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Memo: Iowa Lottery kept selling games after security warning

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August 1st, 2018 by Ric Hanson

DES MOINES, Iowa (AP) ā€” A newly unsealed memo shows the Iowa Lottery kept marketing four popular games despite an August 2015 warning from its security chief that their integrity was compromised.
Steve Bogle, its vice president of security, recommended that the lottery immediately suspend sales of Hot Lotto, Pick 3, Pick 4 and All or Nothing. He told CEO Terry Rich, “we cannot allow the citizens of Iowa to continue playing these games.” Bogle’s recommendation followed an independent audit of the Multi-State Lottery Association, which ran the games using random number generators.

The audit remains secret. But Bogle’s memo says it identified a lack of security protocols and oversight that undermined their integrity. A lottery spokeswoman says Rich rejected Bogle’s recommendation after speaking with the audit’s author, who said there were potential vulnerabilities but no evidence of ongoing manipulation. The memo became public after a judge granted The Des Moines Register’s request for its release in an ongoing lawsuit.