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should not have been reset to $ 1 million and would have theoretically reached $ 16 million by the time of his winning draw. As such, Dawson claimed that, given the parties' failure in properly auditing their games, he was entitled to $ 10 million that was not officially awarded in the rigged draw. Iowa
Lottery CEO Terry Rich criticized Dawson's lawsuit for its attempt to "rewrite history", stating that, "No one can know what would have occurred in this case had any event in it been changed. We believe that Mr. Dawson rightfully was paid the jackpot to which he was entitled." Dawson later received a $ 1.5 million settlement from MUSL.
149:-based attorney Crawford Shaw. However, Hexham was misspelled on the ticket as "Hexam", and the claim was, once again, turned down. On January 12, 2012, Shaw met with Iowa Lottery officials in person to try claiming the prize, but was turned down yet again after he refused to identify the owners of the trust. Shaw withdrew his claims over the prize afterward, and the prize money was returned to Hot Lotto's member lotteries in February 2011.
255:, Tipton denied he was the person who purchased the ticket, and argued that he had been singled out because he was an employee of MUSL. He also noted that, aside from Rhodes, he had not been in active contact with or knew Sonfield, or any other individual alleged to have been involved in the fraud. In his closing arguments, Assistant Attorney General
70:
because it was made anonymously. A subsequent investigation into the trust and the discovery of surveillance footage from a convenience store that depicted the ticket being purchased, led to the arrest of Eddie Tipton on two counts of fraud for attempting to illegally participate in a lottery game as
412:
On
February 4, 2016, the Iowa Lottery and the MUSL were sued by Larry Dawson, who won a $ 6 million Hot Lotto jackpot several months after the rigged draw. Dawson claimed that because the MUSL had officially recognized an illegitimate draw as having a winning ticket, the following drawing's jackpot
246:
attorney, Nicholas
Sarcone, unsuccessfully attempted to block presentation of the hacking theory in court, arguing that Tipton was with multiple people in the draw room, as per protocol, and use of the convenience store surveillance footage, claiming that the person in the video could not have been
216:
running on a computer in MUSL's Des Moines facility. The computer is in a "locked glass-walled room accessible only by two people at a time and then only on camera", and is not connected to the
Internet or any other networks. Tipton was let into the room on November 20, 2010, to manually adjust the
339:
Forensic investigation of the random number generator used to pick the lottery numbers in the 2007 Megabucks drawing showed that it had been programmed to produce knowable outcomes if the drawing occurred on three dates of the year – May 27, November 23, and
December 29 – provided these dates were
250:
In a brief issued on July 9, 2015, Sarcone wrote that following an examination, there was no evidence that Tipton had tampered with the draw computer, and that according to lottery officials, the cameras in the draw room had a long-term history of technical problems that could have resulted in the
196:
for attempting to illegally participate in the lottery, and attempting to use fraudulent means to claim prizes. Rhodes, a previous co-worker of Tipton's, was in Des Moines when Tipton purchased the ticket, and the two were in frequent contact by phone. Rhodes was arrested on two counts of fraud in
93:
The Iowa
Lottery and MUSL were also sued by a subsequent winner of a Hot Lotto drawing who sought to have his winnings retroactively increased because the jackpot had been illegitimately reset by Tipton's rigged win. He settled with MUSL for an undisclosed amount on the eve of trial in 2019, but a
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In June 2017, Eddie Tipton confessed in court to having installed the rigged random number generator in 2005 or 2006. "I wrote software that included code that allowed me to technically predict winning numbers and I gave those numbers to other individuals who then won the lottery and shared those
89:
Eddie Tipton and his brother Tommy Boyd Tipton were subsequently accused of rigging other lottery drawings, dating back as far as 2005. Based on forensic examination of the random number generator that had been used in a 2007 Wisconsin lottery incident, investigators discovered that Eddie Tipton
237:
In an April 13, 2015, statement, Iowa
Lottery CEO Terry Rich explained that MUSL had implemented stronger security measures to protect the integrity of its draws, including new equipment and software to conduct the drawing, updated security protocols for the draw room, new security cameras, and
129:
to claim a ticket that had won the jackpot; stating he was too sick to claim the prize in person, he provided a 15-digit code that verified the winning ticket. However, Johnston's prize claim was turned down when he was unable to answer questions that verified he was the owner of the ticket. On
394:
the over $ 2.3 million in restitution they owed to
Oklahoma, Colorado, Kansas, and Wisconsin. Their payments to the four states totaled about $ 1,225. During the interim, Eddie and Tommy Tipton had transferred ownership of several properties to their mother, Lawanda Tipton.
