Read My 6/13/15 Response To Gary Grief's Letter ... Click Fun 5's Update Page ...The Attorneys Update Their Blog Page 6/11/15 ... Links Left Column ..

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Originally Created: March 16, 2000
Updated: May 29, 2015 - 12:15 PM

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- Part 8 -
The Tax Break Shenanigans of J. Winston Krause

In 2008, Commissioner Krause sued the IRS to get a
refund of interest and penalties he had paid for a disallowed
deduction and income. The disallowed deduction ... he
bought Canadian dollars for $20K; claimed he paid
$2.8 million; he showed a loss of <$2.7 million> yet
he had sold the Canadian dollars for $19.5K. A 2010
5th Circuit of Appeals quote ... "Krause's Tax
" A very interesting and telling story
about the man who Chairs our Lottery.
Part 8 Posted April 6, 2014
A Must Read For Texas Players.
Click graphic above ...


Unbelievable Response!
I Asked Governor Abbott ... When Lottery Players (Consumers)

Feel Wronged by The TLC, Who Can They Call For Help?

My letter to the Governor (5/21/15), Click here (pdf)
Governor's letter to me (5/26/15), Click here (pdf)
(NO, I did NOT alter Abbott's letter)
Gary Grief replies as requested by
Governor Abbott (5/29/15) Click here pdf
NEW - 6/13/15 My reply to Gary Grief's
letter, click here, pdf



Texas' Fun 5's
Scratch Tickets

Fun 5's Scratch
Tickets Not Paying
Face Value of Winnings

See it for yourself. Includes
all details. Click here.

Fun 5's
Questions & Answers

Everything you have been
asking me is covered here!
Posted 9/21/14.
Click here.

Media Coverage - Fun 5's
This is NOT all of them!

ABC - KTRK TV Houston
NBC - KXAS - Dallas
Houston Chronicle
Dallas Morning News
Kens5 - San Antonio - TV.
Dallas Observer
Click 2 - Houston
Fox News
Fox 7 - Austin
Austin American

Good Morning America
(Can't find link)
Channel 11 TV -
Fort Worth - 10/21/14

Courthouse News

Houston Chronicle
Dallas Morning News,
Courthouse News,
Dallas Morning News,
Houston Chronicle,
4 Traders
Courthouse News
News Journal
WacoTrib (AP)


- Jilted Players -
Monopoly Millionaires Club

3 Separate Editorials -
Jan 5, 9, 14, 2015, Click here
NBC, Channel 5, DFW
- by Ken Kalthoff, click here
Past Monopoly Drawing
Results, Click here
Hoosier Lottery Losing Money
(So is Texas), Click here
Official Game Rule (As of
Oct 29, 2014)(word), click here
MMC Audience Selections
Procedures, click here (pdf)
Future participating
states - Click here (pdf)
Draw Sales by State,
Click here

Financial Re-cap of Draws,
Click here

(Watch here for additional
documents to be posted


- Meet Kelly Cripe -
The Spokesperson
For the TX Lottery

She's the person who decided
I didn't need to receive public
information that I pass along
to you every day!
Originally Posted 5/30/12
- Click here -
My response to Cripes
Cease & Desist Letter

Posted 4/21/13,

Click here

We've never seen Cripe
on TV - See the "test"
interview she did prior
to being hired. (A wmv
file - should open in
Windows Media Player
Posted June 23, 2014
Click here

About Texas Triple
Chance Three
Separate Postings

With this letter, I've done
all I can do - Posted
1/30/14. Click here

Is this game a true
lottery game? Is it
legal? Posted
1/20/14, Click here
"Secretly" Proposed.
Details New Game.
Posted 1/7/14,
Click here

Unbelievable Duplicate
Quick Picks

Louisiana players buys 4
tickets, all tickets have
the same numbers.
Very sad. (Nov 7, 2013 -
Updated Nov 12, 2013)
Click here.

Did Gary Grief Lead
The Commissioners
Believe All or Nothing
was born in Texas?

And about that highly
publicized "liability"
Posted 6/8/13.
Click here

Houston Chronicle
Exposes Mr. Grief's
Contractions Regarding
All or Nothing

Here's the answers to all
your questions and the
REAL truth (6/5/13)
Click here

Will Texas Honor
The Rule & The Face
Value of My Scratch

This letter was submitted
to Gary Grief - Director
of the TLC. I'm asking
that my winning tickets
be paid - Unbelievable
story and only the tip
of the iceberg regarding
Texas scratch tickets.
After you read the letter,
tell me - do you think
it's a winning ticket?
Should they pay me?
Posted 12/10/12.
Click here

Texas Player Buys
7 Quick Picks And
Receives 7 Identical

An Unbelievable
Story - Posted 3/15/12,
Click here

Lottery Terminals
Err - Here is
Absolute Proof

Posted 7/12/07 -
Don't let this happen to
you. Check your own
tickets! Click here
Very Interesting.

