Tuesday, July 8, 2008

LOTTERY REVENUE LOCKED-IN

"I've done the calculation and your chances of winning the lottery are identical whether you play or not.” - Fran Lebowitz

"Unfortunately, the current formats for this lottery program are subject to fraud and abuse and leave our nation exposed to those who may seek to do harm on American soil." - William L. Jenkins

STATISTICALLY IMPOSSIBLE LURE
NEW YORK (CNN) -- When Scott Hoover bought a $5 scratch-off ticket in Virginia called "Beginner's Luck" last summer, he carefully studied the odds. Even though he figured his chances of winning were a long shot, he felt the odds were reasonable

Hoover, a business professor at Washington and Lee University in Virginia, wasn't surprised when his tickets didn't bring him the $75,000 grand prize, but he was shocked to learn the top prize had been awarded before he bought the ticket.

I felt duped into buying these things, Hoover said.

He discovered the Virginia State Lottery was continuing to sell tickets for games in which the top prizes were no longer available. Public records showed that someone had already won the top prize one month before Hoover played. He is now suing the state of Virginia for breach of contract.

"It's one thing to say it's a long shot to win the $75,000, but it's another thing to say you have no shot to win it," said John Fishwick, Hoover's attorney.

Through a request filed under the Freedom of Information Act, Fishwick's firm was able to obtain records that showed the Virginia State Lottery sold $85 million in tickets for which no top prize was available. Fishwick says the state should pay $85 million in damages.

Paula Otto, executive director of the Virginia State Lottery, said the state's games are fair and the top prize money is actually a small percentage of the money given out to lottery players. "Most of the players win through the second, third or fourth-place prizes," she said. Otto also said it's no longer possible in the state of Virginia to purchase tickets with no top prizes available.

"We absolutely have always been very open and honest with our players about the way our scratch tickets are distributed," Otto said. "Yes, there were times when there was a scratch game out there that might've said "zero" in terms of the number of top prizes, but our players knew that."

Otto would not comment on the lawsuit, but said she stands by the integrity of the games in Virginia and looks forward to vigorously defending them.

Virginia isn't the only state to sell tickets that have no top prizes available. USA Today estimates that about half of the 42 states that have lotteries were, as of early July, continuing to sell tickets after the top prizes are claimed. Lottery officials from some states say the practice is fair because lesser prizes are still available, and they say tickets and lottery Web sites make that clear.

In New Jersey, tickets for the "$1,000,000 Explosion" scratch-off game were still on sale last week, even though the million-dollar grand prize was already awarded.

Lottery ticket buyers outside a New Jersey convenience store were stunned to hear the news.
"Oh really? I didn't know that", one shopper told CNN. Another added, "That's just not right."

Dominick DeMarco, a spokesman with the New Jersey Lottery, said information about winning tickets and prizes is readily available on the lottery Web site and at retail outlets. However, officials are still looking for ways to improve on their procedures.

Still, Hoover hopes his lawsuit will alert lottery players in all states to be careful before they place their bets.
CNN, "Zero' chance lottery tickets stun some players", Jason Carroll and Susan Chun
http://www.cnn.com/2008/US/07/07/lottery.tickets/index.html?eref=rss_topstories

“A politician needs the ability to foretell what is going to happen tomorrow, next week, next month, and next year. And to have the ability afterwards to explain why it didn't happen.” - Winston Churchill

In my opinion, the lottery is the most insidious tax of all. Our State governments knowingly, and without remorse, cheat our citizens out of billions of dollars every year. People forget or ignore the fact that what's paid-out must first be paid-in. BUT, without a lottery my personal taxes would be considerably higher. Who am I to complain? - 2q(Jim)

MEET ME HALFWAY
A blonde finds herself in serious trouble. Her business has gone bust and she's in dire financial straits. She's so desperate that she decides to ask God for help. She begins to pray... "God, please help me. I've lost my business and if I don't get some money, I'm going to lose my house as well. Please let me win the lottery."

Lottery night comes, and somebody else wins.

She again prays... "God, please let me win the lottery! I've lost my business, my house and I'm going to lose my car as well."

Lottery night comes and she still has no luck.

Once again, she prays... "My God, why have you forsaken me? I've lost my business, my house, and my car. My children are starving. I don't often ask You for help, and I've always been a good servant to You. PLEASE let me win the lottery just this one time so I can get my life back in order."

Suddenly there is a blinding flash of light as the heavens open. The blonde is overwhelmed by the Voice of God, Himself....

Sweetheart, work with Me on this.... Buy a ticket.

"Here's something to think about: How come you never see a headline like 'Psychic Wins Lottery'?" - Jay Leno

1 comment:

Unknown said...

I've always thought of the lottery as a tax for people who are bad at math.