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“Dr. Gandhi has stated innumerable times, neither the Mayor nor his staff nor any member of City Council nor their staffs ever tried to influence the Office of the Chief Financial Office’s decision on the awarding of the Lottery contract,” his spokesman said.

Changing partners

Intralot also suspected that Mr. Wilmot asked Mr. Gray to approach Intralot’s local lobbyist, former council member Kevin P. Chavous, “to see if Intralot would change partners,” according to the memo.

A review of Mr. Chavous’ lobbying reports for 2008 shows 12 contacts with Mr. Gray in the months leading up to a private meeting in the council chairman’s office in October 2008 that, according to Mr. Gray’s desk calendar, included Maryland businessman Emmanuel S. Bailey, a friend, golf partner and frequent political fundraising companion of Mr. Wilmot’s who could be described as a protege.

In a series of emails first reported by The Times, Mr. Bailey thereafter began suggesting to Mr. Williams that “forces” did not approve of him being the local face of the D.C. Lottery and that Mr. Bailey could help overcome the resistance if appended to the Intralot team.

Mr. Bailey and Mr. Chavous, now a nationally recognized advocate for school reform, appear to have had other business dealings together, according to emails between the two, obtained by The Times, that describe the development of various presentations in pursuit of government custodial contracts Mr. Bailey was seeking.

In one of the emails, Mr. Chavous is among the recipients addressed by Mr. Bailey as “Team.” Mr. Bailey refused to comment for this report. Mr. Chavous in January told a reporter from The Times asking whether he was interviewed by the D.C. Inspector General in connection with the lottery contract to “get the f*** out of my face,” and threatened, “I’m gonna f****** kick your ass.” He did not respond to requests for comment for this report.

Second procurement

In December 2008, D.C. Attorney General Peter J. Nickles sent Mr. Gray a letter warning of “significant loss of savings to the city and a continued deterioration of the operation of the lottery” if the contract was rebid. But Mr. Gray, who — according to the memo and numerous sources close to Mr. Fenty, had made a futile attempt to persuade the former mayor to either replace Mr. Williams or append a different local partner to the contract — scheduled a council vote and took the lead in voting down the contract award, thus necessitating the rebid.

After a second lottery procurement process, Intralot — bidding alone — won the contract award, and Mr. Bailey later emerged as the local face of Intralot’s lottery venture.

Mr. Williams, essentially replaced by Mr. Bailey, had no complaints about Intralot or Mr. Wilmot.

“I’m sure anything that [Mr. Boothe] wrote in that memo was during the fog of war,” he said.