Poker pro Cory Zeidman has pleaded guilty to running a fraudulent sports betting scheme that scammed many bettors over the course of some 16 years. His group promoted its services on national radio, reaching thousands of potential clients.
The Group Claimed Having Access to Insider Information
Zeidman, who is a prominent poker professional and the winner of a WSOP 2021 bracelet, was accused of involvement in the $25 million sports betting scheme in 2022. While he would never place bets on behalf of others, his scheme provided clients with actionable information that would allegedly guarantee sports betting wins.
According to the allegations, Zeidman, alongside several partners, ran a fraudulent organization that promised players an advantage in betting. The group claimed to have access to privileged information that could help players make winning bets. In addition, they convinced clients that they knew all about unofficial player injuries, biased referees and fixed matches.
The group claimed to have contacts among athletes’ physicians, colleges and broadcasting giants.
For over 16 years, the group, which advertised its services under fake names, including Gordon Howard Global and Ray Palmer Group, took money from bettors who believed they had been gaining an advantage with their bets.
In reality, the only true winner was Zeidman and his partners.
Zeidman Faces 20 Years in Prison
Zeidman has now admitted to running the scheme, pleading guilty to charges of conspiracy to commit mail and wire fraud. He was also charged with federal charges of money laundering. According to the US Attorney’s Office for the Eastern District of New York, the poker pro faces a maximum sentence of 20 years in prison, as well as forfeiture and restitution of $3.6 million.
US Attorney Breon Peace said:
Today’s guilty plea sends a message to all those who would prey upon the public by falsely advertising gambling as an ‘investment opportunity’: the only sure bet here is that this Office will work tirelessly to root out sources of disinformation and fraud and prosecute them to the fullest extent of the law.
Breon Peace
HSI New York Special Agent in Charge William Walker added that the public deserves to know the truth about where its money is going. Victims of the fraud were asked to contact Homeland Security Investigations.
USPIS Inspector in Charge Daniel Brubaker vowed to continue investigating those who intentionally violate federal regulations for selfish reasons. This sentiment was echoed by NCPD Commissioner Patrick Ryder who said that his team must set an example by continuing to arrest fraudsters.
