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Sunday, September 5, 2010

Gambling Addiction $1.2 Million

Former Oklahoma agency official pleads guilty to embezzling from state
A former official with the Oklahoma Commissioners of the Land Office says he has overcome the gambling problem that led him to take $1.16 million.

BY NOLAN CLAY Oklahoman
Published: August 28, 2010


A former state official who was addicted to gambling pleaded guilty Friday to embezzling almost $1.2 million from a state agency that supports schools, colleges and universities.

Roger Q. Melson Jr. has overcome the gambling problem that drove him to embezzle, his attorney said afterward.

Melson's sentencing is set for Nov. 9.

The defense attorney called Melson a "gamblaholic."

"He doesn't gamble anymore, and he goes to several support groups," attorney Billy Bock said. "He's been humbled."

Melson worked as the director of audits at the Commissioners of the Land Office, which oversees school lands and other public lands to provide funds for education. He was employed at the state agency 21 years.

Melson now works doing maintenance at a church, his attorney said.

He already has turned over his retirement fund and vacation time payments to the state to begin making restitution, his attorney said.

He also let the state take $23,000 from his bank account, records show.

Melson, 56, of Edmond, pleaded guilty to 174 felony embezzlement counts.

He admitted in his guilty plea that he embezzled $1,166,564.96 in royalty, lease and other payments to the agency "to my own personal use" over five years.

A state grand jury indicted him in June 2009. His state salary was about $67,300 a year.

Full restitution, prison time to be sought

Oklahoma County District Judge Kenneth Watson will decide the punishment since prosecutors and defense attorneys couldn't reach an agreement on prison time.

Melson faces up to 20 years in prison on each count.

Attorney General Drew Edmondson said his prosecutors will ask the judge to order full restitution and prison time.

"Oklahoma schools face a severe budget crisis and Melson's criminal actions have deprived our educational system and the students it serves of much needed funds," Edmondson said.

Bock said it will be difficult to pay off the restitution.

"He would have to live a very long time to pay it back," the defense attorney said.

Mike Hunter, the outgoing secretary of the Commissioners of the Land Office, said: "I want everyone to know that we have worked with the commissioners and the Legislature this past year to successfully reform and modernize the Land Office so that this kind of thing will never happen again."

In his embezzlement scheme, Melson set up an account at BancFirst labeled Roger Q. Melson, doing business as Commissioner of the Land Office. BancFirst agreed earlier this year to donate $250,000 to 15 educational foundations to settle a dispute over whether it was negligent.

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