Tag Archives: state lotteries

Morning Ethics Warm-Up, 1/5/2018: Brrrrrrr!… “Hey!”… Duh!… And “WHAT?”

G-g-g-good M-m-m-morning!

1 Enforcing societal standards in the cold. Today, as we ran errands in 13 degree weather and gusting winds to fetch my sick son some chicken soup and DayQuil, my wife witnessed the following episode at the 7-11. With a long line behind him, a man stood at the register meticulously picking lottery numbers. A woman in line confronted him directly, saying, “You came out in this cold just to waste your money on the lottery? You’re sick. Save your money. Be responsible. Get help”

Brava.

Driving home, we saw many parents walking their children to Alexandria schools (which delayed their opening here two hours.) At an intersection near the school across a parking lot from our home, my wife and I saw a young girl, maybe seven or eight, with her father, about to cross the street. The girl had a winter jacket on and a hat, but only thin leggings and—get this—sneakers with no socks. The wind chill outside here is estimated at -4.

We didn’t say anything to the father. Should we have? I think so.

2. More state lottery ethics. Speaking of unethical state lotteries, which could only become ethical if the states eliminated them, you will recall Item #4 in the 12/28/17 warm-up, about how South Carolina had bollixed up its lottery and is deciding whether to stiff the winners, since there were far too many of them thanks to computer programming error. That state needs to follow the ethical example of Connecticut.

After an error was discovered in how the drawing was handled—involving 100,000 tickets—the lottery posted a notice on its official website saying there was indeed a problem with the drawing, and that “due to an error in the range of tickets eligible for the Super Draw drawing, a second drawing will take place shortly. HOLD ALL TICKETS.” Later it announced,  through this statement from Interim Lottery President & CEO Chelsea Turner: Continue reading

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Morning Ethics Warm-Up, 12/28/2017: Bad Lawyer, Bad Losers, Bad Lottery, Bad Policy

 

GOOD MORNING!

1 Gee, I wonder how this happened? I’m doing a year-end legal ethics seminar for D.C. Bar members this afternoon, and this story showed up in time for me to use. A federal jury has found Evan Greebel, the former lawyer for convicted fraudster Martin “Pharma Bro” Shkreli guilty of helping the fick pharmaceutical executive craft a scam to repay defrauded investors. You remember Shkreli—this guy, who entered the Hall of Infamy for his unapologetic price-gouging of the HIV drug Daraprim after he bought the rights to the drug and  then hiked its price from $13.50 to $750.

Prosecutors  claimed Greebel, Shkreli’s lawyer during  scheme, gave his client detailed advice on how to pay off investors in his  hedge funds, MSMB Capital and MSMB Healthcare, with his company’s  funds, as well as how to circumvent trading restrictions. He was also was accused of participating in fraudulent backdating of documents and helping draft phony settlement and consulting agreements. Greebel’s lawyers countered that Shkreli was an evil manipulator who dragged his own lawyers, unaware, into his crimes. his own lawyers. Greebel, they said, acted in good faith as the outside attorney for Shkreli’s company, and lacked criminal intent.

The news story ends with this:

“Greebel, a partner with Katten Muchin Rosenman, saw his annual salary triple from $355,000 in fiscal year 2013 to $900,000 in 2014, when he was advising Shkreli.”

The moral: Nothing freezes ethics alarms like a lot of money.

2. What do Roy Moore, Al Gore and Hillary Clinton have in common? They are lousy losers. Moore, the horrible GOP candidate for the empty Alabama Senate seat, has filed a lawsuit to try to stop Alabama from certifying Democrat Doug Jones as the winner of the U.S. Senate race. Moore lost by 20,000 votes, but insists that there were irregularities. He wants a fraud investigation and a new election. Once upon a time, even the losers in close elections where some funny things went on conceded gracefully and accepted the results. This was a traditional demonstration of respect for the system and democracy, and girded our elections from cynicism and distrust. Even Samuel J. Tilden, the Democrat who was cheated out of the Presidency despite winning both the popular and the electoral vote, acceded to the back room deal that gave Hayes the victory.

No longer. Al Gore permanently killed that tradition in 2000, and Hillary’s minions set the corpse on fire in 2016. Now losing candidates can be expected to exploit any excuse imaginable to try to reverse election results. This is a dangerous slippery slope the endless Florida recount put us on, and I fear that it will eventually slide into violence. Better that the occasional election be won illicitly than to have every election be a potential court case.

In other news, the determination of a tie-breaker to settle who won a decisive seat in Virginia’s House of Delegates has been delayed after lawyers representing Democratic candidate Shelly Simonds filed a motion asking a trio of circuit court judges to reconsider their decision to allow a controversial ballot to be counted as a vote cast for her Republican opponent.

Of course! Continue reading

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Ethics Quiz: From The Ethics Alarms Mailbag…

burningmoneyimageReader and sometime commenter Elizabeth 2 e-mails…

Here’s a question for which I’d appreciate some input.

I am generally a sucker for street people who ask for money. I frequent the 7-11 for quick trips for needed household items, and over the past couple of months I’ve often seen a young woman outside, just sitting there.  She once asked me if I had any spare change:  I gave her $10.  A couple of weeks later, same question, same response.

Then a month or so after I had last given her money, I was in the same 7-11 and saw her buying lottery tickets.

Last week she saw me as I entered the 7-11, recognized me, and asked me again for “spare change.” I said “I don’t have any cash at all.  Sorry!”  I was not of a mind to help this young woman use my charity for the biggest scam of all time:  the Virginia Lottery.

