Texas Lottery paid for goods it never received

Jul 16, 2005, 9:39 am (11 comments)

Texas Lottery

The embattled Texas Lottery Commission is investigating why the agency paid a Nevada company more than $300,000 for goods it hasn't received.

The lottery's purchasing department authorized an advanced payment to JB & Associates in February 2004 to buy promotional items such as umbrellas, coffee mugs and vinyl wallets, the Fort Worth Star-Telegram reported in its online edition today.

JB, based in Reno, Nev., received at least $332,427, but the lottery said it is still owed about $311,000 in undelivered merchandise. Lottery spokesman Bobby Heith said paying in advance for such goods violates the purchasing policies for state agencies.

"An internal audit into the matter is ongoing, and we have also asked the state auditor's office to look into it independently," Heith said. "This is something that causes us a great deal of concern."

Heith said it was not a criminal investigation but said any evidence that is found to suggest illegal activity will be turned over to the appropriate authorities.

Joel Bowen, who owns JB, said the lottery picked his company in 2003 to procure the items. He turned to an importing broker to get the merchandise from China, where it was to be made. He said the broker wanted to be paid in advance.

Bowen said the broker has told him factors such as a typhoon and escalating oil prices worldwide have contributed to the slowdown.

The purchasing agent who authorized the advance payment has since been dismissed from the commission, said Heith, who declined to say whether her departure was related to the problem.

The revelation is another black eye for an agency that's been sharply criticized for inflating Lotto Texas jackpots.

Executive Director Reagan Greer resigned last week after signing off on an $8 million jackpot for the June 8 drawing when estimations showed ticket sales could only cover $6.5 million.

AP

Comments

bobby623's avatarbobby623

Further evidence, with more coming, that the Texas lottery is rotten to the core!!

orangeman

It is poetic justice.  The TLC pays for goods it never receives and the players here in Texas pay for service and consideration they never receive.  This just proves there is balance in the time/space continuim. Those who the Gods seek to destroy, they first make mad . . .

Orangeman                                Green laugh

johnph77's avatarjohnph77

Keep in mind that nothing in the Texas Lottery proceedings so far have indicated any irregularity in the conduct of the games themselves.

gl

j

Todd's avatarTodd

Keep in mind that nothing in the Texas Lottery proceedings so far have indicated any irregularity in the conduct of the games themselves.

gl

j

I agree, but lately I feel like that's the other shoe waiting to drop.

Chewie

Of course all those board members and legislatures no nothing. Amazing how politicians can brag about being stupid and the voters keep placing them back in the office so they can be paid by tax dollars to be stupid.

 

Chewie

Make that 'know" nothing ...sheesh

LOTTOMIKE's avatarLOTTOMIKE

Lurking

LOTTOMIKE's avatarLOTTOMIKE

texas is going down the drain fast,the "new indiana" lol

CASH Only

TX doesn't use computers except for the Megaplier.

orangeman

I really don't trust computers for some reason.  Does anyone remember the movie entitled Colossus: The Forbin Project?  The computers took over the nuclear weapons and took over the world.

Perhaps that is the reason.  I suspect that if the results could be manipulated, someone would attempt to make it happen.  Any state that would manipulate the jackpots to encourage sales would not be above rigging numbers to control the results. 

It is interesting that Texas doesn't pick the Megaplier until after the drawing is held.  Could this be because they want to know if someone won a 5-pick before committing any money to it?  Interesting possibility. As I often say, TLC doesn't mean Tender Loving Care.

Orangeman                                                What?

CASH Only

I don't remember Forbin.

End of comments
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