Lottery Corruption, U.S.A.: Revised Edition

By Harold Rosen

Lottery Corruption, U.S.A. is very unique as compared to any other book written about the lotteries. There’s more than enough significant data and information to convince the reader that our state lotteries are definitely being manipulated and controlled, illegally. This book is informative, enlightening, educational, and entertaining, so enjoy reading it.

• Language: English
• Publisher: AuthorHouse
• Release date: Jan 30, 2023
• ISBN: 9781728378404

Harold Rosen

Harold Rosen grew up in Brooklyn, New York and majored in Accounting at a State University of New York. He relocated to Florida and became a member with several law enforcement committees to contribute possible solutions to mitigate the problem of drug abuse and youth violence. He now resides in New Hampshire where he is very active with different initiatives: State Lottery Reforms, Drug Abuse Prevention, and Homelessness.

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2023 Harold Rosen. All rights reserved.

No part of this book may be reproduced, stored in a retrieval system, or transmitted by any means without the written permission of the author.

Published by AuthorHouse 01/28/2023

ISBN: 978-1-7283-7841-1 (sc)

ISBN: 978-1-7283-7839-8 (hc)

ISBN: 978-1-7283-7840-4 (e)

Any people depicted in stock imagery provided by Getty Images are models,

and such images are being used for illustrative purposes only.

Certain stock imagery © Getty Images.

Scripture taken from the King James Version of the Bible.

Because of the dynamic nature of the Internet, any web addresses or links contained in this book may have changed since publication and may no longer be valid. The views expressed in this work are solely those of the author and do not necessarily reflect the views of the publisher, and the publisher hereby disclaims any responsibility for them.

CONTENTS

Chapter 1 September 11, 2001 and Civic Pride

Chapter 2 The Political Agenda

Chapter 3 News Articles of Lottery Corruption, Fraud, Scandal, and Stories of Interest

Chapter 4 Suspicious Lottery Results Associated with MassShootings

Chapter 5 Explanation How the Lottery Machines Work and Cyber Security

Chapter 6 History of the Lotteries

Chapter 7 Perspective on America

Chapter 8 Sweepstakes, Lottery and Prize Scams: A Better Business Bureau Study of How Winners Lose Millions Through an Evolving Fraud

Reference

CHAPTER 1

September 11, 2001 and Civic Pride

_________________________________________________

When the World Trade Center in New York City was attacked on September 11, 2001, people all over the world were so frightened and so afraid of what was going to become of the future, and of their lives. I felt a sense of immediacy then, a need to do something at least for my community. President John F. Kennedy proclaimed in his inaugural speech, on January 20, 1961, "Ask not what your country can do for you--ask what you can do for your country." That is also my firm belief and it is that conviction that took precedence as to what course my life would take.

In the 1970’s I was living with my mother in the beautiful affluent community of Aventura, in south Florida. I moved there from Brooklyn, New York, with hopes of starting a new life. This palatial new environment of palm trees, sunshine, and beaches did brighten my life, but for just a while. Prior to making the transition to Florida, I was told that a college friend had died tragically, which prompted my decision to leave Brooklyn. After about a year trying to adjust to this new lifestyle in Florida, I suffered another setback; I was told of the tragic news that my high school friend had died and I assumed it was from an overdose of drugs.

I still hadn’t established a lifestyle or even any social acquaintances in Florida. I resorted to going out to nightclubs and joining an adult group at the Jewish Community Center. I felt out of place because the other members were much older than me. I then began to isolate myself, binge eating and binge drinking alcohol. My health started deteriorating, and my ability to function and to take care of myself was being compromised. I looked for family support but, having a family that was dysfunctional was very challenging, especially at that particular time.

Ten years later, then in my mid-thirties, I became motivated and joined a charitable organization. I had hoped that doing volunteer work would help boost my morale and self esteem. I was offered to join a charitable organization called Meals on Wheels. A team of us volunteers would deliver hot meals to senior individuals who were lacking food, clean clothing, and other necessities of life because of poverty and separation from their immediate families. To see the expression on some of these people’s faces was so sad; all alone in a dark motel room with a rancid odor and isolated from the outside world. This left a memorable impression with me that indoctrinated devotion in my life more towards humanity. I realized then, that helping the needy was spiritually and socially rewarding, and it has inspired me towards a more admirable way of life.

