State auditors critical of Lottery deal

Anne Noble, who stepped down as president of Connecticut Lottery last September, was kept on as a consultant by the board of the quasi-public. Now, state auditors are questioning why she is eligible for pension benefits. less Anne Noble, who stepped down as president of Connecticut Lottery last September, was kept on as a consultant by the board of the quasi-public. Now, state auditors are questioning why she is eligible for pension ... more Photo: Contributed Photo / Contributed Photo Photo: Contributed Photo / Contributed Photo Image 1 of / 6 Caption Close State auditors critical of Lottery deal 1 / 6 Back to Gallery

State auditors on Friday blasted the Connecticut Lottery Corporation for giving a sweet “questionable” retirement deal to the former president of the organization, who left last year to become a consultant in the wake of a failed instant game that was the center of a scandal and arrests.

The revelation led a major legislative critic of the Lottery to say the agency is “out of control.”

The auditors charged that the quasi-public Lottery “will cost taxpayers hundreds of thousands of dollars” in retirement benefits for Ann Noble, who left last year after the Lottery’s 5 Card Cash game was found to be vulnerable to cheating.

“The corporation engaged in an effort to keep government officials and the public from knowing all the facts surrounding the issues related to Ms. Noble’s employment situation and the Department of Consumer Protection’s investigation into cheating on the 5 Card Cash game and how the corporation’s management handled it,” says a scathing, three-page letter to the state comptroller’s retirement services division.

“It appears that the creation of the arrangement in the transition agreement was an attempt to circumvent Ms Noble’s legal requirement to be licensed and to allow her to collect enhanced state benefits (lifetime healthcare and cost of living adjustments) she may not qualify for,” wrote John C. Geragosian and Robert J. Kane, the auditors of public accounts.

Senate Republican Leader Len Fasano, a leading critic of the Lottery Corporation, said Friday night that it’s plain that Frank Farricker, the chairman of the board who is acting president of the Lottery, and the rest of the board neglected their fiduciary duty.

“They tried to get rid of Ann Noble very quietly, out of the sight of the Legislature, no matter what the cost, by finagling the law,” Fasano said in a phone interview. “The Lottery Corporation is totally out of control. They were trying to say her severance pay adds to her years of service. This raises so many questions.”

Farricker, in a brief phone interview on Friday, said it was the decision of the appointed Lottery board to offer Noble the severance, consultancy and retirement arrangement. “I categorically disagree with the findings of the auditors and will be happy to go over the details with them in great detail as soon as possible,” said Farricker, who was appointed chairman of the board by Gov. Dannel P. Malloy.

kdixon@ctpost.com; Twitter: @KenDixonCT