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She cried, confessed, then hit the casino
St. Paul Pioneer Press (Minnesota) ^ | 9/20/06 | DAVID HANNERS

Posted on 09/21/2006 9:29:14 AM PDT by kiriath_jearim

Less than a day after she was sentenced to probation for stealing more than $200,000 to support a gambling habit, a former Ramsey County sheriff's deputy was back at the casino.

Prosecutors said Tuesday that after her sentencing this month, Lori Elizabeth Kratzke wasted little time in feeding her addiction, embarking on a 14-hour "gambling spree" at Treasure Island Resort & Casino near Red Wing, Minn.

The transgression moved Ramsey County District Judge Elena Ostby, who on Sept. 5 placed Kratzke on probation for 20 years, to have the woman immediately taken into custody to serve 30 days in jail.

The judge also ordered Kratzke to stay away from all forms of gambling — from casinos to pull-tabs — and to seek counseling for her gambling problem, something the woman had earlier promised she would do, but didn't.

"It's definitely an unfortunate thing. It illustrates how powerful these gambling addictions can be and how difficult they are to overcome," said Brock Hunter, a Minneapolis lawyer representing Kratzke.

Tuesday's hearing was the latest twist in the case involving Kratzke, 43, who admitted stealing money from county funds she oversaw in the sheriff's department, where she worked for 18 years.

Sheriff's department officials began spotting discrepancies in the county's property foreclosure sales and escrow accounts in early 2005. An investigation led to Kratzke, who resigned and admitted to pilfering $211,165.

She eventually pleaded guilty to three counts of theft by swindle. At her sentencing this month, Kratzke tearfully apologized to the sheriff, her former colleagues and the court, and said she accepted responsibility for her actions.

Ostby noted at the time that Kratzke seemed genuinely remorseful. She said the former deputy was amenable to counseling and eager to pay restitution. The judge sentenced Kratzke to a maximum of 39 months in prison but stayed the sentence for 20 years.

Ostby said she was keeping the woman out of prison so she could hold a job, earn money and pay restitution. Although the judge said Kratzke should undergo counseling for problem gambling, she did not specifically bar her from wagering.

Kratzke's original sentence included 210 days in the Ramsey County workhouse, which Ostby said she could begin serving in October. The new 30-day sentence is in addition to that.

Assistant Ramsey County Attorney Laura Rosenthal argued Kratzke's actions outside the courtroom didn't match her words inside it. She hadn't met with probation officers and hadn't undergone counseling for what has been diagnosed as "pathological gambling."

More tellingly, Kratzke "has chosen to spend numerous hours at Treasure Island Casino gambling," Rosenthal said. Prosecutors began looking into Kratzke after getting a tip, said Jack Rhodes, a spokesman for the Ramsey County Attorney's office.

On Sept. 6, the day after her sentencing, Kratzke won a $2,000 jackpot, Rosenthal said. She won $18,100 over Sept. 10 and 11, according to federal tax forms Kratzke signed. She was seen gambling there as recently as Sunday, Rosenthal told the court.

Kratzke made the trips to the casino with Shelly Novak, who identified herself in court filings as Kratzke's partner of eight years. Novak signed for the Sept. 6 jackpot winnings, Rosenthal said, and allowed Kratzke to use her "Players Card" when gambling.

On the eve of Kratzke's sentencing, Novak had written to Ostby and pleaded for leniency, saying that what the woman had done "is completely out of character."

"I must begin by saying that Lori's admission of guilt in this case is a sign of her good character," Novak wrote in the Aug. 28 letter. "I know first hand that she takes full responsibility for her actions."

Kratzke admitted to siphoning $110,000 from the sheriff's civil process escrow account and using part of the money to pay her mortgage. She also admitted to taking the escrow payments from two sales, totaling $101,165, and keeping them.

Investigators who searched her home in August 2005 found tax forms from the casino showing she had won more than $400,000 over a few weeks.

She also apparently lost a sizeable amount. Ramsey County Sheriff Bob Fletcher said it had appeared Kratzke was trying to win big at the casino so she could pay back what she had stolen

Despite her recent winnings at Treasure Island, Kratzke "has not taken the restitution obligation seriously and has instead gambled away monies which could have been applied to the court," Rosenthal told the judge.

Ostby ordered Kratzke to find a job immediately after serving her 30-day sentence. She was also ordered to undergo treatment for gambling and attend Gamblers Anonymous meetings at least three times a week.


TOPICS: Crime/Corruption; Culture/Society; Government; US: Minnesota
KEYWORDS: donutwatch; shecriedsoitsok
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1 posted on 09/21/2006 9:29:15 AM PDT by kiriath_jearim
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To: kiriath_jearim

2 posted on 09/21/2006 9:31:07 AM PDT by martin_fierro (< |:)~)
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To: kiriath_jearim

She only got PROBATION for stealing $200,000 from her employer??


