Calif. official questions lottery bash

The state controller says the California Lottery owes the treasury tens of thousands of dollars for prime rib meals and swanky gifts handed out during an employee recognition dinner last fall.

Lotto officials threw the $43,000 bash to commemorate the game's $20 billion contribution to education. But Controller John Chiang says the party went beyond what's acceptable, and he wants most of the money returned to his office.

Lotto workers set up a mock Big Spin game and awarded employees prizes such as a Nintendo Wii, iPods, digital cameras and gift cards to Best Buy and Borders. Some 300 state workers attended the $32-a-plate dinner.

John Mass, chairman of the Lottery Commission, said he thought the event was a great idea and the prizes justified.

"There are different games introduced every month that many of the employees don't know enough about," he said. "This is a fun and unique way to introduce them to the lottery."

Hallye Jordan, Chiang's spokeswoman, said state law requires public money be used to further a department's mission. "We compared those receipts to bills we had paid and determined those events were not in support of the department's mission, nor did it benefit the state," she said.

The lottery's annual employee recognition dinners between 2003 and 2006 never cost more than about $18,000, The Sacramento Bee reported. And 2007 wasn't an especially good year: Lottery commissioners were told last week that sales were down $266 million from 2006.