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On October 23, the FBI revealed that several prominent NBA figures are involved in two distinct gambling scandals.
As part of a lengthy investigation into illegal sports betting and rigged poker games, the bureau announced the arrests of over 30 individuals, including Portland Trail Blazers head coach Chauncey Billups, Miami Heat guard Terry Rozier, and former Cleveland Cavaliers guard Damon Jones.
FBI director Kash Patel stated that the investigations uncovered gambling and wire fraud operations amounting to tens of millions of dollars across 11 US states.
U.S. Attorney for the Eastern District of New York Joseph Nocella Jr emphasized that all allegations remain unproven at this stage, as the investigations continue to unfold.
Billups linked with Mafia-run illegal poker
Chauncey Billups, a five-time NBA All-Star and current head coach of the Portland Trail Blazers, has been arrested for his alleged role in an illegal poker operation said to be backed by the Italian Mafia.
According to officials, this operation facilitated rigged poker games that employed advanced technology to manipulate card readings and shuffling.
Nocella reported that the scheme, which began in 2019, reportedly defrauded victims of millions of dollars. Billups is accused of being key in attracting players to these dishonest games.
He was taken into custody in Oregon on Thursday, shortly after coaching the Trail Blazers in their season opener against the Minnesota Timberwolves, who won the game 118-114.
Rozier and Jones provided insider information to third parties
Federal prosecutors have accused Terry Rozier of sharing insider information with co-conspirators and manipulating his gameplay to influence the outcomes of games.
Allegedly, Rozier informed his accomplices about his plans to leave games early due to injury, enabling them to place prop bets on his performance. The group reportedly wagered over 150,000, betting against Rozier in several prop markets.
In a similar move, former Cleveland Cavaliers guard Damon Jones is also implicated for allegedly passing insider information to third parties concerning player injuries.
Rozier’s connections to gambling misconduct first surfaced in a January report by the Wall Street Journal, which examined his possible involvement in an illegal sports betting operation.
Federal authorities became aware of the player’s potential role while investigating former Toronto Raptors forward Jontay Porter, who received a lifetime ban from the NBA for betting on basketball and sharing insider information.
Licensed sportsbooks suffered the most
While officials are yet to release the list of operators affected by these scandals, Nocella stressed that “the sportsbooks themselves are victims in this case.
“As far as our investigation has concluded, they did not perpetrate anything unlawful,” he added.
The American Gaming Association (AGA) used the update as an avenue to shine light on the dangers of the illegal gambling market, stating: “It is important to recognize that the regulated legal market delivers transparency, oversight and collaboration with authorities that assists in bringing these bad actors to light.”
Both DraftKings and FanDuel also commented on the scandals, highlighting the importance of the legal gambling market. A spokesperson for FanDuel stated, according to NBC:
“Today’s events are deeply disturbing and should concern fans, athletes, and everyone who loves sports and values integrity and fair play.
They also illustrate the stark contrast between legal and illegal betting markets. At FanDuel, we use advanced technology and real-time monitoring to identify suspicious activity and work closely with leagues, data monitoring groups, and law enforcement.”
DraftKings released a similar statement, calling the illegal gambling market ‘pervasive’
“We fundamentally believe that regulated online sports betting is the best way forward to monitor for and detect suspicious behavior while offering consumer protections backed by advanced technology, neither of which exist in the pervasive illegal market.”
Source: SBC Americas