403:
Tipton sued the state of Iowa in
January 2020, claiming he was pressured four years ago to plead guilty to crimes he did not commit. The lawsuit sought to overturn his sentence. Assistant Attorney General William Hill asked a judge on November 4, 2021, to dismiss this lawsuit.
283:
dismissed Tipton’s conviction on the tampering charge and vacated his conviction on the fraudulent redeeming charge, both due to the state exceeding the statute of limitations. However, by this time Tipton was already planning on pleading guilty to additional charges.
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investigators were suspicious because Conn was not a frequent player, came from out of state, and specified the winning numbers manually instead of relying on a random pick. They initially declined to say what linked this case to
233:
at the time. It was also noted that on that day, security cameras were configured to record only for "roughly one second per minute", a change the prosecutors believed was made to prevent anything suspicious from being recorded.
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of Tipton's guilt: firstly, co-workers and friends testified that the voice of the man on the surveillance recording matched Tipton's, and secondly, MUSL IT director Jason Maher testified that Tipton had access to a rootkit.
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86:, and then attempting to claim a winning ticket with the rigged numbers anonymously. On July 20, 2015, Tipton was found guilty on both counts; he was sentenced to 10 years' imprisonment, pending an appeal.
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Eddie Tipton was released on parole in July 2022 after serving five years. On
January 20, 2022, Tipton had been approved for parole, but prior to release parole had been revoked for getting into a fight.
94:
memo from 2015 was revealed during discovery that showed that MUSL's security officers lacked confidence in the random number generation process and recommended that some of the games be suspended.
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A $ 14.3 million prize for the Hot Lotto draw on December 29, 2010, had been left unclaimed for nearly a year. When attempts were finally made to claim the prize on behalf of an anonymous off-shore
343:
In January 2017, Rhodes pled guilty in Iowa to charges related to aiding Eddie Tipton in the 2010 Hot Lotto incident. In March 2017, he pled guilty to the 2007 Megabucks incident. As part of the
192:(MUSL), which organizes the Hot Lotto game. As an MUSL employee, it was illegal for Tipton to participate in any lottery game. On January 15, 2015, he was arrested and charged with two counts of
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51:. Eddie Tipton ultimately confessed to rigging lottery drawings in Iowa, Colorado, Wisconsin, Kansas, and Oklahoma. Also involved in the scheme were his brother and former Texas
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In an interview with Iowa's Division of Criminal Investigation, Johnston (who was listed as Hexham's president) explained that Robert Rhodes and Robert Sonfield of
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On July 20, 2015, Tipton was found guilty on two counts of fraud. On September 9, he was sentenced to ten years' imprisonment but remained free on bond pending an
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Tommy Tipton, and Texas businessman Robert Rhodes. Eddie Tipton was sentenced to 25 years in prison. He was released on parole in 2022 after serving five years.
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controlled by Robert Rhodes, who had also been charged in the 2010 Hot Lotto case. Records show that the corporation subsequently transferred money to Tipton.
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as well as Iowa. Tipton was sentenced to 25 years in prison, but his attorneys claimed he could be paroled in three or four years. Eddie and Tommy were also
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A November 23, 2011, Hot Lotto jackpot of $ 1.2 million was paid to Kyle Conn, an owner of a construction company in Texas. Conn bought the ticket from the
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Eddie Tipton faced criminal charges, filed October 9, 2015, related to the 2005 and 2007 allegations. Tommy Tipton was charged on March 30, 2016.
