Federal Criminal Gambling Charges in Sports: What You Need to Know
The Expanding Circle of Enforcement
In recent years, federal authorities have ramped up enforcement of illegal gambling schemes in professional sports — not simply minor bets, but full-blown rigging and insider information conspiracies. Two headline examples:
- In the NBA, an indictment unsealed October 23, 2025 in the United States Attorney’s Office for the Eastern District of New York (EDNY) charges six defendants (including current/former NBA players) with wire-fraud and money-laundering conspiracies. According to the government, they used non-public injury/lineup information to place fraudulent wagers on NBA games.
- In the Major League Baseball, two pitchers from the Cleveland Guardians were indicted in November 2025 in EDNY for allegedly rigging their pitching so that bettors could profit from prop-bets—throwing specific types of pitches or balls instead of strikes in exchange for bribes.
These cases show that the government is treating sports-gambling schemes not simply as “house penalties” for leagues, but as serious federal crimes involving fraud, bribery, money-laundering, and interference with sporting contests.
Why These Cases Are High Risk
Here are several features that elevate the risk and complexity:
- Insider information: Using non-public information (injury status, lineup changes, player self-removal) turns a betting scheme into a fraud on sportsbooks and arguably an interference with the integrity of a sporting contest. The NBA indictment states the defendants “used private locker room and medical information … to cheat legitimate sportsbooks.”
- Bribery and rigging: In the MLB case, the pitchers allegedly accepted bribes in exchange for deliberately throwing pitches that are unpredictable and not in their normal pattern, so that bettors could exploit prop-lines.
- Wire fraud / money laundering charges: Both schemes involve communications (wires, texts), movement of money (from bettors, bribes, kickbacks) and concealment of illicit profits — meeting the elements of federal fraud and laundering statutes.
- Organized crime ties & large-scale betting: The NBA poker- and rigging-related case also reveals alleged ties to organized crime families and sophisticated cheating technology (in the poker side of the scheme).
- Severe consequences: The indictments carry heavy maximum penalties — up to 20 years or more in prison on the conspiracy and fraud counts. Department of Justice
Implications for Athletes, Agents, Team Staff & Bettors
If you’re a player, coach, staffer, sports-agent or connected bettor, you should understand that:
- Being involved in any scheme that influences a game or a player’s performance for the benefit of bettors triggers serious exposure.
- Even if you did not place bets yourself, providing insider information, participating in lineup/injury strategy, or accepting money in exchange for altering performance can lead to criminal charges.
- Regulatory risk is now matched with criminal risk — previously, leagues might discipline or ban participants for betting violations, but now the DOJ/FBI is pursuing them as federal crimes.
- Payment flows, text messages, digital footprints, and betting records are all increasingly monitored. As the government described in the NBA case: “This was a sophisticated conspiracy involving athletes, coaches, and intermediaries who exploited confidential information for profit.” Department of Justice
- Even if you think your role was minor, in federal conspiracy law the net is broad — you can be charged if you knowingly join or assist in the scheme even if you didn’t orchestrate it.
Key Legal Concepts
Some of the statutory concepts at play:
- Wire Fraud, 18 U.S.C. § 1343 — using wire communications in furtherance of a fraudulent scheme.
- Honest Services Fraud, 18 U.S.C. § 1346 — depriving a party of the right to one’s honest services (for example, a player owed honest performance but rigged play for bettor benefit).
- Money Laundering, 18 U.S.C. § 1956–1957 — concealing or moving illicit proceeds from the scheme.
- Conspiracy, 18 U.S.C. § 371 — agreement to commit an offense even if the scheme is not completed.
- Bribery / influencing sporting contests, depending on statute — payments to influence pitch/throw or performance for betting benefit.
- Eligibility for asset forfeiture, restitution to victims, high bail / pre-trial detention risk.
Why Matthew J. Galluzzo Is an Excellent Choice for Defense in These Types of Cases
When facing an investigation or indictment in this high-stakes arena of sports-gambling fraud, you need a lawyer who meets very specific criteria. Matthew Galluzzo hits those marks:
- Federal court admission & experience
- Mr. Galluzzo is admitted to practice in the federal courts of the Southern and Eastern Districts of New York, as well as the District of Connecticut, and is well-respected by the prosecutors and judges in those districts.
