Welcome to iGB’s State of the Union, a look at the biggest North American sports betting stories we’ve covered over the week and briefs on others we found interesting.
In court documents released Thursday (30 January), US attorneys are recommending a “significant period of incarceration” for former Shohei Ohtani interpreter Ippei Mizuhara. The documents were filed a week ahead of Mizuhara’s 6 February sentencing hearing. Mizuhara bet with an illegal bookmaker and stole $17 million (£13.7 million/€16.3 million) from baseball star Ohtani.
In the documents, Jeff Mitchell, the US attorney leading the government’s case, clearly states that he does not believe that Mizuhara had a long-standing gambling addiction.
Exhibits filed with the case show that Mizuhara started gambling on a legal site, DraftKings, in 2023 after he had “already stolen millions of dollars from Mr. Ohtani.” The statements paint Mizuhara as a dishonest thief rather than an individual grappling with addiction.
Mitchell wrote that Mizuhara claimed to be sorry in a letter to the court. But he contended that “all defendants claim to be remorseful at the time of sentencing, but the question courts must answer is whether the defendant is truly remorseful or whether they are just sorry they were caught.”
Mizuhara’s sentencing is set for 1 p.m. 6 February at the Ronald Reagan Federal Building and US Courthouse in Santa Ana, Calif.
Mizuhara in June 2024 pled guilty to multiple federal counts around illegal sports betting, including stealing $17 million from Ohtani. At the time, Mizuhara was the Dodgers’ baseball star’s Japanese-language interpreter.
He bet with illegal bookmaker Mathew Bowyer, who is set to be sentenced in April. Bowyer is part of a larger illegal betting ring that also involves former minor-league baseball player Wayne Nix. The group is said to have washed money through Las Vegas and Southern California casinos.
Mizuhara is the highest-profile name in the scandal, due to his association with Ohtani. To date, former Las Vegas casino executive Scott Sibella is the only figure involved in the scandal to be sentenced.
Two Wyoming tribes testified in opposition to a statewide online gambling bill Thursday (30 January), saying that the proliferation of gambling options in the state have already cut into their revenue. HB 162, slated for discussion Thursday, was laid over until next week when the house travel, recreation, leisure and cultural resources committee ran short on time. But any witnesses who traveled long distance were invited to testify briefly.
Northern Arapahoe chairman Keenan Groesbeck said his tribe has already been “negatively affected” since digital sports betting launched. And Clinton Glick, on behalf of the Shoshone business council, told the committee that any expansion of gaming “hinders our revenue, which comes in to help us better our community.”
The bill would make online gambling legal at a 16% tax rate and to operators who are already live in at least three other US jurisdictions. There would be a $100,000 permit fee, valid for five years, and a $50,000 renewal fee. The Wyoming Gaming Commission would be tasked with promulgating rules by 31 December.
The committee will reconvene next week, though no date was set before adjournment.
A week before Alabama’s legislative session opens, rhetoric about gambling is reaching a pinnacle. Just this week, the Alabama Political Reporter ran an op-ed telling Alabamans that this is their chance to weigh in on a gambling expansion, and the Alabama Policy Institute this week launched an anti-gambling website.
From the Alabama Political Reporter:
You’re going to start to hear the desperation from a bunch of people you wouldn’t hire to pressure wash your driveway but who really, really need your vote to keep them in these cushy jobs where they do the stuff major donors want 90% of the time.
And then there is the “Betting hurts Bama” website from the API, which suggests that legal gambling will increase the size of government, tear apart Alabama families and create a spike in mental-health issues.
“Legalising casino-style gambling in the state and establishing a statewide lottery is bad public policy, both fiscally and socially, and it is the wrong solution to address the state’s unsustainable fiscal trajectory,” reads a section on the site. “Regardless of who plays the lottery or gambles (and regardless of the outcome), the government receives a portion of every dollar spent on these activities. This creates a perverse incentive for the state, especially when conventional revenue streams are volatile.”
Alabama’s session opens 4 February and lawmakers are poised to consider another wide-ranging gambling expansion, including online gambling. Last year, a bill that would have added lottery, sports betting, casinos and more failed in the waning days of the session.
Miami Heat guard Terry Rozier may be the next athlete implicated in a widening illegal betting ring. The Wall Street Journal Thursday (30 January) broke the story that the NBA and federal attorneys are investigating “unusual betting activity” in game from 2023. Rozier was playing for the Charlotte Hornets at that time.
