Imprisoned Ex-Jaguars Employee: FanDuel Took Advantage of Me
A former NFL Jacksonville Jaguars employee who embezzled $22 million to bet on sports is now suing FanDuel, his platform of choice for daily fantasy sports, for $250 million. Amit Patel, according to iGB, claims the company took advantage of his blooming addiction.
Patel, who is serving a 6.5-year term at the Williamsburg Federal Correctional Institute Satellite Camp in South Carolina, filed his lawsuit against Boyd Gaming, FanDuel, Flutter and Fox Corp. in federal court in New York Oct. 1.
He contends that not only did FanDuel employees know he was an NFL employee and should be excluded from betting, but also that the company ignored its own internal controls. Sports betting companies have internal controls and house rules that should guide them in dealing with bettors who may display signs of problem gambling.
In the lawsuit, Patel’s lawyer argues that “Defendants knew and/or took intentional steps to avoid knowing that the money gambled by the Plaintiff was stolen or otherwise not from a legitimate source.”
There’s Plenty Not to Like About SAFE Bet Act
It turns out that no one – not even problem and responsible gambling advocates – are embracing the SAFE Bet Act, unveiled at a press conference last month by U.S. Rep. Paul Tonko and Sen. Richard Blumenthal. It’s already been publicly called “obnoxious” and “insulting.”
The SAFE Bet Act attempts to reverse the 2018 Supreme Court decision to make legal sports betting a states’ rights issue. iGB did a deep dive to explore the proposal, which does not yet have a bill number and has not been filed.
UCLA clinical professor of psychology Dr. Tim Fong said the current version of the bill would “do more harm than good.”
Jeff Ifrah, a gaming lawyer and a founding member of iDevelopment and Economic Association (iDEA), told iGB that the bill is a lot to process because “the first suggestion out of the gate [is] to include an unconstitutional registration requirement.” He also said the bill sponsors appear to be trying to “fill some sort of need that doesn’t exist.”
Accomplice in Jontay Porter Wagering Scandal Pleads Guilty
Long Phi Pham, who was among former NBA player Jontay Porter’s partners in a sports betting scam earlier this year, pled guilty to conspiring to commit wire fraud Oct. 2 in federal district court in New York. Porter pled guilty to the same charges in July.
Pham’s sentencing is set for April 25, 2025, and he could get up to 20 years in prison. Unlike Porter, Pham did not turn himself in – he was apprehended as he prepared to board a flight to Australia in June.
Four men were involved in the scam, which involved Porter removing himself from two NBA games so the others could wager on the “under” of his performance in those games. The bettors stood to win more than $1 million, according to court documents. Porter was banned for life from the NBA.
More BetMGM Wagering Violations Discovered in Massachusetts
An external audit commissioned by BetMGM in Massachusetts revealed multiple potential violations of state wagering regulations. The Massachusetts Gaming Commission (MGC) decided Oct. 2 to handle the newly found violations and two existing ones in a single adjudicatory hearing, reports iGB. No date has been set.
After BetMGM allowed banned prop bets on college football games and professional soccer matches, the operator hired Gaming Laboratories International (GLI) to audit its books. That company found additional potential “non-compliant” bets, including:
- Forty-one more college-player props on college football;
- Thirteen college-player props on college basketball;
- Twelve college-player props on two women’s Elite Eight college basketball games on April 1; and
- One hundred-and-six bets placed between June 8-17 on Glory Kickboxing events.
College-player prop bets are prohibited in Massachusetts. And Glory Kickboxing is not an approved betting market.
NCAA Committee: Bans Aren’t Stopping ‘Unwanted Gambling Behaviors’
An NCAA committee Oct. 1 released a brief report in which it revealed that “prohibitions are ineffective at stopping unwanted gambling behaviors, and there is little evidence to suggest that current prohibitions have effectively prevented student-athlete gambling.” Essentially, the committee wrote that banning student-athletes from gambling doesn’t stop the problem.
The Committee on Competitive Safeguards and Medical Aspects of Sports discussed the “deregulation” of betting bans and allowing student-athletes to bet on professional sports. The committee plans to continue exploring the topic.
Ad Buys Down in Canada
Covers reported last week that a Canadian Senate committee learned that wagering advertising is on the decline in the country. Kevin Desjardins, president of the Canadian Association of Broadcasters, told the Senate Transport and Communications Committee Sept. 26 that some private-sector channels have instituted their own limits on the amount of ads they will run. In addition, sportsbook operators are spending less.
The hearing was around S 269, a bill that proposes to put strict curbs on betting advertising. Those include restricting or possibly banning betting advertising on television. Desjardins said instituting such restrictions would be “premature” and that the federal government “overreach” is not needed.
His comments came on the heels of a Canadian Gaming Association report that revealed that betting-ad regulations in Canada are evolving more quickly and reactively than might be necessary. Canada’s parliament will continue to consider the issue with additional hearings this month.
More Support for Veterans in Gaming
Chalkline CEO Daniel Kustelski shared via LinkedIn this week that he is part of a group that will launch veteransingaming.org, which will offer support services to veterans who work in the gambling industry. Kustelski, a West Point grad, wrote that he’s met many veterans who work in gaming and he feels it’s time to create a formal space for vets and those who support them to trade information, stories and offer support.
He wrote “Core values: candor, resourcefulness, responsible gaming, member growth” are key tenets.
Bet365 Putting Down Roots in Colorado
U.K.-based Bet365 this week opened a North American office in Denver, the Denver Post reported Sept. 30. The company has plans to hire 1,000 new employees, including 300 in the first year. The new location is 120,000 square feet in a live/work building between Lower Downtown and the Lower Highlands neighborhood.
The company will get $14 million in tax breaks and credits over eight years, per the Colorado Economic Development Commission. Bet365 must meet certain job creation and salary benchmarks to take advantage of the credits. Bet365 is live in 11 U.S. states.