- Mr. Galluzzo has successfully represented numerous professional athletes and entertainers in criminal cases in courts across the country.
- Former prosecutor background
- He began his career as an Assistant District Attorney in New York County, and, having worked on the prosecutorial side, he understands how federal authorities build cases, where the vulnerabilities are, and how to mount a defense accordingly.
- Defense in the relevant geographies
- Many sports-gambling prosecutions are pursued in New York federal districts or the District of Connecticut (especially if the parties, bets or communications traverse Connecticut). Having a lawyer already admitted and experienced in those jurisdictions means no delay in getting to work.
- Strategic acumen and client sensitivity
- The stakes for athletes, staff, agents or bettors are not only criminal (jail time, fines, forfeiture) but reputational: bans, civil liability, careers destroyed. Galluzzo’s client testimonials emphasize that he handles complex cases, foreign nationals, and high‐profile circumstances with care. The Law Office of Matthew Galluzzo, PLLC
- For example, many sports clients require discreet, swift action — the earlier you engage counsel, the better the chance to control the narrative, cooperate if appropriate, and mitigate exposure.
Specific Reasons to Choose Him in a Sports-Gambling Case
- He understands wire-fraud/money-laundering frameworks: knowing the statutes, what the government has to prove, and how to challenge predicate acts, evidentiary nexus, and intent.
- He can evaluate the case from both the sports regulatory lens and the criminal lens: how league/internally imposed penalties might interplay with federal exposure.
- He can help navigate plea-versus-trial decisions, negotiate with prosecutors, and frame mitigation (especially if you are cooperating, facing first-time offense, or have minimal role).
- He has appellate capability: given the severity of these cases, the ability to craft motions, challenge suppression, raise corporate speech/communications defenses, and handle potential appeals is crucial.
- He is ready for “big case” resources: sports-gambling investigations often involve multi‐agency probes (FBI, DOJ, federal prosecutors, league investigators) and have massive discovery, forensic banking records, communications dumps. Having a firm with experience in complex federal conspiracy cases matters.
What to Do if You’re Under Investigation or Indicted
- Immediately retain experienced federal criminal defense counsel. Do not rely solely on a sports-agent or team lawyer.
- Preserve communications: Avoid deleting texts, emails, chats or deleting accounts. Federal prosecutors often subpoena digital records across jurisdictions.
- Keep silent: Do not speak to investigators or cooperate without your lawyer present.
- Consider league disclosures: If you are a player or coach, you may also face league discipline — your lawyer should coordinate that with the criminal defense side.
- Document your role: If you believe you had little or no knowledge of the rigging/betting scheme or did not participate in decision-making, gather records showing your actual conduct.
- Evaluate cooperation options: In sports-gambling scandals, the government may offer cooperation or plea arrangements — early legal strategy matters.
- Manage public/PR risk: Cases involving athletes or sports staff draw media attention; a lawyer who can manage both legal and public-relations strategy is beneficial.
In Summary
Federal criminal enforcement of sports-gambling schemes — insider-bets, performance-rigging, prop-bet corruption — is now a clear and present risk. The recent NBA and MLB examples underscore that the government will prosecute players, coaches, bettors and insiders with vigour. If you find yourself even tangentially involved, you need counsel deeply familiar with wire-fraud, money-laundering, conspiracy law, and the specific dynamics of sports-betting investigations.
Matthew J. Galluzzo offers precisely the credentials, track record and jurisdictional fit to defend such matters — especially in the Southern & Eastern Districts of New York or the District of Connecticut. If you are facing investigation or charge in this area, early action with the right attorney makes a profound difference.
Recent sports‑gambling federal prosecutions
MLB pitchers Emmanuel Clase and Luis Ortiz charged with taking bribes to rig pitches for bettors
Guardians pitchers charged with taking bribes to rig pitches
Banned NBA player Jontay Porter pleads guilty in gambling case