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304:'s random number generator. A friend of Tommy Tipton claims that Tommy asked him to claim the ticket in return for ten percent of the winnings.
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Tipton because he did not have a beard at the time. The trial was recessed to July 2015 to give the defense time to analyze the new evidence.
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The jackpot from the rigged 2010 draw was ultimately not claimed and distributed among the sixteen states participating in the lottery.
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programmed a lottery random number generator to produce special results if the lottery numbers were drawn on certain days of the year.
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on the random number generator computer, presumably to rig a draw. Tipton's co-workers described him as having been "obsessed" with
27:
scandal in the United States. It came to light in 2017, after Eddie Raymond Tipton, the former information security director of the
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December 6, Johnston phoned again, stating the ticket was actually owned by an anonymous individual who was being represented by a
900:
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1025:"Changes Continue To Line-Up of Iowa Lotto Games With Upcoming End of Hot Lotto: Final Drawing In Hot Lotto Game Will Be Oct. 28"
205:
Tipton's trial began on April 13, 2015. Alongside the suspicious manner that Tipton had allegedly attempted to claim the ticket,
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On December 29, 2011, less than two hours before the expiration of a one-year deadline for prize claims, representatives of a
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Tommy Tipton served 75 days in jail in Texas, after pleading guilty in June 2017 to conspiracy to commit theft by deception.
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suggested that he had rigged the Hot Lotto draw on December 29, 2010, so that the "drawn" numbers would match the ticket.
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When his trial began on April 13, 2015, evidence was introduced by the prosecutors to support allegations that Tipton had
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which they believed showed the purchaser of the ticket. He was later identified as Eddie Raymond Tipton, the director of
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138:, Hexham Investments Trust. However, Iowa Lottery rules forbid anonymous prize claims, so the claim was turned down.
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law firm presented the winning ticket at the Iowa Lottery headquarters, signed on behalf of Hexham Investments and
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28:
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Lottery investigators uncovered three other instances where they allege Tipton rigged lottery outcomes.
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1222:"Iowa Supreme Court: Investigators took too long in bringing lotto charges against Eddie Tipton"
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347:, Rhodes agreed to testify against Eddie and Tommy Tipton. He was sentenced to six months of
276:. Tipton's attorney argued that his client's conviction was based on "speculative" evidence.
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43:. Tipton was first convicted in October 2015 of rigging a $ 14.3 million drawing of MUSL's
8:
550:"Lottery scammer paroled after five years in prison for $ 24 million game-rigging scheme"
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446:
280:
1306:"Convicted lottery cheats deed property to mother, avoid most court-ordered repayment"
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On November 23, 2005, Tipton's brother Tommy won a $ 568,990 jackpot prize share in a
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308:
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the draw in question by using his privileged access to an MUSL facility to install a
1432:"GSN Airs Lottery Scandal Documentary COVER STORY: The Notorious Lottery Heist 1/28"
177:, and that Rhodes, Sonfield, and Johnston had also had past business relationships.
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reported that Rhodes and Sonfield were, according to an anonymous source, in active
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an employee of the MUSL, and then trying to claim a prize through fraudulent means.
