Summary
The Massachusetts Supreme Judicial Court held that the State Lottery Commission may deny a lottery sales-agent license based on deficient moral character without requiring a felony conviction. The court concluded that the commission's finding that MD Zafar raped his wife was supported by substantial evidence, including criminal trial transcripts, despite his acquittal, and that the applicable regulation was not unconstitutionally vague as applied. The court reversed the Superior Court's judgment for Zafar and ordered judgment for the commission.
Topics
Practice areas
Questions Presented
- Whether G. L. c. 10, § 27, permits the commission to deny a lottery sales-agent license based on deficient moral character without requiring a felony conviction.
- Whether the commission's finding that Zafar raped Esha and consequently had deficient moral character was supported by substantial evidence.
- Whether the commission could rely primarily on criminal-trial transcripts and hearsay evidence in making its licensing determination.
- Whether 961 Code Mass. Regs. § 2.13(7) is unconstitutionally vague as applied to Zafar.
Holdings
- G. L. c. 10, § 27, reasonably permits the commission to treat felony conviction and deficient moral character as independent discretionary bases for denying a lottery sales-agent license. The commission may therefore deny a license based on deficient moral character alone, even without a felony conviction.
- The commission's finding by a preponderance of the evidence that Zafar raped Esha, and its resulting conclusion that he had deficient moral character, were supported by substantial evidence.
- Section 2.13(7) is not unconstitutionally vague as applied to Zafar because a person of common intelligence would understand that committing rape could result in a finding of deficient moral character and denial of a lottery sales-agent license.
Key quotations
“Therefore, § 27 may be interpreted by the commission in its regulations to authorize the director to deny a license to an applicant who has been convicted of a felony and to deny a license to an applicant who, in the director's opinion, is not of good moral character; it does not require both a felony conviction and a finding that the applicant is not of good moral character.” (13)
“"Substantial evidence may be based on hearsay alone if that hearsay has indicia of reliability"” (16)
“That . . . trial testimony had not, in the jury's opinion, met the standard of proof 'beyond a reasonable doubt' -- the highest standard of proof imposed by our jurisprudence -- does not mean that it was unreliable for purposes of the substantial evidence test.” (18)
Factual background
The State Lottery Commission denied MD Zafar's applications for lottery sales-agent licenses after reviewing evidence concerning his alleged 2015 rape of his then wife, Esha. Although a jury acquitted Zafar of all criminal charges, the commission's hearing officer relied primarily on transcripts of Esha's sworn, cross-examined criminal-trial testimony, together with other evidence, and found by a preponderance of the evidence that Zafar had committed the rape. The commission concluded that rape demonstrated deficient moral character under 961 Code Mass. Regs. § 2.13(7) and denied the license applications.
Procedural history
Zafar sought renewal and later new lottery sales-agent licenses. After administrative hearings, the commission denied the applications based on a finding that, by a preponderance of the evidence, Zafar had raped his wife and therefore had deficient moral character. Zafar sought judicial review under G. L. c. 30A, and the Superior Court reversed, concluding that the statute required both a felony conviction and deficient moral character and that the commission's decision lacked substantial evidence. The Supreme Judicial Court reversed the Superior Court and ordered judgment for the commission.
Remand instructions
The Superior Court order granting Zafar's motion for judgment on the pleadings and denying the commission's cross motion is reversed. Judgment shall enter for the State Lottery Commission.