I have received a letter in the mail from "Primary Lottery Gaming Corporation" Stating I have won som money. Along with the letter was a check for $3,750.00. I called the number on the letter and they said I need to cash or deposit the check and send them the taxes that are dues for the amount that I have won. The Check looks legit, however, I am very nervous about cashing it. Does this sound legitimate?
2007-05-19 21:21:08 · 4 answers · asked by Amy A 1 in Business & Finance ➔ Other - Business & Finance
I received the exact same letter, I found this posting when I googled for 'Primary Lottery Gaming Corporation'. The letter says 6 people won the lottery, meaning that you and I would be 2 of them, and 4 other very lucky people would have received this letter. I find that highly doubtful!
Just for laughs, my "serial numbers" on my "ticket" were FS 004380011, unless they have some smart software changing the form letter, I bet yours has the same numbers too.
No doubt this is a scam, but I am not sure 100% how it works, so I'm just going through what's in my head. Let's say the $3,750 check is legit, it looks pretty real to me, but it's not going to be anywhere near the tax amount of the $250,000 you supposedly won.
According to Fool.com: "If you win more than $5,000 in the lottery, 28% must be withheld from your winnings for federal income tax purposes", so the tax due is $70,000 at the very least. So even if you did win a quarter million dollars and deposited that check, you're still owing $66,250 (at the minimum, you may owe more based on your income, etc).
So I think what will happen is that they call you up asking you to send the remaining $66,250 for 'tax purposes', then they can send you the remaining $180,000. After you've sent this money, what are the chances of them just running away with your cash and never being heard from again? How long will you wait around for your $180,000? Note that these guys are located in the Virgin Islands. Good luck taking them to court, Mr. Moneybags!
I've never won a quarter million, but from my understanding, casinos deduct your tax liability for you and give you the remaining winnings (and tax form), so none of this 'pre pay your taxes' business ever takes place there. If this was a legit lottery, they'd just send you a check with the maximum tax amount already deducted for you to deposit, free and clear.
The letter also mentions that the tax amount is to be paid via Moneygram or Western Union, which is a real red flag right there. You pay the government yourself, not these guys, or they pay for you from winnings before sending it to you. Once you send your $66 grand via wire, it's bye bye money forever.
My advice? Tear up the check and throw it away. However, I could use a few bucks myself, I've got a growing family and a little bit of cash in my pocket is always welcome. I'm tempted to cash it into one of these cash checking places and not into my bank account. You'll pay a stiff fee for that (if they find the check legit, or if they even accept the check the first place), but if you're thinking 'Yay, I won $3,750!' and forget the promised quarter million, maybe you'll come out ahead. The check doesn't have the weasel boilerplate making you obligated to do anything, like those 'checks' you get to get you to switch your long distance or sign you up for credit card services you don't want or need.
A word of caution, they can get some information about you when they receive the canceled check if you deposit it in your checking account, and being located offshore gives them some leeway to try out some tricks they can't do in the States, such as forge a direct withdrawal order from your bank account, etc, at least without the US law enforcement being able to do anything about it.
Remember, all of this is speculation on my part, I don't have any extra information you don't, this is just my 'common sense' take on the red flags I'm seeing!
Good luck - if you do cash the check (in a check cashing place), let us know how it works for you!
-Derrick
P.S. The name of the company on the check I recieved was from "Syncrolite LP", which seems to be a company which manufactures arc lamps and the like. No idea why they would be issuing lottery checks. Curiouser and curiouser! I'm sending them an e-mail to see what they have to say about it.
2007-05-21 16:49:43 · answer #1 · answered by Derrick 1 · 0⤊ 0⤋
I am lucky #3, I too have the same letter that you guys received. I am sure that it is a scam so I'm not going to be cashing this check. I feel that they either want access to your bank account or for you to send them the money from this fake check. After cashing such a check you are liable to pay back the money to bank that cashes the phony check once it bounces. I still have my check as of now just trying to get the courage to destroy a check for $3750 made out to me. Good Luck.
2007-05-22 10:41:50 · answer #2 · answered by CANDY 2 · 0⤊ 0⤋
what i would do is google the company name from the check and see what people has to say on this company and if the company has a web side to call them up directly and ask them if they have issued you the check
2007-05-20 04:35:29 · answer #3 · answered by rosenbejac 2 · 0⤊ 0⤋
It's a SCAM.
2007-05-20 04:30:09 · answer #4 · answered by newyorkgal71 7 · 0⤊ 0⤋