Realizing the benefits of charitable work I thought of contributing more productively to my community. So, I began to keep a daily journal of environmental hazards in my neighborhood and of the surrounding areas. When I noticed a city violation I’d call the appropriate agency or department. Then, either a field officer or an inspector would be assigned to the site. Maintaining the environment in Florida is crucial. Because of its vulnerability to lightning, brush fires, and drought, Florida residents should be more vigilant towards preventing fires. My efforts from my volunteer work were being rewarded by the noticeable differences in the communities:

1. Local roads were being repaired

2. Vacant lots with overgrown weeds and laden with trash were cleared

3. Unsafe structures were investigated

4. Speed limit on a highway was reduced to a safer speed

5. Traffic and street signs were repaired or replaced

I learned that an average citizen, such as myself, can make a difference in the community, allow me to emphasize that statement. One bright Saturday morning I decided to go play basketball, so I drove a couple of miles to the nearest playground. Upon arriving, there was broken glass scattered all over the basketball court. I immediately went home to get a broom, dustpan, and trash bags to clean up the mess. After parking my car and getting out, I noticed bullets and firecrackers scattered all around by the entrance to the basketball court. Quickly, I went over to clean the area and proceeded to check the playground. I walked over to the sandbox and decided to check under the sand. As I sifted through it carefully, broken bottles of glass appeared. This was a disgrace! If something like this can happen here there’s the possibility that it could be occurring at other playgrounds, too.

I attended a town hall meeting to express my concern regarding the incident at the playground. I mentioned that a greater police presence was needed and furthermore, that substance abuse and alcohol abuse should not be tolerated at public places, especially where children play. After the meeting, I felt very proud of myself for I had accomplished what I set out to do: that was to raise awareness of the citizens, to the police, and also to the elected officials. This prompted me to think of the idea of a Drug Abuse Task Force. Its Objective is to reduce the prevalence of substance abuse at public areas such as:

• Public schools

• Playgrounds

• Parks

• Beaches

The task force’s Goal would be to provide safer communities where families can work, children can play, and people can take pride in their communities. And, its Function is to patrol neighborhoods and observe suspicious activities such as:

• Rave parties--are the focus of rave culture, a youth-oriented subculture that blends music, art and social ideals. Rave culture also entails the use of a range of illicit drugs.

• Abandoned houses or other unsafe structures--homeless people may use them for shelter and others may also frequent them to use drugs or to drink alcohol.

• Hydroponic labs, growing marijuana indoors–the method of growing plants without soil, using mineral nutrient solutions in a water solvent.

• Illegal drug activity--at parks, playgrounds, beaches, etc.

• Suspicious individuals prowling–near homes, businesses or private property that might be trespassing.

• Graffiti–is a type of art genre that means writing or drawings made on a wall or other surfaces, usually without permission and within public view. It is considered by property owners and civic authorities as defacement and vandalism, which is a punishable crime.

In 2011-2015, U.S. fire departments responded to an estimated average of 30,200 structure fires per year in vacant properties. These fires resulted in an average of 60 civilian deaths, 160 civilian injuries, and $710 million in direct property damage per year.

• Half of vacant building fires were intentionally set compared to 10% of all structure fires.

• Vacant building fires reached a high point in 2007 and 2008 and have declined since 2012.

• An estimated average of 3,310 firefighters per year were injured at vacant building fires during 2011-2015.

https://www.nfpa.org/News-and-Research/Data-research-and-tools/Building-and-Life-Safety/Vacant-Building-Fire

In order to have the Drug Abuse Task Force become a reality, participating with the Citizens Crime Watch group in my area would be beneficial. The group met at the local police station and discussed crime in the area and trends of criminal activity that were emerging. My intention was to develop a rapport with the Community Police Officers, with hopes that they would incorporate the Drug Abuse Task Force into their public safety strategy.

