Lt. Gov. Jennifer Carroll abruptly resigned amid law
enforcement questions about a Florida Internet sweepstakes company at the
center of a nationwide criminal investigation.
Florida Department of Law Enforcement interviewed Carroll Monday about
her connections to the company, Allied Veterans of the World, a Florida-based
non-profit that operates a chain of Internet cafes.
Carroll once owned a public relations firm that represented Allied
Veterans, and she did work for the company at the same time she served in the
Florida House. She resigned Tuesday.
It's unclear if Carroll is the target of any criminal charges. Attorney
General Pam Bondi and law enforcement officials have scheduled a 2:30 p.m.
press conference in Orlando to discuss the case. Gov. Rick Scott also has
announced an afternoon press conference.
On Monday, leaders of the company and the head of Jacksonville's police
union were arrested on charges of racketeering and money laundering.
Investigators
Gov. Rick Scott's chief of staff, Adam Hollingsworth, said in a
statement, that Carroll had "consulted" for Allied Veterans while serving as a
member of the Florida House of Representatives in 2009 and 2010, and had been
interviewed Monday by Florida Department of Law Enforcement officers
"regarding her work with the company."
"Lt. Gov. Carroll resigned in an effort to keep her former affiliations
with the company from distracting from the administration's important work on
behalf of Florida families," Hollingsworth said. "She made the right decision
for the state and her family."
In her two-sentence resignation letter, Carroll made no mention of the
probe or her reason for resigning.
Investigators said that Allied Veterans tried to scheme and defraud the
public and governmental agencies by misrepresenting how much of its proceeds
were donated to charities affiliated with Veterans Administration. The
Internal Revenue Service, Secret Service, FDLE and sheriff's offices in
Jacksonville and elsewhere are all part of the criminal investigation.
Carroll's public relations firm, 3 N. and J.C. Corporation, is currently
inactive, according to the Florida Division of Corporations. Scott's office
said in 2011 that Carroll had ended her affiliation with Allied Veterans.
In 2010, Carroll was criticized for introducing legislation to legalize
sweepstakes games such as those in cafes operated by Allied Veterans. Carroll
later withdrew the proposed law, saying it was filed erroneously and that she
wasn't interested in legalizing internet cafes, the Florida Times-Union
reported.
Internet cafes are big business in Florida. Since 2007, as many as 1,000
have popped up across the state, according to industry estimates, raking in $1
billion a year.
Customers buy Internet time loaded onto a card and get free sweepstakes
entries they can reveal by playing games on computer screens that mimic slot
machines.
Allied is a big player in Florida. In 2011, it had 40 locations
statewide. Allied has spent hundreds of thousands of dollars on state
lobbyists and contributed $25,000 for a Scott/Carroll inauguration event.
In addition to arrests in Jacksonville, authorities in Oklahoma have
arrested the owner of a technology firm, International Internet Technologies,
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News Column
Florida Lt. Governor Resign Admist Scandal
March 13, 2013
Tia Mitchell and Mary Ellen Klas
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