James,
Originally the Texas lottery was sold to Texans as being a perfect way to raise funding for Texas schools without taxing people who didn't want to be taxed. We were promised the money would go, 100%, to the schools.
Texans voted for it. Then it came out that the money was not going to schools. The explanation from the state was "it goes to the general fund of Texas, and we can't designate how the general fund will be used."
Texans screamed foul. At the risk of being voted out of office the legislature quickly moved to fix that.
Then the lottery commissioner started lying about how much the lottery would pay off. That caused a law suit. During that trial it came out that the low-bid contracter was not given the contract, as state law would have required.
The corruption started with Ann Richard's administration. She gave the contract to GTech, and a political buddy named Ben Barnes. Barnes got a percentage of the gross - about $3 million a year.
During that investigation the fact that the GTech contract was not bid on came out. GTech fired Barnes and paid him $23 million to stay quiet about everything he knew.
Barnes, the guy paid $3 million a year by Ann Richard's buddies and then $23 million to stay quiet (also paid by Ann Richard's buddies) is the same person who told Dan Rather that he personally got kept Presidnet Bush out of Vietnam. (Real man of integrity.)
Also during the Bush governor's administration, Nora Linares was fired by the Lottery Commission because she of questionable business practices which included not objecting to GTech hiring Ben Barnes, even though she knew his hiring violated a state law against hiring former state officials as a lobbyist, and for hiring her own boyfriend.
Bush appointed Miers, Miers took in 700 job applications, hired a man named Littman for $100,000 a year. (A huge difference in what Barnes was making.) Littman asked for an audit, since he discovered GTech had not been audited since Richards gave them the contract and Texas law requierd audits be done. Littman put the contract up for open bid.
Miers ordered him to stop the investigation and fired him. He sued for wrongful termination. GTech settled with him out of court for $300,000.