Gambling could have hurt the NBA’s ratings, profits and fandom.
Portland Trail Blazers head coach and former Detroit Piston Chauncey Billups, Miami Heat guard Terry Rozier and former NBA player Damon Jones were indicted Thursday in two major federal gambling investigations that prosecutors described as involving organized crime, insider betting and millions in rigged payouts.
The U.S. Department of Justice reported that 34 people were arrested or charged in 11 states in two coordinated cases — Operation Royal Flush and Operation Nothing But Bet. Prosecutors said the scams were linked to four New York crime families: the Gambino, Lucchese, Genovese and Bonanno organizations.
Court documents allege Billups and Jones took part in a shill-backed, high-limit poker operation that used concealed cameras, marked cards and rigged shuffling devices to cheat wealthy players. Federal officials said Billups’ reputation as a former NBA Finals MVP helped attract players to the private games, which often took place in mansion houses and private clubs.
Prosecutors charged that the poker ring cheated victims out of more than $7 million and laundered the proceeds through shell corporations and cryptocurrency accounts. Billups and Jones face conspiracy to commit wire fraud and money laundering — charges that could each carry up to 20 years in prison.
Rozier and Jones were also charged in a separate insider sports gambling conspiracy. Authorities alleged that Rozier shared inside information about his playing status to help others place profitable bets on NBA games from December 2022 through March 2024 while he was with the Charlotte Hornets.
One instance referenced in court documents involves a March 2023 game when Rozier allegedly told an acquaintance he would leave early after tweaking a minor injury. Bets exceeding $200,000 were placed on his “under” totals, and they cashed out when he exited play during the first quarter.
Attorneys for all three men have protested the allegations.
Billups’ lawyer said the Trail Blazers coach “has never been involved in any illegal gambling activity.” Rozier’s attorney labeled the case “a rush to judgment based on questionable sources.”
Billups and Rozier have been placed on indefinite leave by their teams as the NBA conducts its own investigation. Commissioner Adam Silver said in a statement that the league was “deeply disturbed” by the arrests and remains “committed to protecting the integrity of the game.”
Federal prosecutors described the schemes as among the most severe sports-betting corruption cases since legalized gambling has proliferated in the United States.
“These were not spur-of-the-moment bets,” U.S. Attorney Breon Peace said. “It was a high-tech, sophisticated crime syndicate that employed access, technology and inside information to defile sport and trust.”
The three defendants were released on bond and are scheduled to appear in federal court later this fall.
The FBI is continuing its investigation into the NBA. Officials say there may still be additional instances of scamming and insider information at play. The league risks fans believing the sport is “scripted,” which could diminish the excitement of watching.
As the story continues to unfold, time will tell whether the issue ends here — or if more will be uncovered, leaving the league with a need to take drastic measures in response.