Texas Lottery Winner Sues Over Alleged $95M Jackpot ‘Rigged’ by European Syndicate

Posted on: April 10, 2025, 05:40h. 

Last updated on: April 11, 2025, 09:18h.

Philip Conneller @casinoorgphilc Read More
Expertise: Gaming Business, Regulation, Tribal Gaming.
  • Fort Worth man Jerry Reed won $7.5M in the Texas Lottery in May 2023
  • Reed claims he lost out on $95M due to a syndicate rigging the April 22 draw
  • The syndicate bought 25.8M tickets—covering every possible combination

A Forth Worth, Texas man who won a $7.5 million lottery jackpot in May 2023 claims he was denied a windfall of $100 million because a shadowy European gambling syndicate gamed the system.

Texas Lottery, Jerry Reed lawsuit, Rook TX, Colossus Bets Texas, lottery syndicate
Jerry Reed won $7.5 million in May 2023 but now claims he was cheated out of a $102.5 million jackpot by a lottery syndicate that bought up all the numbers. (Image: Texas.gov)

Jerry Reed hit the jackpot the week after the syndicate bought 25.8 million tickets for the April 22, 2023 draw at $1 each. This allowed the syndicate to cover every possible combination, meaning it was at least guaranteed to share the $95 million jackpot and most of the secondary prizes as well.

Reed claims in a new lawsuit filed in the Travis County Court in Austin that the syndicate engaged in an “illegal money laundering and game-rigging scheme.” Had this not occurred, the jackpot would have rolled over, as there were no other winners, meaning Reed would have won $102.5 million instead of $7.5 million.

Colossus Bets, Couriers Accused

The suit names RookTX, a Delaware-incorporated shell company that was set up to claim the prize, as well as Colossus Bets, a London-based parimutuel betting site which, it has been alleged, may have bankrolled the operation.

The suit also names four lottery courier and retail companies — Lottery.com, Lottery Now, Inc., ALTX Management, LLC, and Qawi and Quddus, Inc. — which facilitated the syndicate’s bulk-buy purchase.

While the syndicate’s actions certainly spoiled the lottery for ordinary Texans that week, there’s nothing in the rules that says you can’t buy up all the combinations of numbers.

Perhaps that’s because there was previously no need. Before the advent of lottery couriers, it would have been impossible.

‘Counterfeit QR Codes’

Couriers allow players to purchase their tickets through an app. The business then fulfills the order by acquiring tickets through a licensed land-based lottery retailer, which are then scanned by the courier and sent back to the customer.

Because couriers deal with tickets in volume, they use licensed retailers specially equipped with multiple lottery terminals to fulfill bulk orders. The couriers may also own such outlets themselves.

Reed’s lawsuit claims the retailers “used custom-designed software, loaded onto smartphones, to generate a system of counterfeit QR codes that tricked the state-approved Texas Lottery terminals into recognizing the codes as if they had been generated by the Texas Lottery Commission’s authorized mobile app.”

Reed claims the defendants broke Texas law by “intentionally or knowingly claiming a lottery prize or share of a prize by means of fraud, deceit, or misrepresentation.”

He is seeking “recovery of funds fraudulently and illegally obtained” by the defendants.