A former Fred Meyer employee pleaded guilty to stealing $60,000 from the company to fund her gambling habit. Oregon City woman Rainbow Melodi Stammet, 43, was convicted on two counts of theft in Clackamas County on Tuesday.
Local news outlets reported that Stammet had been working for the retailer for two years when loss prevention officers “noticed her taking cash from a self-checkout station at the Oregon City store in March 2023.”
“When confronted, Stammet told an Oregon City police officer that she stole the money to support her gambling habit, spending some of the cash at a local video poker outlet,” the DA’s office said.
Fred Meyer officials said they couldn’t determine the total amount that was stolen, but the figure is reported to be over $60,000. The company believe the thefts began in May 2022, up until Stammet was caught in March 2023.
Video poker’s pull in Oregon
Oregon sports betting was legalized in 2019, and is available exclusively through DraftKings. But, online gaming has yet to be launched in the state. Stammet reported that she was gambling the stolen funds on video poker, which has been popular since before the PASPA ruling reversal paved the way for increased legalized gambling.
Oregon introduced video lottery terminals (VLTs) in 1992 and there are over 10,000 machines in state bars, restaurants, and liquor shops. The machines are under control of the Oregon Lottery, the gaming regulator in the Beaver State.
The Oregon Lottery continually updates and replaces older terminals, so machines feature popular slots to attract users. In 2024, the Lottery purchased over 1,200 new VLTs from Light & Wonder, featuring popular games like “Flush Frenzy” and “American Original.”
The VLTs contribute substantial tax revenue, with the Lottery generating $947 million last year. In the absence of legal online casinos, Oregon players can use the terminals or seek other means of gambling, such as through VPN-friendly casinos.
There have been talks of introducing tribal casinos to urban areas in Oregon, but restaurant and bar owners opposed these plans for fear they would limit the flow of customers coming to play the VLTs.
Problem gambling in Oregon
An estimated 88,000 Oregonians meet the criteria for gambling addiction, with an additional 180,000 at risk. About 2.2% of Oregon teens struggle with problem gambling.
As part of the agreement for legalized gambling, the Oregon Lottery must invest at least 1% of the revenue generated into problem gambling initiatives. Last year, over $7 million went towards public awareness campaigns and other initiatives.
In 2023, the Lottery established a collaborative project with the Oregon Health Authority to address growing concerns of increased gambling problems.
Adam is an experienced writer with years of experience in the gambling industry. He has worked as a content writer and editor for five years on sites such as Oddschecker, CoinTelegraph and Gambling Industry News, bringing excellent knowledge of the world of sports betting and online gambling. Adam focuses on emerging stories in the ever changing landscape of betting in the US. Read the latest on prediction markets, changing legislation, and sweepstakes.
