The NBA’s latest gambling scandal led New York Rep. Paul Tonko to voice his desire for America’s professional sports leagues to support his federal gambling oversight measure.
Tonko sent letters to leadership at the NFL, NBA, NHL, MLB, MLS, NWSL and WNBA asking the leagues to back the Supporting Affordability and Fairness with Every (SAFE) Bet Act. The SAFE Bet Act, co-sponsored by Sen. Richard Blumenthal, proposes creating federal oversight of sports betting while cracking down on illegal gambling.
FBI investigates alleged schemes tied to the NBA
Tonko is asking for the leagues to endorse the piece of legislation after the NBA found itself embroiled in a new gambling controversy. Last week, Portland Trail Blazers head coach Chauncy Billups, Miami Heat guard Terry Rozier and former Cleveland Cavaliers guard and assistant coach Damon Jones were included in an FBI investigation into illegal sports betting and rigged poker games. The allegations led to their arrests.
The allegations included ties to the Italian mafia and providing insider information.
“That is precisely why we need federal regulation, as you yourself [NBA Commissioner Adam Silver] called for more than a decade ago in your New York Times op-ed,” said Tonko in a letter to Silver. “My SAFE Bet Act would impose minimum federal standards, including marketing limits, data and privacy protections, public health safeguards and transparency measures that no league has been willing to adopt on its own.”
NFL Commissioner Roger Goodell and MLB Commissioner Rob Manfred, WNBA Commissioner Cathy Englebert, NHL Commissioner Gary Bettman, MLS Commissioner Donald Garber and NWSL Commissioner Jessica Berman also received letters.
Framework of the SAFE Bet Act
The SAFE Bet Act was introduced in 2024 but failed to progress, leading to its reintroduction earlier this year ahead of March Madness, one of the largest sports events in the U.S. Under the SAFE Bet Act, sports betting advertising is banned from 8 a.m. to 10 p.m. and during live sports broadcasts. It also bans college player props and live betting.
Operators are also banned from using the terms “bonus” and “no sweat,” while being required to administer affordability checks for bettors, with a limit of five deposits per customer in a 24-hour period. Blumenthal’s and Tonko’s measure also takes steps to curtail VIP programs and the implementation of artificial intelligence in marketing.
The measure prevents operators from tracking customer behavior or creating personalized betting offers using AI. The latest iteration of the SAFE Bet Act differs from last year’s version by requiring states to collaborate with the federal government to shutter illegal sports betting operations. Tonko is asking U.S. pro sports leagues to support the measure despite concerns by lawmakers over a lack in trust in state regulators and active gaming standards. The SAFE Bet Act has also been considered unconstitutional.
“While reasonable people can debate the specifics of federal standards on the sports betting industry, it is abundantly clear that the exclusively state-based regulatory approach is fundamentally flawed and will continue to jeopardize the integrity of our sports and the public health of our citizens,” continued Tonko.
NBA hears from Congress about recent gambling scandal
Tonko is asking a group of America’s pro sports leagues to support the SAFE Bet Act amid calls by Congress for the NBA to provide additional details of its latest gambling scandal and provide plans of action to limit the disclosure of non-public information for betting.
Lawmakers also want to know if the NBA is reevaluating its sports betting partnerships.
“You [Silver] said you were ‘deeply disturbed’ by the indictments of an NBA head coach, an active player and those to organized crime,” added Tonko. “What should disturb you more is that this corruption is the foreseeable consequence of the NBA’s decision to entangle the sport with a rapidly expanding, barely regulated gambling marketplace.”
The House Committee on Energy and Commerce asked Silver to provide a detailed briefing on the issue by Oct. 31. Another committee, the Senate Commerce, Science and Transportation Committee, is also pressing Silver about the NBA’s gambling woes.
Committee Chair Ted Cruz and Ranking Member Maria Cantwell sent a letter to Silver last week, asking the commissioner to provide details of NBA personnel’s involvement in the alleged gambling schemes. The letter also wants details on the NBA’s response.
“This is a matter of Congressional concern,” wrote Cruz and Cantwell. “The integrity of NBA games must be trustworthy and free from the influence of organized crime or gambling-related activity. Sports betting scandals like this one may lead the American public to assume that all sports are corrupt.”
The Senate committee wants Silver to provide a briefing by Nov. 10 that will also include documents about the NBA’s sports betting policies and procedures. It also wants a final report from the NBA about the alleged sharing of insider information by Rozier.
“The choice before you is now explicit,” said Tonko. “Either engage directly with Congress to establish mandatory federal guardrails that restore integrity and protect the public or stand in opposition and accept responsibility when the next scandal breaks and more families and lives are destroyed.”