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winnings with me," he said. He admitted to fixing lotteries in Colorado, Oklahoma,
319:
297:
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622:"Prosecutors: Evidence indicates lottery vendor employee tampered with equipment"
222:
162:
901:"Best friend turns on 'good old boy' to testify against accused lottery scammer"
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In October 2014, investigators released surveillance footage from a Des Moines
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Hot Lotto held its final drawing on October 28, 2017; the game was replaced by
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incomplete surveillance recording of Tipton's actions. In an interview with
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1332:"Convicted lottery rigger Eddie Tipton loses parole after fight in prison"
1148:"Prosecutors suspect man hacked lottery computers to score winning ticket"
1381:"Man fighting jail sentence for rigging lottery so he won 3 times a year"
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1048:"Iowa Lottery Worker Arrested for Holding $ 16.5 Million Lottery Ticket"
980:"Lottery group settles with $ 9 million winner who sought bigger prize"
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117:$ 16.5 million. On November 9, 2011, Philip Johnston, a resident of
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1407:"$ 1.5 million settlement ends legal action against Iowa lottery"
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The December 29, 2010, drawing of the multi-state lottery game
63:
1003:"Memo: Iowa Lottery kept selling games after security warning"
486:"Tipton brothers plead guilty in Iowa lottery rigging scandal"
221:; it was alleged that while Tipton was in the room, he used a
1358:"Imprisoned lottery computer tech seeks to overturn sentence"
962:"Judge: Winner's lawsuit in lottery-fixing case can continue"
428:
aired a documentary about the Hot Lotto fraud scandal called
193:
157:
36:
174:
1276:"Texas man pleads guilty to fraud in lottery scandal case"
1017:
585:"Investigators need help finding lottery ticket purchaser"
1170:
1168:
717:"Lottery vendor employee charged in Hot Lotto fraud case"
682:"Investigators uncover another tainted Hot Lotto jackpot"
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Wednesdays or Saturdays and the drawing was after 8 p.m.
850:"Here's how brothers rigged lotteries, authorities say"
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1119:"Another arrest made in Hot Lotto fraud investigation"
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881: (Iowa Dist. Polk County March 30, 2016),
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819:"Hot Lotto scammer accused of rigging other lotteries"
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drawing. Eddie Tipton was among those who constructed
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646:
644:
642:
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Rodgers, Grant; Finney, Daniel P. (October 9, 2014).
519:"Eddie Tipton sentenced in Iowa Lottery rigging case"
259:
singled out two pieces of evidence as proof beyond a
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35:that he and two others used in multiple cases of
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754:"Security chief guilty in Hot Lotto scam trial"
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1493:(Podcast). No. Episode 160. March 3, 2021
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1250:"Forensics Reveal How Brothers Rigged Lottery"
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1027:(Press release). Iowa Lottery. August 3, 2017
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479:
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307:A December 29, 2007, prize of $ 783,257 in a
1457:"Just a Dollar and a Scheme/ Lousy Landlord"
786:"Hot Lotto scandal prompts security changes"
772:
16:Lottery-rigging scandal in the United States
1294:
1177:"Trial over Hot Lotto mystery opens Monday"
602:
567:
503:
472:
444:In March 2021 episode #160 of the podcast
1544:December 2010 crimes in the United States
1404:
1303:
994:
931:"Lawsuit: Hot Lotto fraud reduced payout"
715:Klingseis, Katherine (January 15, 2015).
714:
619:
516:
375:to pay about $ 3 million in restitution.
287:
653:"Hot Lotto rigger sentenced to 10 years"
430:Cover Story: The Notorious Lottery Heist
390:As of 2019, Eddie and Tommy had largely
1219:
1174:
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928:
847:
816:
783:
751:
650:
620:Klingseis, Katherine (April 12, 2015).
82:on the computer containing Hot Lotto's
1511:
1145:
1093:"Inside the Biggest Lottery Scam Ever"
1090:
1046:Beckett, Samantha (January 19, 2015).
679:
547:
483:
385:
212:Hot Lotto draws are conducted using a
1405:Clayworth, Jason (December 9, 2019).
1329:
1000:
982:. Associated Press. November 25, 2019
419:
217:time on the draw computer to reflect
1378:
1355:
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651:Rodgers, Grant (September 9, 2015).
517:Clayworth, Jason (August 22, 2017).
113:featured an advertised top prize of
1304:Clayworth, Jason (April 29, 2019).
929:Rodgers, Grant (February 3, 2016).
680:Rogers, Grant (November 19, 2015).
267:
13:
1116:
817:Rodgers, Grant (October 9, 2015).
14:
1555:
1356:Pitt, David (November 11, 2021).
1001:Foley, Ryan J. (August 1, 2018).
784:Rodgers, Grant (April 13, 2015).
