IN MOST LARGE CITIES, THE OLD POLICY LOTTERY HAS BEEN TRANSFORMED INTO THE NUMBERS GAME. PUBLIC DRAWINGS HAVE BEEN REPLACED BY THE ANNOUNCEMENT OF THE WINNING NUMBER IN THE NEWSPAPER. FOR EXAMPLE, THE WINNING NUMBER MIGHT BE THE LAST THREE DIGITS IN THE TOTAL SUM OF MONEY PASSING THOUGH THE NEW YORK CLEARINGHOUSE FOR THE DAY. IN 1959, RAIDS WERE MADE ON NUMBERS AND OTHER GAMBLING OPERATIONS IN BUFFALO, N.Y., PROVIDING MUCH INFORMATION ABOUT THE NATURE OF THE ILLEGAL LOTTERIES AND THE CONDITIONS THAT PERMITTED THEM TO FLOURISH. IN BUFFALO, BETS COULD BE PLACED WITH HUNDREDS OF WRITERS ON THE STREET, IN MANY BUSINESS ESTABLISHMENTS, OR EVEN WITH SOME POLICEMEN. BETS WERE RECORDED ON SPECIAL BOND-RACE SLIPS, WHICH COULD BE USED FOR BETS ON THE OUTCOME OF THE NEW YORK STOCK EXCHANGE DEALS OR ON RACETRACK WAGERING. ONE COPY OF THE BET WENT TO THE NUMBERS 'BANK,' ONE TO THE WRITER, AND ONE TO THE PLAYER. THE BANKERS ASSIGNED SPECIFIC TERRITORIES TO VARIOUS MEMBERS OF THEIR ORGANIZATIONS TO AVOID CONFLICT AND INSURE EFFICIENCY. IT WAS ESTIMATED THAT 7 BANKS WERE MANAGED BY 16 BANKERS AT A NET ANNUAL PROFIT OF CLOSE TO $2 MILLION. SUCH PROFITS WERE POSSIBLE BECAUSE, IN BUFFALO, THE NUMBERS BUSINESS WAS RUN QUITE OPENLY. POLICE TOLERANCE OF THE ILLEGAL LOTTERIES WAS NEARLY COMPLETE. THE BUFFALO CASE IS SAID TO ILLUSTRATE WHY NUMBERS AND OTHER ILLEGAL GAMBLING OPERATIONS ARE LIKELY TO THRIVE AS LONG AS A LARGE PORTION OF THE POPULATION ENJOYS BETTING, SEES NO HARM IN IT, AND DOES NOT REGARD IT AS IMMORAL EVEN IF IT IS ILLEGAL. INADVERTENTLY, GAMBLING LAWS HAVE HELPED TO CREATE AN ENTRENCHED SOURCE OF BRIBERY AND PUBLIC CORRUPTION.