Winning is typically a good thing for the head coach of the Portland Trail Blazers.
But six years ago, the scammers allegedly using Chauncey Billups as part of a sprawling criminal scheme to lure unsuspecting poker players to rigged tables believed he was winning far too much.
Billups was a “Face Card,” prosecutors said, a high-profile person who could help attract big-fish gamblers to ritzy card games in Manhattan, Las Vegas, Miami and the Hamptons. Billups, aided by equipment like a manipulated shuffling machine and an X-ray table, played on the “Cheating Team.”
In the middle of a game in Vegas in April 2019, the orchestrators of the plot realized they had a problem: Billups was winning too many improbable hands. The streak would surely draw suspicion, they said in text messages included in court documents unsealed Thursday. Billups needed to do something very few professional athletes enjoy: lose on purpose. That’s the only way the criminal enterprise could keep raking in cash.
It ultimately netted more than $7 million over six years, prosecutors say.
Billups, Miami Heat guard Terry Rozier and dozens of others were charged Thursday as part of two sweeping investigations: one into illegal sports gambling and the other into poker rigging schemes allegedly backed by the Mafia.
The extraordinary federal takedown led to the arrests of more than 30 people across 11 states on charges including wire fraud, money laundering, extortion, robbery and illegal gambling, FBI Director Kash Patel said at a news conference.
“The fraud is mind-boggling,” Patel told reporters, referring to the alleged wrongdoing as a “criminal enterprise that envelops both the NBA and La Cosa Nostra.” He said the schemes involved “tens of millions of dollars” in ill-gotten gains.
The web of alleged criminal activity was laid out in two federal indictments that read like plot summaries for Martin Scorsese crime epics. Officials say key roles were played in one case by members of the notorious Bonanno, Gambino, Genovese and Lucchese crime “families” — as well as defendants with nicknames like “The Wrestler,” “Juice,” “Big Bruce” and “Pookie.”
The indictments threaten to create a reputational headache for both the NBA, one of the marquee professional sports leagues in the country, and the booming but increasingly scrutinized sports gambling industry. In a statement, the NBA said Billups and Rozier would be placed on “immediate leave.”
In the first case, dubbed “Operation Nothing But Bet” by federal agents, prosecutors accuse six defendants of participating in an insider sports betting scheme that “exploited confidential information” about basketball players and teams, U.S. Attorney Joseph Nocella Jr. of the Eastern District of New York told reporters at the news conference.
Nocella called that alleged conspiracy “one of the most brazen sports corruption schemes since online sports betting became widely legalized in the United States.”
Rozier was charged in that indictment. The former Charlotte Hornets player was arrested Thursday morning in Orlando, Florida, and he appeared in the city’s federal courthouse later Thursday. The indictment says he was also known by the nicknames “Scary Terry” and “Chum.”
In the second case, dubbed “Operation Royal Flush,” prosecutors accuse 31 defendants of a plot to rig underground poker games. The suspects allegedly used high-tech cheating gadgets to steal millions of dollars from games backed by four of the “Five Families” that have long ruled organized crime in the New York area.
The high-tech equipment described by Nocella included poker chip trays that secretly read cards with a hidden camera, special contact lenses that can read pre-marked cards and an X-ray table that can read cards facing down.
Billups was charged in that indictment, along with former NBA player Damon Jones.
It was not immediately clear where Billups was arrested, but he appeared Thursday in court in Portland, Oregon, where he lives. He was released on conditions that include travel restrictions, no gambling activity, a no contact order and standard conditions regarding firearms, according to NBC affiliate KGW. Billups coached the Blazers on Wednesday night in Portland.
Jones was arrested in Las Vegas. It was not immediately clear whether Jones had an attorney; calls and text messages to a phone number believed to belong to him were not returned.
“Your winning streak has ended,” Nocella said at the news conference, addressing the defendants in the “Royal Flush” case and appearing to enjoy the wordplay. “Your luck has run out. Violating the law is a losing proposition, and you can bet on that.”
Three of the defendants were allegedly involved in both cases, according to Christopher Raia, assistant director in charge of the FBI’’s New York field office.
The betting ring
The Charlotte Hornets were preparing to face off against the New Orleans Pelicans on March 23, 2023, and Terry Rozier had a plan. Rozier, at the time a starter for the Hornets, told Deniro Laster, a childhood friend, that he was going to “prematurely remove himself from the game in the first quarter due to a supposed injury and not return to play further,” prosecutors say.