548:Morris, William (July 18, 2022).
460:1980 Pennsylvania Lottery scandal
399:Counter-suit to overturn sentence
1330:Joens, Philip (April 12, 2022).
1220:Rodgers, Grant (June 23, 2017).
1175:Rodgers, Grant (July 13, 2015).
848:Rodgers, Grant (April 6, 2016).
752:Rodgers, Grant (July 20, 2015).
435:In September 2018 an episode of
335:Confession and second conviction
104:
66:, the claim was rejected by the
1379:Fish, Tom (November 12, 2021).
1213:
1195:
484:Rogers, Grant (June 29, 2017).
190:Multi-State Lottery Association
31:(MUSL), confessed to rigging a
29:Multi-State Lottery Association
1529:Lotteries in the United States
1146:Goodin, Dan (April 13, 2015).
1:
1091:Nestel, M.L. (July 7, 2015).
465:
313:limited liability corporation
1248:Vaas, Lisa (April 8, 2016).
408:Suit by later jackpot winner
225:to install self-destructing
7:
1210: (Iowa 2017-06-23).
1117:Ta, Linh (March 21, 2015).
453:
10:
1560:
1524:Fraud in the United States
1465:. September 11, 2018. CNBC
878:Iowa v. Tommy Boyd Tipton
441:documented the incident.
200:
1336:The Des Moines Register
1310:The Des Moines Register
1227:The Des Moines Register
657:The Des Moines Register
554:The Des Moines Register
214:random number generator
84:random number generator
33:random number generator
21:Hot Lotto fraud scandal
1539:White-collar criminals
1208:897 N.W.2d 653
450:covered the incident.
311:drawing was paid to a
288:Subsequent allegations
424:On January 28, 2018,
355:to pay $ 409,000 in
240:separation of duties
219:daylight saving time
186:information security
53:justice of the peace
1411:Des Moines Register
1181:Des Moines Register
1123:Des Moines Register
1005:. New Jersey Herald
968:. October 13, 2016.
935:Des Moines Register
854:Des Moines Register
823:Des Moines Register
790:Des Moines Register
758:Des Moines Register
721:Des Moines Register
686:Des Moines Register
626:Des Moines Register
589:Des Moines Register
523:Des Moines Register
490:Des Moines Register
386:Restitution avoided
1360:. Associated Press
1282:. January 10, 2017
420:In popular culture
281:Iowa Supreme Court
279:In June 2023, the
101:in November 2017.
1183:. Gannett Company
937:. Gannett Company
760:. Gannett Company
309:Wisconsin Lottery
182:convenience store
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907:. March 30, 2017
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320:Oklahoma Lottery
298:Colorado Lottery
268:First conviction
261:reasonable doubt
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1203:State v. Tipton
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1097:The Daily Beast
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253:The Daily Beast
223:USB flash drive
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163:The Daily Beast
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41:state lotteries
25:lottery-rigging
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1519:Crimes in Iowa
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1462:American Greed
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1436:Broadway World
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1485:"Hot Lotto"
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1031:October 15,
941:February 4,
357:restitution
242:. Tipton's
207:prosecutors
119:Quebec City
1513:Categories
1286:August 25,
1233:August 12,
1052:Casino.org
911:August 25,
528:August 25,
495:August 25,
466:References
168:litigation
154:Sugar Land
143:Des Moines
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594:April 16,
365:Wisconsin
111:Hot Lotto
49:Hot Lotto
1490:Criminal
1416:July 23,
1390:July 30,
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454:See also
447:Criminal
324:Oklahoma
302:Colorado
257:Rob Sand
238:further
231:rootkits
39:against
1280:AP News
1260:July 2,
966:AP News
859:July 2,
373:ordered
353:ordered
327:Tipton.
244:defense
227:malware
188:at the
170:over a
134:-based
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369:Kansas
367:, and
274:appeal
132:Belize
123:Canada
76:rigged
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23:was a
201:Trial
194:fraud
158:Texas
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1471:2021
1443:2018
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