Editorial & Opinions by Dawn Nettles


5/29/15 - Just a short note to give ya'll a heads up on the latest news.

Breaking news ...
I went to Austin Wednesday to attend the Commission meeting Thursday morning. I suppose the most incredible news is that this was the LAST meeting for 4 of the 5 Texas Lottery Commissioners. Commissioner Krause remains as the Chairman of the Texas Lottery Commission.

There was no mention of who the Governor has appointed to replace the departing Commissioners. My guess is that we'll find out after the session ends next week.

With a fruit basket turn over such as this, you can only imagine the feelings of anxiety TLC executives must be feeling knowing they have FOUR new bosses coming in. WOW - this is big news.

Powerball changes coming ...
Also of great interest to all players is that they have proposed another new rule for Powerball. Mr. Tirloni told the Commissioners that the odds were increasing but that it would be easier for players to win!!!!! I'm not kidding ... that was really said. They are changing the matrix to pick 5 out of 69 then pick 1 out of 26 numbers for the bonus number. (The matrix was 5/59 and 1/35.)

Mr. Tirloni is correct in that it will be easier to win $2 for matching the bonus number but as we all know, we don't buy Powerball tickets in hopes that we "win" $2. (The ticket costs $2 so our "winnings" would be $2) We play to win the jackpot which will be much harder to win. The odds will be 1-in-292,201,333. (They were 1-in-175,223,510)

Can you imagine what I thought when I heard staff telling the commissioners that it will be "easier to win" Powerball? My guess is that they will also promote "easier to win" as they promote the changes just like they did the the last time they changed the rule in 2012.

I will give ya'll complete details on the rule change after I have a chance to read the rule.

Letter from the Governor ...
About the letter I received from the Governor. I promise you - I did not alter that letter. And I agree with you - I don't think anyone read my letter - that's the only conclusion I can come to based on their screwed up reply. I am still waiting to hear from the Governor's Press Office. In their defense, I really think they are too busy dealing with the flooding to handle an issue they can't fix today. So I'll wait until next week before pursuing this issue.

I don't have an anutomated comment section ...
on my site where ya'll can leave comments - someday when I have time - I may add it. But your comments have been entertaining me and definitely worth sharing with everyone. On several subjects - the Governor's letter as well as the Monopoly players who got screwed. I will try to build a special page for you this week-end where I'll do a copy and paste of your comments so I can share what you say to me with everyone who visits my site. Thanks for the comments - they really do make my day.

So - Send me an email if you want me to post a comment from you.
One rule to follow - please NO foul language. OK??? And I can't write your comments from a phone call. Please put in the subject line that it is a comment - OK.

More later ...


5/21/15 - I don't know how many of you heard about the man who won $2 million playing Powerball but was afraid he couldn't collect his money because he wasn't a US citizen so he got his neighbor to collect his winnings for him. After the neighbor collected the money, the neighbor failed to pay him his share so he sued his neighbor. Today the two men settled after a 3 day trial.

Well - it's good they settled but I'm afraid the Texas Lottery will go after both parties now! I say this because IF the man who collected the prize wrote on his claim form that the ticket was his and he bought it, then the TLC may go after him for making fraudulent claim.

It will be interesting to see what happens next - as we all know, the TLC will do almost anything to make a dollar!

Tomorrow or Saturday I will try to post my latest news on the Fun 5's ticket. So watch for it - I think you'll be happy to see that I spoke up for all of us. In the meantime, do watch the attorneys blog page too.

4/28/15 - On Sunday 4/26/15, I posted that the liability shown by G-Tech and the TLC for Saturday's Powerball April 25th drawing was wrong. But as it turns out, I miscalculated and I owe the TLC and G-Tech an apology. I always try to be accurate and most of the time, I am. But this time I erred so I'm going to show you what caused me to make this mistake.

So many of you inquired ... what did this mean, how does it affect the players and how did I figure it out. Now that I've posted that I was mistaken, ya'll are asking, "How did I make this kind of mistake?" To answer this question, it's much easier for me to show you than it is to try to verbally explain it to you ... so here goes.

First, I need to start with what the word "liability" meant. Very simply put, this is the amount that players win from a given drawing. To arrive at the "liability" for any draw, you only need two numbers - how many winners there were and what was the prize amount - called "payouts." Then one multiplies the prize amount by the number of winners for each prize category. Then one totals all prize categories to arrive at the "liability."