The game in question was against the New Orleans Pelicans in March 2023. In that game, Rozier left after 9 minutes, 36 seconds with a foot injury. He was sidelined for the rest of the season. His points, rebounds and assists totals were below his usual performances.
“In March 2023, the NBA was alerted to unusual betting activity related to Terry Rozier’s performance in a game between Charlotte and New Orleans,” NBA spokesman Mike Bass said in a statement, initially released to the WSJ. “The league conducted an investigation and did not find a violation of NBA rules. We are now aware of an investigation by the U.S. Attorney’s Office for the Eastern District of New York related to this matter and have been cooperating with that investigation.”
Former NBA player Jontay Porter, who was banned from the NBA for life last April, is set to be sentenced in the Eastern District 20 May 2025. Porter pled guilty last July to exiting two games in 2024 so that his betting partners could win the “under.”
A Hawaii bill that would legalise digital sports betting was referred to the house economic development committee 27 January. A hearing is scheduled late Friday (31 January). HB 1308 and SB 1569 would allow for up to four wagering platforms. Operators would be taxed at 10% of adjusted gross gaming revenue.
Hawaii currently has no form of legal gambling. It is one of a handful of US states that does not have a lottery. But lawmakers have been entertaining the idea of legalising sports betting for several sessions. The sports betting bills would also regulate and tax fantasy sports.
HB 1308 and SB 1569 are the latest gambling bills filed in Hawaii this session. SB 1572 would also allow for digital wagering at a 15% tax rate while banning daily fantasy. SB 1507 would legalise online casino but explicitly ban legal sports betting. And SB 373 is a stand-alone legal daily fantasy bill.
Mississippi Senator Joey Fillingane is taking a different pathway toward dealing with the rise of unregulated sweepstakes platforms than his peers in New Jersey. Fillingane 20 January introduced a bill that would ban the games. Online gambling is illegal in Mississippi, though lawmakers for several sessions have been trying to get digital wagering passed.
According to the bill, any “online race books, online sports pools and online sweepstakes-style casino game, is hereby declared to be a gambling device, and the offering of play or operating an online or interactive platform that offers for play such games with the State of Mississippi shall be deemed unlawful under the provisions of this section.”
Fillingane’s SB 2510 would make any violation of the law a felony, punishable by up to a $100,000 fine and up to 10 years in prison. In New Jersey earlier this month, a bill regulating and taxing online sweepstakes was filed.
The British Columbia Lottery Corporation (BCLC) will open two new brick-and-mortar sportsbooks in the coming months, reports Canadian Gaming Business. A “lounge” at Chances Casino Kelowna is set for a “sneak peak” on Super Bowl Sunday. It will open to the public 10 February. The PROLINE venue has a 25-foot video wall. BCLC also plans to open a sportsbook at the Parq Casino in Vancouver in March.
“The lounges offer something for sports lovers and sports bettors alike, including a best-in-class sports viewing experience and sports-betting terminals offering a full suite of competitive and live odds,” a BCLC spokesperson told Canadian Gaming Business.
California’s Chukchansi Casino says someone else is placing fake social media posts offering online casino and bonuses to the casino. The casino posted on its official social media feed that the ads “are not affiliated with us.”
In Other News …
New York Governor Kathy Hochul signed into law the bill that strengthens digital sports betting and casino advertising guidelines, the Yonkers Times reported 28 January. In addition to including addiction helpline contact information, advertisements must now include warnings about harm that can be caused by addictive gambling.
ESPN Bet and the PGA Tour announced they will debut a betting stream 6 February at the WM Phoenix Open. The new feed will be available on ESPN+ and is set to include six Tour events. It will provide live golf coverage ahead of the existing television broadcasts.
A Connecticut bill to allow betting on in-state college teams was filed 21 January. It was referred to the joint committee on general law. Betting on in-state teams is currently banned.
Washington’s Swinomish Indian Tribal Community and Rush Street Interactive 27 January announced the opening of a brick-and-mortar sportsbook. The new sportsbook is RSI’s first foray into Washington state.
North Dakota lawmakers voted against a bill that would have brought legal online sports betting to the state. The House defeated HCR 3002 22 January, with 70 representatives voting against and 24 voting for.
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