NCJ Number
86315
Date Published
1981
Length
6 pages
Annotation
The Benguerra family's illegal numbers gambling operation, although not a significant negative factor in New York City's economy, has undesirable socioeconomic consequences.
Abstract
The bettor in the illegal numbers lotteries bets on any three-digit number from 000 to 999 with any desired amount, and any number of bettors may select the same number. The winning number is determined by summing the amounts to win, place, and show for three specified races at a particular racetrack. In addition to retail numbers firms, there is one large firm (and other smaller ones) that provides a layoff service to the firms dealing with the public. When a retail firm lays off, it turns over its receipts to the layoff firm, which in turn pays all winners. The retail firm and the layoff firm split the profits. The lotteries of the Benguerra family appear to be fair -- winning numbers are not fixed and winners are consistently paid according to the terms of the bet. However, they are linked to extensive corruption of the local police and other public officials both within and outside the criminal justice system. The harm done by corruption is especially great if accepting bribes to overlook illegal gambling leads to a general breakdown of integrity within the police force, including a willingness to overlook other types of illegal activity. While the illegal numbers industry in itself may be relatively harmless, it provides the financial resources for loansharking and the maintenance of an organized criminal enterprise. The future of illegal numbers lotteries appears clouded, because its costs are too high to make it competitive with other forms of gambling.