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Michigan Lottery fraud probe leads to two arrests in credit card scheme

After months of digging, police raided homes in two cities, uncovering evidence linked to the Bad Axe fraud case.

The Bad Axe Police Department.
The Bad Axe Police Department recently arrested two suspects related to an investigation into suspicious Michigan Lottery transactions. Photograph credit to Google Maps.
Todd Betzold

Not every lottery story ends with a jackpot — some end with handcuffs. After an extensive investigation into suspicious Michigan Lottery transactions, police executed search warrants in two West Michigan cities.

This led to the arrests of two men tied to an alleged fraud scheme. While their so-called "lucky streak" has run out, this isn't the first time Michigan has been linked to lottery-related fraud.

Two West Michigan men were apprehended

Officers from the Bad Axe Police Department recently executed search warrants at homes in Battle Creek and Kalamazoo Township, according to a press release obtained by the Midland Daily News.

The search warrants were initiated after an “extensive” investigation involving the use of credit cards and the Michigan Lottery, which took place in Bad Axe on January 19, 2025.

The officers, along with the help of the Kalamazoo Department of Public Safety, Kalamazoo Township Police, Battle Creek Police Department, and Michigan Department of Corrections, were able to arrest two suspects.

The two suspects — a 25-year-old Kalamazoo Township man and a 25-year-old Battle Creek man — were both charged in connection with the Bad Axe fraud investigation, as well as probation violations, officials said.

The men are awaiting their arraignments, and their names have not been released pending those arrangements, authorities said.

Similar incident in South Dakota

Back in February, a trio from Michigan were arrested in South Dakota regarding a fraud case. For that case, the suspects tried on two separate occasions to make fraudulent purchases of lottery tickets before they were arrested.

The suspects gave the clerk a credit card, which appeared to be a legitimate card. However, there were special instructions on the back of the card, which told the employee to run the transaction as a cash sale.

On their first attempt, the employee stopped them from using the card. However, the trio was successful in a second attempt on the same day and was able to buy $700 worth of lottery tickets using the fraudulent credit card.

The suspects — 18, 19, and 20 years old — were charged with identity theft, conspiracy to commit a felony, fraudulent use of a credit card, organized retail crime, and possession of a controlled substance, authorities said.

No fraud here

While the suspects above were committing fraud while trying to purchase lottery tickets, a Kent County woman did it the legitimate way and ended up winning $1 million — even though she went to the store wanting to buy a different ticket.

The lucky woman, who chose to remain anonymous, told lottery officials:

The store didn't have the game I wanted to buy, so I decided to try my luck on the Wild Cherry game. I scratched the bar code and scanned the ticket. When I read the message that I needed to file a claim, I thought I had won $10,000.

No, she was missing a few zeroes. The different ticket paid off big time, as she ended up winning the top prize on the $10 Wild Cherry instant game.

She recently visited lottery headquarters to collect her winnings. She opted for the one-time lump sum payment, which gave her about $693,000 after taxes. With those winnings, she told lottery officials she plans on buying a new home and then saving the rest of it.

Enjoy playing the Michigan Lottery, and please remember to play responsibly.

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