Community policing, or Community-Oriented Policing (COP), is a strategy of policing that focuses on building ties and working closely with members of the communities. Community policing is, in essence, a collaboration between the police and the community that identifies and solves community problems. With the police no longer the sole guardians of law and order, all members of the community become active allies in the effort to enhance the safety and quality of neighborhoods. Community policing has far-reaching implications. The expanded outlook on crime control and prevention, the new emphasis on making community members active participants in the process of problem solving, and the patrol officers’ pivotal role in community policing require profound changes within the police organization. The neighborhood patrol officer, backed by the police organization, helps community members mobilize support and resources to solve problems and enhance their quality of life. Community members voice their concerns, contribute advice, and take action to address these concerns. Creating a constructive partnership will require the energy, creativity, understanding, and patience of all involved.

For more information about Community Policing please refer to the URL provided:

https://en.wikipedia.org/wiki/Community_policing

The Impact of Crime in the Community

Impedes Community Collaboration and Trust- Any action that impedes public safety is going to impact the trust present throughout the community. Specifically the trust people have regarding the things in the community that are supposed to protect them. This could include community leadership and practices, public services like law enforcement, and even trust shared amongst peers. When there is a lack of trust in a community, its ability to collaborate is impeded. People don’t necessarily want to work with someone that they don’t trust, and the outcome of their collaboration can be impacted.

Generates Stress-People worry about their safety, the safety of their loved ones, all the time. It’s a fairly normal part of life, but it can be problematic when increases in crime cause a person to worry all the time. Safety threats can be especially worrisome and stressful, more so when they hit close to home. Prolonged stress can cause health issues and disrupt a person’s life, regardless of what the source is. When something like crime rates cause stress throughout a community, those effects are amplified and can impact the functionality of the community.

Economic Costs-Crime is expensive and can put a lot of added strain on the local economy. It places a huge financial burden on communities to prevent, combat, and clean-up the aftermath of criminal activity.

These are things that occupy a significant portion of budgets in communities across the country. There’s an entire market dedicated to crime prevention and security alone, which has its own economic implications in society. Economic facets like tourism and business can be especially impacted by crime, as productivity and sales can drop in areas associated with criminal activity. This doesn’t even necessarily count the personal and non-monetary costs crime has on a community, like pain and suffering.

https://www.universalclass.com/articles/business/the-impact-of-crime-on-community-development.htm

Criminal activity is a fact of life in our society. I believe it should be approached as a social problem and not just a law enforcement concern. Members of the community should collaborate and work towards common goals where everyone benefits.

The need for additional funding to support programs that improve the quality of life in the community is part of the solution. State run lottery programs are a reliable source of revenue and can be considered a possible source for funding such programs for:

1. Drug Abuse Prevention and Education

2. Drug Treatment

3. Recovery

4. Downtown Beautification Projects

5. Crime Prevention

6. Building Homeless Shelters

7. After School Recreation Programs

8. Programs for the Elderly: More affordable nursing homes and assisted living facilities

It’s the local leaders of the community, the elected officials, the local police departments, the business sector, religious groups, and concerned individuals that have the opportunity to influence the situation. But, if they’re passive and not proactive towards improving conditions in their neighborhoods, situations tend to get worse.

The revival of lotteries began in New Hampshire in 1964 with its establishment of a state lottery. Inspired by New Hampshire’s positive experience, New York followed in 1966. New Jersey introduced its lottery in 1970, and was followed by 10 other states by 1975.

In 1980, there was a scandal involving the Pennsylvania State Lottery. It was a plot to rig the Daily Number, a three-digit game the lottery offers. It was then aptly referred to as the ‘Triple Six Fix.’ All of the balls except the ‘4’ and ‘6’ were weighted, meaning that the drawing was almost sure to be a combination of only 4’s and 6’s. The scheme was successful in that ‘6-6-6’, an expected result, was drawn on April 24, 1980. However, the unusual betting pattern alerted authorities to the matter. The chief conspirators were sent to prison and most of the fraudulent winnings were never paid out.

Knowing there was illegal wrongdoing already involved in one state lottery, the potential of other states exploiting this new revenue source was, and still is, cause for concern. James Q. Wilson is the author and co-author of fourteen books and many writings on morality and human character. He has also served on a number of national commissions: The White House Task Force on Crime, the National Advisory Commission on Drug Abuse Prevention, and he was also a member of the President’s Foreign Intelligence Board.

