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Former lottery employee indicted in fraud case

Wednesday, July 20, 2005 | 9:37 a.m.

AUSTIN -- A former Texas Lottery Commission employee is accused of defrauding retailers who sought licenses to sell lottery tickets.

Taneil Gage, 33, was charged with theft by a public servant June 28 and faces up to two years in state jail if convicted. She was free on $3,500 bond.

The scam targeted retailers who didn't meet minimum credit ratings and would have to submit a $5,000 bond with the lottery commission to obtain a license, said Mindy McCracken, an assistant district attorney in Travis County.

Gage allegedly told retailers they could avoid paying the full amount by contacting a woman who would pay it for them if they gave her about 10 percent, McCracken said.

When applicants called that woman, some said they recognized Gage's voice, McCracken said.

"They thought it was fishy and didn't pursue it. It just didn't sound quite right. Unfortunately, some people did fall for it," McCracken said.

The Associated Press could not find a telephone listing for Gage.

Victims included retailers in El Paso, Frisco, Tioga and Houston, according to the indictment. Gage allegedly made between $500 and $1,500 through the scam.

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