3 posted on 09/21/2006 9:33:46 AM PDT by Old Grumpy
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To: kiriath_jearim

14 hours at a casino?

The most I've ever spent was four hours - and that included eating dinner too.

OTOH, I love dog racing. We used to have a dog track up here in the metro area - but it closed.

Now, I only play the dogs when I'm done in Florida.


4 posted on 09/21/2006 9:35:12 AM PDT by MplsSteve
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To: kiriath_jearim

I remember the story about a Detroit cop blowing his brains out in a Detroit casino after losing more than his yearly salary.

Aside from the question about where he got the money, the fact that he left a wife and children behind made it truely tragic.


5 posted on 09/21/2006 9:35:41 AM PDT by cripplecreek (If stupidity got us into this mess, then why can't it get us out?)
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To: Old Grumpy

public 'servant'


6 posted on 09/21/2006 9:35:54 AM PDT by The Red Zone
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To: kiriath_jearim
Tuesday's hearing was the latest twist in the case involving Kratzke, 43, who admitted stealing money from county funds she oversaw in the sheriff's department, where she worked for 18 years.

Keyword- Donutwatch added

7 posted on 09/21/2006 9:35:55 AM PDT by beltfed308 (Nanny Statists are Ameba's.)
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To: martin_fierro

Guilty! (I was prepared to show leniency based on the hotness factor, clearly that is not to be applied in this case)


8 posted on 09/21/2006 9:39:42 AM PDT by isom35
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To: Old Grumpy
She only got PROBATION for stealing $200,000 from her employer??

Don't worry, it was only taxpayer money. Probably upset that she couldn't marry her homo girlfriend enabler. This is what you get when you go easy on criminals.

9 posted on 09/21/2006 9:45:59 AM PDT by subterfuge (Do your part to educate a Democrat and keep on FReeping!!)
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To: isom35
Well, typical SOP for a crime committing female is to put on a crying jag to get sympathy and therefore get a lesser sentence. I think that any woman that does that on the stand should get extra time for criminal intent to manipulate honest punishment for their deeds. I see the MO everyday with young women that work for me that get into trouble and are clearly at fault. First thing they do, start to cry and look around to see if anyone is watching. I don't buy it so I am a "hardass".
10 posted on 09/21/2006 9:46:46 AM PDT by vetvetdoug
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To: martin_fierro

Come on! Thats a man! Probably got off easy due to the fact that she's a lesbian.


11 posted on 09/21/2006 9:47:36 AM PDT by subterfuge (Do your part to educate a Democrat and keep on FReeping!!)
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To: vetvetdoug

A vagina is a get-out-of-jail-free card.


12 posted on 09/21/2006 9:49:58 AM PDT by ElTiante
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To: ElTiante

Judging by the pic, she uses hers a little differently...


13 posted on 09/21/2006 9:55:07 AM PDT by ErnBatavia (Meep Meep)
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To: ElTiante

If it weren't for a significant purpose of it there would be a bounty on them.


14 posted on 09/21/2006 9:55:28 AM PDT by vetvetdoug
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To: kiriath_jearim

But... you don't understand! That machine was due to hit! It had to hit eventually, and I HAD to win that money BACK! YOU DON'T KNOW!!!!

/gambler mentality


15 posted on 09/21/2006 9:56:12 AM PDT by Jhensy
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To: kiriath_jearim
Ostby noted at the time that Kratzke seemed genuinely remorseful.

They always do, Judge. They always do.

16 posted on 09/21/2006 10:02:47 AM PDT by TankerKC (Step Back! Doors Closing.)
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To: Old Grumpy
County money from taxes -- it's not like it's real money -- the county will just reassess all the properties.
17 posted on 09/21/2006 10:03:44 AM PDT by Beckwith (The dhimmicrats and liberal media have chosen sides and they've sided with the Jihadists.)
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To: ElTiante

OJ and Martha Stewart say you're wrong.


18 posted on 09/21/2006 10:04:10 AM PDT by CaptainK (...please make it stop. Shake a can of pennies at it.)
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To: Jhensy
But... you don't understand! That machine was due to hit! It had to hit eventually, and I HAD to win that money BACK! YOU DON'T KNOW!!!!

Lol!
"Investigators who searched her home in August 2005 found tax forms from the casino showing she had won more than $400,000 over a few weeks"
Looks like she did!
.
19 posted on 09/21/2006 10:07:22 AM PDT by mugs99 (Don't take life too seriously, you won't get out alive.)
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To: kiriath_jearim

Believe it or not, gambling can be a literal addiction.

As with drugs, gamblers start out working for the highs, but end up depressed, taking more and more of what they're addicted to in an effort to recapture the thrill.

Scientists even claim that there are similar chemical changes in the brains of gambling addicts, as the pleasure responses get overworked. Well, I know what science studies are worth these days, but I find it believable.


20 posted on 09/21/2006 10:11:44 AM PDT by Cicero (Marcus Tullius)
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