The NBA found itself embroiled in another gambling-related controversy, leading key stakeholders in the gaming industry to respond to a new round of allegations.
Portland Trail Blazers head coach Chauncey Billups, Miami Heat guard Terry Rozier and former Cleveland Cavaliers guard and assistant coach Damon Jones were arrested on Thursday following an FBI investigation that found alleged misconduct tied to gambling.
The three NBA personnel were among more than 30 people arrested after the FBI uncovered alleged illegal gambling and wire fraud worth tens of millions of dollars.
NBA coach allegedly involved in rigged poker games
Billups, who coached in Portland’s season opener earlier this week, was allegedly involved in an illegal, rigged poker operation with ties to the Italian Mafia, according to U.S. Attorney for the Eastern District of New York Joseph Nocella Jr. The alleged operation offered rigged games that used advanced technology to read and shuffle cards.
“Today’s events are deeply disturbing and should concern fans, athletes and everyone who loves sports and values integrity and fair play,” said a FanDuel spokesperson on Thursday. “They also illustrate the stark contrast between legal and illegal betting markets.”
Jones was also allegedly involved in the scheme that began in 2019, with Billups and Jones used as tools to attract players to the rigged games behind their careers in the NBA.
Operators note the importance of activity monitoring
Rozier’s arrest was sparked by alleged misconduct tied to sports betting.
According to federal prosecutors, Rozier allegedly provided insider information to co-conspirators and manipulated his own gameplay and the potential outcome of games.
“The sportsbooks themselves are victims in this case,” Nocella Jr. told the media. “As far as our investigation has concluded, they did not perpetrate anything unlawful.”
Rozier allegedly notified the co-defendants of his plan to exit games early for injury, leading the co-conspirators to place prop wagers on his performances, wagering over $150,000.
Jones also allegedly shared insider information with third parties regarding player injuries.
“Game integrity and responsible play are priorities for everyone at DraftKings,” a spokesperson for the Boston-based operator told SBC Americas. “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.”
The regulated sports betting industry has solutions and protocols in place to monitor suspicious wagering, leading to alleged misconduct being exposed and investigated.
“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,” added the Flutter-owned brand. “We are unwavering in our commitment to rooting out abuses by those who seek to undermine fair competition and the games we love.”
Monitoring services identified previous NBA misconduct
Monitoring services were integral in exposing the misconduct of former Toronto Raptors forward Jontay Porter, who received a lifetime NBA ban for betting on basketball and sharing insider information to third parties. The third parties placed prop wagers on Porter.
Federal prosecutors did not disclose which legal sportsbooks may have been involved in the alleged misconduct by Rozier and Jones.
Billups, Rozier and Jones were released from police custody on Thursday on certain conditions, which include no gambling and travel restrictions.
“It is important to recognize that the regulated legal market delivers transparency, oversight, and collaboration with authorities that assist in bringing these bad actors to light,” said the American Gaming Association in an emailed statement.
