go down at a certain rate, he said, but "it just wasn't doing that."
(Excerpt) Read more at washingtontimes.com ...
If a private industry ran a scam like the State Lotteries, the FTC would put them out of business in a year.
If a casino ran this way, it’s owners/operators would be in jail. That’s why I play the casinos and not the State lotteries. With the casinos, at least I get something for my money (i.e., rooms, play money, etc.), but from the State — nothing.
I guess he did not win. He has PSOSD - Post-Scratch-Off Stress Disorder.
At least with lotteries the price to get in the game is voluntary. I wish Social Security had a no-play option.
What a fool. Of course the government does not make what the government does illegal. It might be illegal if you or I or a private casino did it, but not if the government does it. They write the law that way on purpose.
“who has a doctoral degree in finance and has taught applied business statistics courses at Washington & Lee.”
And he’s surprised? That PhD must not be worth much.
It technically is, but good luck trying to un-volunteer for it.
When the mob ran the numbers rackets, it was much more honest and player friendly, with a higher percentage of earnings paid back to players.
Lotteries are a voluntary tax on poor people. The most pathetic thing in the world is to see some welfare idiot tripping out of the 7-Eleven with his over-priced groceries (beer, cigarettes) and strand of lottery tickets paid for by the taxpayers.
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Scratchers are deceptive by nature, since they appear to have a game on the face, but they are printed as winners or losers, and the game is meaningless. The games always look much easier to win than the actual odds of winning, given that a certain fixed number of winners are printed.
Lotteries, in general, are taxes on those who are bad at math. Scratchers are an additional tax on those who are easily fooled.
but don't look for money to come to the ones shafted...instead, we'll get some new condomn machines for the schools and probably a "much deserved" pay increase for the teachers ....
but don't look for money to come to the ones shafted...instead, we'll get some new condomn machines for the schools and probably a "much deserved" pay increase for the teachers ....
“Lotteries are a voluntary tax on poor people. “
I prefer the term “STUPID TAX”
(never played never will !!!)
We had a court case over this same issue in VT. In the end the lottery posted signs saying there may or may not be prizes remaining.
I recall a few years ago, some state lottery accidentally announced the winning numbers on a Friday night and they were supposed to have the ping pong ball machine selection the following Monday. I found out later they put a heavy drop of clear fingernail polish on the preselected winning number balls to fall first for show.
This all happened once the democrats took over the executive.
It’s a stupid mistake, another of many made by these democrats, one of whom now wants to be our senator.
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