When reputed mobster James "Whitey" Bulger announced in 1991 that he had won a one-sixth share of a $14.3 million state lottery jackpot, many suspected the fix was in.
On Monday, federal authorities concluded that Bulger had bought his way into the jackpot, and they moved to freeze the remaining $1.9 million in pre-tax winnings Bulger was to eventually receive.He "wasn't a lucky winner," said U.S. Attorney Donald Stern. "He and others cooked up a scheme, which essentially was an effort to launder money."
Bulger, considered one of the most powerful underworld figures in the Boston area, has been a fugitive since he was indicted on racketeering and extortion charges in January.
Adding intrigue to the case, his brother is William Bulger, president of the state Senate. William Bulger has refused to comment on his brother's legal troubles.
Whitey Bulger had claimed to have a one-sixth stake in the Mass Millions jackpot in July 1991. Federal prosecutors say Michael Linskey was the sole jackpot winner, but Bulger joined with Linskey's brother Patrick and another man and paid Linskey $2 million in cash to split a one-half share of the winnings.
Authorities say Bulger's contribution - $700,000 - came from his organized crime activities, including illegal gambling, loansharking and extortion.
Since 1991, Bulger has received about $320,000 in after-tax winnings. The next check was to be awarded to Linskey this week, but Bulger's one-sixth share was frozen by a federal seizure warrant served on the state lottery commission.
Joy Fallon, a spokeswoman for the U.S. attorney's office, said Bulger was the only one targeted in the complaint. She said the investigation was continuing.
Neither Linskey nor his attorney returned phone calls seeking comment Monday.
As for the money that Bulger already received, Stern said: "If we knew exactly where that money was, we would have seized it today."