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

  • 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.

Philip Conneller
Philip Conneller Senior Reporter

In Philip Conneller’s eight years with Casino.org, he has covered the gaming industry from Las Vegas to Macau and everything in between. He currently focuses his coverage on gaming law, white-collar crime, global money laundering, tribal gaming, politics, and regulation.

Philip was the original features editor for poker’s Bluff Magazine and editor for Bluff Europe, which he helped launch. His writing has also been featured in ESPN, Forbes, Time Out, The Sun, and The Daily Star, as well as iGaming Business, eGaming Review, and numerous other industry news and tech websites.

His news stories for Casino.org/news have been linked by The Washington Post, The Daily Mail, People Magazine, and Jimmy Fallon's Tonight Show, among many others.

Philip once won $20,000 with 7-2 off-suit. He has been reprimanded for unwittingly playing Elton John’s piano on two separate occasions on both sides of the Atlantic.

He became a writer because he is a lousy pianist.

Philip lives outside London with his wife and children, where he spends his time agonizing about Arsenal FC.

Contact Philip at philip.conneller@casino.org.

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  • LH
    Lesia Harrod April 12, 2025
    I also have spent thousands of dollars on the jack pocket and lotto.com..I an so upset to only find out this was a fraud… I also have spent thousands of dollars on the jack pocket and lotto.com..I an so upset to only find out this was a fraud
    Reply
  • SB
    Steven Brewer April 12, 2025
    Banning every country from American Lottery is what should be done or else if the US Supreme court gets involved could mean the end of… Banning every country from American Lottery is what should be done or else if the US Supreme court gets involved could mean the end of Lottery's forever in the United States
    Reply

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