LAS VEGAS (KTNV) — News of indictments in two sweeping nationwide cases involving sports corruption and rigged poker games have Las Vegas connections.
And the implications of those cases could affect legal sportsbooks and gamblers here in town, experts say.
WATCH | Steve Sebelius speaks with the Mob Museum on how these cases tie into Las Vegas’ history
The U.S. Attorney for the Eastern District of New York, Joseph Nocella, Jr., announced the indictments Thursday, alongside top officials including FBI Director Kash Patel.
There were two schemes: In the first, professional athletes and coaches allegedly shared insider information so that sports bettors could profit from so-called prop bets made on games.
In the second scheme, alleged Mafia families in New York rigged poker games around the country using sophisticated, high-tech equipment to cheat players, known as “fish.” In some cases, professional athletes — who were in on the schemes and known as “face cards” — would be used to lure unsuspecting players to the table.
Watch the full briefing by authorities here, courtesy of ABC News:
Some of those rigged card games took place in Las Vegas.
Zach Jensen, a content developer at the Mob Museum in downtown Las Vegas, says the sports corruption scandal could have an effect on Nevada’s legal sportsbooks, and online books as well.
“The biggest impact is to people who are involved in sports betting,” Jensen said. “And it’s it’s going to make people think twice about betting on a sports game. You know, that’s still pretty early in the game for, you know, sports betting online. It’s still relatively new, so this might scare some people away from that.”
Larry Henry, a senior reporter for Gambling.com and a former political editor for the Las Vegas Sun, said those legal sports betting operators can play a role in helping to fight sports corruption.
“One of the things about legal sports better is it can catch misdeeds,” Henry said. “It can, because of these integrity compliance companies that bookmakers — Draft Kings, FanDuel, Caesars — they hire these integrity compliance companies that monitor irregularities.”
For example, if a large group of bettors take the “under” on how long a player will remain in a game, it might be a signal that they have inside information. That’s what’s alleged to have happened with NBA player Terry Rozier, who allegedly told people while playing for the Charlotte Hornets in 2023 that he was planning to leave a game early.
Bettors allegedly wagered he would only play for a short time, and made money when he exited play, the indictments allege.
If irregular betting is detected, legitimate sportsbooks can freeze betting on a contest.
Asked why a player with a multi-million, multi-year contract to play professional sports would risk his career by gambling or helping gamblers, Jensen said, “Greed makes people do strange things. And the other thing is, once you cross that line into doing something illegal, its hard to go back; now the people who you conspired with have something over your head.”
The news is sure to give legitimate bettors pause, wondering if games are rigged and their money is wasted, to say nothing of everyday fans who may suspect that players are gaming the system rather than playing to the best of their ability.
To combat that, Jensen said, authorities will have to get strict.
“I think we’ll see some more tighter controls and restrictions on both these sports betting sites and in the NBA,” he said. “And so what I think we’ll see is harsh crackdowns on the people involved, so that anybody who is tempted to throw a game or give information will think twice.”
The NBA is cooperating with the investigation, Nocella said, and legitimate sportsbooks are considered to be among the victims in the scheme.
In addition to law enforcement cracking down on sports corruption and rigged games, Nevada has its regulatory system. Today, the Gaming Control Board said it had no comment on the indictments and could not confirm an ongoing investigation.
But Henry said the best way for people to fight corruption is to gamble legally, for their own good.
“Why not do it legally?” he asked. “It just doesn’t make a lot of sense. You’re going to get — the bottom line is, whether it’s illegal sports betting, illegal poker, back room craps games — you’re going to get cheated. You’re going to get cheated. Just go do it legally.”
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