OPP LAY CHARGES AFTER INVESTIGATING 2003 LOTTERY WIN

Seeking Victim of $12.5-million Super 7 Scam

ORILLIA, ON, Sept. 29 /CNW/ - Ontario Provincial Police (OPP) have charged three Greater Toronto Area residents following a lengthy investigation into a major prize lottery win in December 2003. Police are also seeking the victim of this fraud - the rightful winner of a 12.5-million dollar lottery prize.

Investigation by the OPP team assigned to conduct lottery investigations has revealed that a father and son were actively stealing lottery tickets from customers at a lottery retail location in Burlington where they were employed. The investigation has also revealed that, after the Lotto Super 7 draw was held on December 26, 2003, the two men provided the winning ticket to a female family member to claim, in an attempt to conceal their association between their criminal activity and the lottery retail location. The lottery prize was paid out in December 2004 by the Ontario Lottery Corporation.

Charged with Fraud Over $5000, Possession Under $5000, Possession Over $5000 (Proceeds of Crime) and Money Laundering are 29-year-old Kathleen CHUNG of Oakville, 60-year-old Jun-Chul CHUNG of Thornhill, and 28-year-old Kenneth CHUNG of Thornhill. Jun-Chul CHUNG and Kenneth CHUNG are also charged with Theft Under $5000 (3 counts each) and Possession Under $5000 (2 counts each).

"The OPP is committed to bring to justice those who would victimize people by defrauding them of their rightful lottery winnings," says OPP Commissioner Chris D. Lewis. "We are also optimistic that publicizing information about this investigation will help us to identify the victim of this $12.5-million fraud."

The OPP Asset Forfeiture Unit has also executed search warrants and seized financial and physical assets belonging to the individuals charged pursuant to a parallel Proceeds of Crime investigation.

All three accused have been detained in custody pending a bail hearing in Milton court on Wednesday, September 29, 2010.

BACKGROUND

OPP Investigations and Enforcement Bureau

The Investigation and Enforcement Bureau is comprised of 153 members of the Ontario Provincial Police (OPP).

There are 55 Inspectors with the Alcohol and Gaming Commission of Ontario (AGCO), who are designated as Provincial Offences Officers for the purposes of the Liquor License Act and the Gaming Control Act.

The Bureau Commander is Chief Superintendent Dave Crane, who reports to the Deputy Commissioner, OPP Investigations & Organized Crime, and the C.E.O. of the Alcohol and Gaming Commission of Ontario (AGCO).

The Bureau provides strategic enforcement that is targeted, proactive, and designed for maximum deterrence as a component of prevention, and intended to ensure that the gaming, alcohol and lottery industries are conducted honestly and are free from criminal elements and activity.

The Bureau is made up of two branches: The Gaming Enforcement Branch and the Inspection and Investigation Branch, which is headed by Inspector William Price (based in Toronto).

Effective January 1, 2008, the OPP Bureau at the AGCO was assigned responsibility to investigate insider wins by persons regulated by the AGCO and suspicious wins for lotteries conducted and managed by Ontario Lottery and Gaming (OLG).

BACKGROUND

OPP Asset Forfeiture Unit

The role of the OPP Asset Forfeiture Unit (AFU) is to assist with the identification, seizure, restraint and forfeiture of offence-related property and proceeds of crime. The authority for this legislation is found in the Criminal Code and specifies that it applies to "any property, benefit or advantage derived from the commission of designated offences". The legislation allowing for criminal and civil asset forfeiture supports our two main goals which are that crime shouldn't pay; and, property shouldn't be used for criminal means.

Dismantling the financial infrastructure of a criminal enterprise and removing property that facilitates crime are effective methods to suppress criminal activities, therefore mitigating the devastating impact they have in our communities.

Assets are either seized as part of police investigations or through a referral made to the Ministry of the Attorney-General's Civil Remedies for Illicit Activities (CRIA) office. The seized assets go through a criminal process and are usually forfeited through the court. Assets or properties that are forfeited by way of a civil process are achieved through the CRIA office, independently from the police.

2006 --	Total number of AFU Investigations	=	355
	Approx. value of seizures / restraints	=	$ 25.5 m
	Approx. value of forfeitures	=	$ 5.5 m
2007 --	Total number of AFU Investigations	=	599
	Approx. value of seizures / restraints	=	$ 37.5 m
	Approx. value of forfeitures	=	$ 4.3 m
2008 --	Total number of AFU Investigations	=	705
	Approx. value of seizures / restraints	=	$ 31.7 m
	Approx. value of forfeitures	=	$ 6.4 m
2009 --	Total number of AFU Investigations	=	648
	Approx. value of seizures / restraints	=	$ 44.4 m
	Approx. value of forfeitures	=	$ 5.3 m
^12010 --	Total number of AFU Investigations	=	442
	Approx. value of seizures / restraints	=	$ 13.6 m
	Approx. value of forfeitures	=	$ 9.5 m

NOTE: The dollar values listed represent an estimate of the value of the assets and property OPP has seized or restrained and removed from the criminal economy.

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¹ Year to Date: January 1, 2010 to August 31,2010.

For further information:

Inspector William PRICE, Director, OPP Inspection and Investigation Branch, Alcohol & Gaming Commission of Ontario, [phone], www.opp.ca