ANNAPOLIS, Md. — Within the Office of Legislative Audit’s report from early 2022, several concerning facts were revealed, suggesting possible collusion statewide between winners and vendors.
The report is a fiscal compliance audit of the State Lottery and Gaming Control Agency (SLGCA) conducted between January 3, 2017, and October 15, 2020.
In the introduction, the auditors say “Our audit disclosed that SLGCA had not established procedures to identify and investigate individuals who won multiple high-dollar lottery prizes (in some cases 200 or more times in a year) to identify patterns of potential collusion between players and lottery related vendors or officials.”
This is concerning as the approximate revenue from the state lottery was $2.2 billion in the 2020 calendar year.
The figure below shows a breakdown of the 362 individuals that have twenty or more high dollar wins in the year 2020 — eight with over two hundred wins totaling $4.46 million. The Office of Legislative Audits consider high-dollar lottery prizes as more than $600 in a single drawing.
Auditors added that they couldn’t determine how many times these players played that year.
The report gave some examples of these wins. One individual won the top prize of the Pick 4 game 79 times, and two individuals won the Multi-Match a combined 439 times, totaling nearly a million dollars between them.
They stated that the SLGCA should have reviewed the patterns of winning tickets to investigate where they were sold and also redeemed to determine any relationships between winners and vendor employees.
The report also shows how the SLGCA either failed to conduct monthly testing of Video Lottery Terminal (VLT) or did not conduct the test at all.
The random tests are to ensure they function properly, however, SLGCA discontinued testing because the machines are tested when they are installed, and they claimed it would’ve been “redundant.”
Read the full audit below:
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