The Businesses Had Legal Leases for the Gaming Machines, But Paid Out Cash, Which Is Illegal
Law enforcement officials in the state of Georgia raided several businesses in the Thomaston area this week. Each business was accused of running illegal gambling machine operations.
The joint raids were conducted by the Georgia Bureau of Investigation and the Georgia Lottery Corporation. In all, over $60,000 in cash was confiscated, which officials say were used to pay customers for gaming machine wins. Thomaston prosecutors are seeking “commercial gambling” charges against the owners and clerks at those stores.
Leased Machines from Georgia Lottery
The seven businesses involved had leased their slot machines from the Georgia Lottery Corporation. Gaming on such machines is legal, so long as winners are paid out in store merchandise, gas from the location, or lottery tickets. If cash is used to pay such winnings, then gambling becomes an illegal act.
It is a constant temptation for store owners to pay out winnings in cash, because this is certain to draw more paying customers. This brings with it significant legal ramifications, both for the owners and the cashiers who engage in the payouts. Georgia officials want those engaged in such activities to know the seriousness of their actions and desist.
Investigation Took Months
Thomaston Police Lieutenant Andrew Pippin says that his department has been conducting an investigation for several months. Their investigation was touched off by several anonymous complaints. Though gaming location owners tend to be careful about the payment process, their cashiers might not be as careful. Eventually, members of the public buying gas, snacks, or lottery tickets are going to notice. A certain percentage of these people are going to complain to officials.
Lt. Pippin said, “It’s illegal to pay out. They operate under certain codes and there are a lot of businesses that have to abide by the law and run the business the right way. You’ve got some businesses that are struggling, and some are still operating a gambling establishment. We’re just trying to take a stance on cleaning up some of these areas that continue to be a problem.”
Details of the 7 Locations
The seven stores involved in the raid were 7-11 Grocery on Barnesville Street, Best Value on South Church Street, Handi Mart on East Walker Street, Main Street Billiards on East Main Street, Mr. B’s on North Center Street, Mini Mouth Foods on South Center Street, and Northside Shell on Highway 19 North.
Interviews with those involved are still being conducted. Lt. Pippin says that at least 10 people will be arrested, but that does not preclude other people being charged or arrested. Also, the Lottery Corporation wants to study the gaming machines in question, to see how much money the operators take in. In that case, tax evasion charges might be forthcoming.
Andrew Pippon on New System
A new system is now in place which should make it harder for Georgia’s Lottery-based slot machine operations to cheat the system. Andrew Pippin explained the new changes when he said, “Starting July 1, all those machines have to be hooked up to the Georgia Lottery server, so the Lottery can see what goes in them and there will be a better way to track them.”
Discussing the bookkeeping system up until July 1, 2015, the officer said, “It had been under an honor system–you tell us how much you got out of that machine, then pay us 5 or 10 percent, whatever the Lottery was getting. This way, they’ll be able to get a better idea of what the machines are actually taking in.”
Raids in Macon, Roberta, and Byron
This is not the first illegal gambling machine raid of the year for Georgia law enforcement officials. In May 2015, officials raided 9 different locations in the cities of Macon, Byron, and Roberta, Georgia. In those 9 raids, which targeted 8 stores and 1 residential home, 6 different people were arrested.
Those raids involved very similar details. Macon Judicial Circuit District Attorney David Cooke said that the proprietors (and homeowner) paid out winners either with cash or illegal prizes. At the time, David Cooke said, “These machines make money and plenty of money doing it the fair way. But if you’re breaking the law again we may not get everyone today but we’re going to get everyone we can.”
Thus, the endless push and pull between greed and justice continues. The raids in Thomaston certainly will not be the last such raids in Georgia. Still, the Georgia Lottery Corporation is taking steps to make such operations harder to run.
