In the midwestern American state of Iowa and the Multi-State Lottery Association has reportedly agreed to pay $1.5 million to a player in order to settle a claim that he had received a reduced lottery jackpot as a result of an insider’s scheme to hijack draws.
According to a Monday report from The Des Moines Register newspaper, Larry Dawson won a $9 million Iowa Lottery jackpot in 2011 but filed a lawsuit five years later claiming that his prize would have been higher if the previous draw had not been bilked by a since-imprisoned Multi-State Lottery Association employee.
The newspaper reported that the Multi-State Lottery Association had provided and administered services for dozens of state lotteries including Iowa but was left red-faced in 2017 when its former security chief, Eddie Tipton, was convicted of rigging the firm’s systems in order to allow him to correctly predict winning numbers.
The Des Moines Register reported that Tipton is thought to have fiddled lottery games in as many as 17 states and is currently serving a prison sentence that could stretch to a maximum of 25 years. Despite this, the newspaper detailed that the Multi-State Lottery Association still conducts draws for the multi-state MegaMillions, Lotto America and Powerball games, all of which are offered by the Iowa Lottery.
The newspaper reported that the settlement in the Dawson case was only revealed via an October 9 e-mail Bret Toyne from the Multi-State Lottery Association sent to Iowa Lottery officials and it remains unclear whether the deal included any additional stipulations.
Matt Strawn, Chief Executive Officer for the Iowa Lottery, reportedly stated that he had no further details concerning the settlement beyond what was included in Toyne’s released e-mail but has filed a complaint claiming that any such arrangement should be subject to public disclosure.
Reportedly read the statement from Strawn…
“The settlement between the Multi-State Lottery Association and Mr Dawson closes a chapter in lottery history that tested that foundation of trust. The actions of state of Iowa officials over the years to investigate, uncover and successfully prosecute this fraud against the public serve as a reminder that Iowa passed this test.”