In an influential 1960’s article, Corruption in the American States, James Q. Wilson writes that political corruption was the shame of the American states. Wilson argues that the state governments are particularly vulnerable to public corruption by comparison with local governments or the wealthier federal government. The federal government has higher levels of administrative professionalism: Washington draws the best and the brightest of administrators alongside more professional and reelection minded politicians who are more mindful of the consequences of their and others misdeeds. Further, there is putatively greater review and monitoring of subordinates’ actions by Washington’s leaders. Also, national politicians are subject to closer scrutiny by the more professional press, as well as by a large number of interest groups and watchdog groups.

States, according to Wilson, may be uniquely prone to corruption: State officials may be subject to less voter scrutiny because each voter is more poorly informed about the actions of state officials. Further, many state capitals are located at some geographic distance from the states’ larger metropolitan areas which further attenuates press coverage of misdeeds. State governments also have more money relative to local governments. One of the by-products of the development of the modern American federal system of governance is that an extraordinary amount of money is funneled by federal grants and contracts. State officials control, or have a hand in, via the distribution of contracts, the distribution of a sizable fraction of public monies spent on governmental purchase of goods and services in America.

Wilson argues that local governments are also vulnerable, but less so than state governments. Put simply, there is less to misappropriate, and typically local officials are more likely to be subject to closer scrutiny by local press and voters. Wilson argues that local voters more closely monitor local politicians because local politicians’ actions directly affect local tax rates.

I commend James Q. Wilson for his astute observations and unique perspective on the subject of political corruption on a state level. His informative writings have made me more aware that we, as citizens, should not be naive to the status quo, the existing state of affairs. Rather, it is for us to be assertive and not passive towards issues and events that directly affect us. Whether it relates to a local, state, or even a federal issue we should be more responsible, at least to ourselves as taxpayers and as citizens. It could just be to send an E-mail or to make a phone call to a government office to express our concern, but it’s a very important first step towards stopping any potential corrupt activity. The social media website LinkedIn is a great venue for developing relationships with important people in government, law, education, or other professional sectors. For our purpose, in preventing state lotteries from alleged corrupt activities, we can network with these professionals and begin to initiate a legal case to have any state lottery in question investigated.

Corruption is a form of dishonesty or criminal offense undertaken by a person or organization entrusted with a position of authority, to acquire illicit benefit or abuse power for one’s private gain. Grand corruption is defined as corruption occurring at the highest levels of government in a way that requires significant subversion of the political, legal and economic systems. Such corruption is commonly found in countries with authoritarian or dictatorial governments but also in those without adequate policing of corruption.

Robert Klitgaard is an American academic, former president of Claremont Graduate University in Claremont, California, and former dean of the Frederick S. Pardee RAND Graduate School in Santa Monica, California, where he was also the Ford Distinguished Professor of International Development and Security.

Per R. Klitgaard, corruption will occur if the corrupt gain is greater than the penalty multiplied by the likelihood of being caught and prosecuted. Robert Klitgaard is the author of the book Controlling Corruption (1988)

https://en.wikipedia.org/wiki/Robert_Klitgaard

For more information about ‘Corruption’ please refer to the URL provided:

https://en.wikipedia.org/wiki/Corruption#:~:text=Corruption%20is%20a%20form%20of,power%20for%20one’s%20private%20gain.

Corruption, and its Effects on Politics, Administration, and Institutions

1. In politics, corruption undermines democracy and good governance by flouting or even subverting formal processes.

2. In elections and in the legislature, corruption reduces accountability and distorts representation in policy making.

3. In the judiciary, corruption compromises the rule of law.

4. In public administration, corruption results in the inefficient provision of services. It violates a basic principle of republicanism regarding the centrality of civic virtue.

5. Corruption erodes the institutional capacity of government if procedures are disregarded, resources are siphoned off, and public offices are bought and sold.

6. Corruption undermines the legitimacy of government and such democratic values as and tolerance.

Recent evidence suggests that variation in the levels of corruption amongst high-income democracies can vary significantly depending on the level of accountability of decision-makers.

7. Evidence from fragile states also shows that corruption and bribery can adversely impact trust in institutions.

8. Corruption is collective rather than simply individual, going beyond private gain to encompass broader interests and benefits