Police seize millions from home as part of Ohio gambling investigation

Friday, Dec. 1, 2000 | 12:09 p.m.

Police seized at least $4 million, some of it hidden in a freezer, from a house as part of an investigation into an alleged illegal charitable gambling operation in several Ohio counties.

Authorities found the money when they raided the home of James H. Jackson, co-founder of Child Care Foundation, Inc. The Akron-based nonprofit organization and other businesses are being investigated for alleged illegal gambling and other criminal activities.

Police estimated they seized $4 million to $5 million from Jackson's home in Tallmadge, near Akron. Hundreds of thousands of dollars were wrapped in aluminum foil and hidden in the freezer, police said.

Ohio Department of Public Safety spokeswoman Julie Ehrhart believes it could be the largest seizure of cash and property in state history.

"If it's not the largest, it's one of the largest," she said Thursday, adding that agents still were tallying the amount.

Authorities executed more than two dozen search warrants and searched 41 bars in six Cincinnati-area counties and at least two properties in Akron on Wednesday and Thursday.

Ehrhart said 146 liquor-law citations had been issued and other evidence was being turned over to the Hamilton County prosecutor's office.

The yearlong investigation centers on allegations that Child Care Foundation fraudulently kept proceeds from pull-tab "tip ticket" gambling games that supposedly benefit the foundation, Ehrhart said.

Robert Wilson, the foundation's attorney and incorporator, said Thursday that the organization did nothing wrong. Jackson, who is a fund-raising consultant to charities, could not be reached for comment because his phone was disconnected. Wilson said Jackson resigned from the charity's board late last year.

Complaints arose that the foundation was splitting profits with the taverns.

Under Ohio law, nonprofit organizations can sell tip-ticket games to the public if all proceeds go to charity. Private companies or taverns cannot profit from the sale of the games.

Agents also seized 22 bingo machines at an Akron warehouse owned by Philip George Jr., another foundation trustee, who operates the Akron-based George Music vending business, an investigator said Thursday.

Philip George Sr., his son's business partner, said Thursday that neither he nor his son would comment.

The foundation's chairman and third founding trustee is Richard L. Jebber of Wadsworth, the founder of the Mattress Warehouse bedding stores. Agents seized business records and about $170,000 from his Akron office.

Jebber is vacationing and was unavailable for comment Thursday.

Wilson, who said he had spoken with Jebber, said the foundation "has completely followed the law."

"The foundation is shocked at the investigation," he said. "There have been no charges or indictments and we're waiting to see what happens."