My question is this:  if I am willing to part with money for a person who seems to need it, and to do so without the vetting that a charity usually gets from me, am I in any position at all to care or change my behavior because of the way the money is spent?  Admittedly I have no ability to realistically judge the true need of anyone who asks me for money, but if I have some evidence that makes me wary, should I act on it?

Or, since charity (monetary or otherwise) is an important pillar of character for me, should I simply give what I can when I can and make no judgement whatsoever?  After all, these people don’t have Form 990s for me to examine.

Your Ethics Alarms Ethics Quiz of the Day:

Is it ethical to withhold charity from a needy individual because you regard her likely use of your gift as irresponsible?

Continue reading

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Annals Of The Ethics Incompleteness Theorem: The Snuggle House And “The Dress Code Effect”

Awww! Who could object to a little snuggle?

Awww! Who could object to a little snuggle?

Almost any rule, low or ethical principle can be deconstructed using what I call border anomalies. The first time I was aware of it was as a Harvard freshman in the late Sixties, when all assumptions, good and bad, useful and not, were considered inherently suspect. The college required all students to wear jackets and ties to meals at the student union, and up until my first year, nobody objected. But that fall, my classmates set out to crack the dress code, so they showed up for meals with ties, jackets, and no pants, or wearing belts as ties, or barefoot. (Yes, there were a lot of future lawyers in that class.) Pretty soon Harvard gave up, because litigating what constitutes ties, jackets and “proper dress” became ridiculously time-consuming and made the administration look petty and stupid. Of course, there are good reasons for dress codes—they are called respect, dignity, community and civility—-but never mind: the dress code couldn’t stand against those determined to destroy them by sending them down the slippery slope.

If any rules are to survive to assist society in maintaining important behavioral standards, we have to determine how we want to handle the  effects described by  the Ethics Incompleteness Theory, which holds that even the best rules and laws will be inevitably subjected to anomalous situations on their borders, regarding which strict enforcement will result in absurd or unjust results. The conservative approach to this dilemma is to strictly apply the law, rule or principle anyway, and accept the resulting bad result as a price for having consistent standards. The liberal approach is no better: it demands amending  rules to deal with the anomalies, leading to vague rules with no integrity—and even more anomalies. The best solution, in my view, is to regard the anomalies as exceptions, and to handle them fairly, reasonably and justly using basic principles of ethics, not strictly applying  the rule or law alone while leaving it intact. Continue reading

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Ethics Quote Of The Week: Washington Post Columnist Michael Gerson

casino_large

“Most theorists of self-government have maintained that certain modest virtues are necessary to democracy and free markets: deferred gratification, diligence, a prudent concern for the future. There is an ongoing American debate about the degree to which government can or should promote such virtues. But here is an extraordinary case of government actively undermining the moral underpinnings of market capitalism for its own benefit. It holds out the promise of sudden wealth without work or productive investment, engaging in a purposeful and profitable deception. A corrupting fantasy becomes a revenue stream, dependent on persuading new generations to embrace it. Perhaps we have given up on government as a source of moral improvement. Does this mean we must accept a government that profits by undermining public virtues? Nearly 20 years ago, William Galston and David Wasserman wrote, “While history indicates that gambling is too ubiquitous to suppress, moral considerations suggest that it is too harmful to encourage. The most appropriate state stance toward gambling is not encouragement, but rather containment.”’

——- Washington Post op-ed columnist Michael Gerson, on the implications of a new report by the Institute For American Values titled, “Why Casinos Matter.” Continue reading

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Bizarro World Ethics in North Carolina

bizarro_world

Also known as “North Carolina”…

The Bizarro planet, occasionally mentioned on “Seinfeld,” was a humorous feature in Superman comics, a cube-shaped planet populated by flawed clones of Superman and Lois Lane. Nothing made sense on the Bizaaro world, since its denizens were sub-cretinous, their traditions absurd, and their logic inverted. They threw away food and ate the plates—that sort of thing, hilarious if you’re a nine-year old boy in 1962.

I sometimes refer to “Bizarro World ethics,” which invokes the principle that it is difficult, if not impossible, to be ethical in a culture where a lack of ethics is the norm, just as behaving normally with Bizarro Supie and Bizarro Lois would be rude and confusing to them. This is the dilemma facing North Carolina, which is apparently trying to devise an ethical way to run a state lottery. That is a hopeless goal. It is like insisting on clean mud-wrestling, non-violent Jason Statham films, or healthy junk food. State-run lotteries are by definition unethical. The states that run them, and almost all do, have traded principle for encouraging and endorsing activities they once declared harmful and criminal, as a cowardly way to acquire revenue without paying the political price of raising taxes.

By doing this, they… Continue reading

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Maryland’s Question 7: A Lesson in Progressive Corruption

Think of the children!

Maryland is supposedly one of the most progressive states in the country. One can make one’s own calculations about what it means that such a state is ready to wholeheartedly embrace government-sanctioned gambling as the easy and cowardly solution to its fiscal problems, despite the fact that the populations most harmed by gambling are the very people good progressives are supposed to care about most. My assessment is that resorting to gambling for state revenue is irresponsible, callous, venal and hypocritical. But an unholy alliance of cynical liberals, who argue for gambling because its ill-gotten tax revenue will support education (and we all know that the more money you pay teachers, the better educated our children will be), greedy business interests, and libertarians, who regard gambling as “victimless,” is now poised to add casino table gambling to the state’s sanctioned traps for its poor, desperate, dumb, corrupt and addicted. should Maryland’s voters approve “Question 7” on the ballot November 6th.

How progressive. Continue reading

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