Two federal indictments accuse NBA players of using insider info for illegal betting and coaches of rigging poker games linked to organized crime figures, deepening scrutiny on sports gambling.

New York

Federal prosecutors have announced criminal allegations against current and former NBA players and coaches, accusing them of participating in illegal sports betting and poker schemes. According to the indictment, players allegedly shared insider information—such as injury status or player absences—with bettors to facilitate illegal profits. 

Additionally, authorities detailed a separate scheme involving technologically advanced card shuffling machines that could predict winning poker hands. This information was relayed to conspirators, allowing them to cheat in high-stakes games, resulting in millions of dollars in losses for victims. Organized crime figures are alleged to have extorted those who failed to pay, and the investigation reportedly began after federal agents were tipped off by another related case. Damon Jones has been named as a defendant in both cases, suggesting a connection between the schemes.

FBI targets NBA players and coaches in betting probes

We begin with the criminal allegations announced today against current and former NBA players and coaches. Anna Schechter joins us now. She's the senior coordinating producer for our crime and public safety units. Anna, let's go ahead and start with the sports betting case. How were players using insider information according to this indictment? Well, players would know about an injury or whether another player was going to be off the court at a specific time, feed that information to the bettors so that they could profit illegally. And then there's this whole other scheme, alleged scheme. This was involving poker games. It was involving these shuffling machines, right? What can you tell us? Sure, this was an elaborate scheme that involved a special machine that could not just shuffle the cards, which is common in casinos, but it could actually, it was embedded with technology that could read the cards and predict which player would have the best hand. That information would get pinged over to a third party, not inside the room, who would then feed back the information to the players who were in on the scheme. And it was generally just one or a few victims who were not in on it. Those people were out millions of dollars in total. And when they didn't pay up, the allegation is that members of the crime family, New York City crime families, would go and extort them, threaten them with violence so that they would eventually pay up. Do you know what tipped off the government about this? The scheme with these poker games, which were being played in the Hamptons, in Miami, around the country. Vegas. Vegas. Those go back to 2019. So the feds got tipped off, and there was actually another case that led them to then break open this huge scheme. It's unclear to me exactly if that case then directly led to the illegal betting on whether or not a player would be out for injuries. But certainly, Damon Jones is a player who's indicted in both cases, so there is a nexus there. Wow, all right. Anna Schechter, thank you.

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