In what way was the man a victim? He, according to the bureau that issues the benefits, is breaking no laws. He is now (his own words) looked upon as a outcast. He was lucky in the sense that he had the winning numbers to the lottery and is now 800K richer.
I think he did nothing wrong in that he contacted the bureau for clarification on his benefits. He has benefits coming to him under the law -- therefore he's entitled to them until the law changes.
The federal and state governments look at lottery winnings as income -- they tax the hell out of it... So why can the bureau look at it the same way? Maybe they never has that issue come up before. I know a lot of people who are asset wealthy, yet cash-flo poor. it's not an uncommon situation, but lottery winnings should be treated as income - across the board.