So here's how it all came down for me ...
On Saturday night, the Powerball drawing was delayed for some reason so when I called my retailer for the "payouts" - which I do every night - Powerballs results were not in the terminals at that time.

I did all my normal work - Cash 5, Lotto Texas, Pick3, Daily 4 & All or Nothing but I could not do Powerball because I didn't know how many winner there were. I waited for my "official" Powerball reports to come in but the MUSL group was very late that night too. I was so tired that I just couldn't stay up to post the information that I generally post at night. I went to bed without posting the Powerball info.

Now here's where I went wrong ... on Sunday morning, I obtained ... 1) all states total winners, 2) TX winners and 3) California winners from the Powerball website. It had been a very long time since I obtained my TX info from Powerball's website and I had completely forgotten that Powerball's (MUSL) "winners" posting was NOT "user friendly."

Let me show you why I say this - then you should understand how and why I erred. It was an honest mistake. I'm painting you a picture ...

Remember, I initially used Powerballs data and confirmed
them by using G-Tech's report. BIG Mistake!

Pictures are worth a hundred words ...

Powerball's Winners Report

Excerpt - G-Tech's Report

They match! But they don't match TX figures ...

Now see how their number of winners
differ from what the TX Lottery reported ....

Terminal Winners Report (left) & TLC Website (right)

Here's what you get when you ...

Compute Amount Won
Based on Powerball Winners Report
& Confirmed by G-Tech Report - Shown Above

Compute Amount Won
Based on TX Retailers Winners Report
& Confirmed by Texas Lottery Website
Total Winners & Prize Amount Total Payout
Total Winners & Prize Amount Total Payout
Jackpot 0 Jackpot $0
0 x $0 = 0 0 x $1 M $0
1 x $10,000 = $10,000 1 x $10,000 $10,000
25 X $100 = $2,500 31 x $100 $3,100
40 x $100 = $4,000 56 x $100 $5,600
1143 x $7 = $8001 1680 x 7 $11,760
644 X $7 = $4,508 911 x $7 $6,377
4230 x $4 = $16,920 5973 x $4 $23,892
8590 x $4 = $34,360 12,262 x $4 $49,048
Totals: Winners = 14,673 $80,289 Total Winners = 20,914
* Includes PowerPlay Winners
FYI - Powerplay liability not in question
$29,488 FYI - Powerplay liability not in question $29,488
TX Liability 4/25/15 $109,777 TX Liability 4/25/15 $139,265

By using the number of winners as reported by both Powerball and G-Tech,
I concluded the TX Lottery and G-Tech had erred on their liability figures
as they showed the $139K figure but I was getting the $109K figure.
And that's what I posted but as you can see, I was wrong - I
used the wrong data and/or I forgot it was displayed in this manner.

* PowerPlay players MUST be added into the Powerball winners count
because they collect their initial prize from the Powerball prize pool.
The multiplied amount comes from the PowerPlay prize pool.
Example: You pay $3 for your ticket meaning you bought
PowerPlay and you match 1 plus the bonus number which means
you won $8 because you spent that extra dollar. BUT, $4 comes from
Powerball's prize pool and the other $4 comes from the PowerPlay prize pool.


What I had forgotten ...
To determine how many winners there were, one must add
the PowerPlay winners to the Powerball winners when using
Powerballs winners count for Texas.


I generally obtain TX winners from
retailers terminals but they weren't
available Saturday night for Powerball.
IF I had, this is what I would have gotten.


- At a Glance -
Easily See & Compare Number of Winners

TX Posting vs Powerball's Posting



G-Tech's & Powerballs Report Match (1st Column - Reg Shares)

G-Tech's report of winners

Powerball's report of winners


TLC reports TX Powerball winners and a
winners report from the terminals - they match too!

Interestingly, this info is input by G-Tech too!
Go figure! <grin> It's no wonder I'm confused.
I'm getting old and I'm blonde!

The Texas Lottery does inflate the total
number of winners - in my humble opinion.





In concluding my explanation ..
Simply put, I obtained the winners info from sources I generally do not obtain it from. In essence, I input garbage and got garbage out. I goofed and I'm sorry. My sincere apologies to both G-Tech and the Texas Lottery.

Now that I've said this and shown you how I came to err, what's really interesting to me is that neither the Texas Lottery nor G-Tech contacted me to tell me that I had erred. I absolutely do not understand why they would allow me to give them NEGATIVE headlines when they were in the right. Guess they don't figure it was worth it OR maybe they worried that I might show you why I erred - conflicting data will catch up with you eventually!

More later.





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The Lotto Report
Dawn Nettles
P. O. Box 495033
Garland, Texas 75049-5033
(972) 686-0660
(972) 681-1048 Fax

Email me


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