Laster turned around and sold the tip about Rozier’s intentions to other defendants and co-conspirators, giving them a chance to “place fraudulent wagers based on the non-public information,” prosecutors say. Rozier was true to his word, they said, playing roughly nine minutes and 34 seconds before taking himself out of the game. The bets raked in thousands of dollars.
In their indictment, prosecutors accuse Rozier, Laster and four other defendants of participating in a “scheme to defraud” betting companies by “providing, obtaining and using non-public information relating to NBA games to place and cause others to place fraudulent sports wagers for profit, and to launder the proceeds thereof.”
The defendants and some of their co-conspirators had “access to private information known by NBA players or NBA coaches” that was likely to affect the outcomes of upcoming league games or certain players’ performances on the court, prosecutors said. Rozier’s choreographed exit from the Hornets’ March 2023 game against the Pelicans was just one example of that information-sharing system at work, they said.
Jones allegedly sold information on a prominent NBA player’s injury to bettors while he was an unofficial assistant coach for the Los Angeles Lakers in February 2023. He is said to have texted a co-conspirator that a certain player would be out when the Lakers faced the Milwaukee Bucks on Feb. 9, 2023. “Get a big bet on Milwaukee tonight before the information is out,” Jones said, according to the indictment.
When the game started that night, fans and viewers learned Lebron James was out with a sore left ankle and foot, according to a game recap from the time.
The poker games
The dozens of men (and one woman) accused of rigging poker games across the country over the last half-decade can’t be accused of using low-tech methods.
The defendants are said to have used “Rigged Shuffling Machines” that were secretly altered to read the cards in a deck, predict which player at the table had the best hand and relay that valuable information via interstate wires to an off-site operator. The operator then communicated that information by cellphone to one of the cheaters, referred to as the “Quarterback” or the “Driver,” who used “secret signaling” with other scammers at the table, prosecutors say.
But that wasn’t the extent of the cheating system, according to prosecutors. The orchestrators also used electronic poker chip trays that could secretly read cards placed on the table, card analyzers with decoy cellphones that could surreptitiously detect which cards were on the table and playing cards with markers visible only to players wearing specifically designed contact lenses or sunglasses.
All that was in the service of what prosecutors characterized as a “complex fraud scheme to rig, or cheat at, illegal poker games in the Eastern District of New York and throughout the United States,” beginning in at least 2019. The suspects allegedly rigged card games at otherwise “straight tables” at locations across New York City, as well as Las Vegas, Miami and the Hamptons.
The defendants did that with the help of organized crime families, who “provided support and protection for the games and collected owed debts from the games in exchange for a portion of the illegal gambling proceeds,” according to the indictment. The victims, who were defrauded out of millions of dollars, had no idea they were playing against cheaters, it says.
Meanwhile, “members and associates of the Bonanno, Gambino and Genovese Crime Families used threats and intimidation to assure payment of debts from the Rigged Games and the ‘square’ illegal poker games organized” by the defendants, prosecutors said.
Prosecutors estimate that the defendants caused losses to victims totaling at least $7 million.
The players
Rozier’s attorney said in a statement that he had “reached out to these prosecutors to tell them we should have an open line of communication.”
“They characterized Terry as a subject, not a target, but at 6 a.m. this morning they called to tell me FBI agents were trying to arrest him in a hotel,” said the lawyer, Jim Trusty. “It is unfortunate that instead of allowing him to self-surrender, they opted for a photo-op.”
“They wanted the misplaced glory of embarrassing a professional athlete with a perp walk. That tells you a lot about the motivations in this case,” Trust added. “They appear to be taking the word of spectacularly in-credible sources rather than relying on actual evidence of wrongdoing. Terry was cleared by the NBA, and these prosecutors revived that non-case. Terry is not a gambler, but he is not afraid of a fight, and he looks forward to winning this fight.”
Billups’ attorney and the Miami Heat did not immediately respond to requests for comment.
In a statement, the NBA said it was in the “process of reviewing the federal indictments announced today. Terry Rozier and Chauncey Billups are being placed on immediate leave from their teams, and we will continue to cooperate with the relevant authorities. We take these allegations with the utmost seriousness, and the integrity of our game remains our top priority.”
The Blazers said that the team was cooperating with the investigation and that Tiago Splitter will be the interim head coach.
Rozier, an Ohio native and 10-year NBA veteran, was picked 16th overall by the Boston Celtics in the 2015 NBA draft after having played college basketball for the Louisville Cardinals.
Billups has coached since 2021, following a widely lauded 17-season playing career that culminated in the sport’s highest honor: enshrinement in the Naismith Basketball Hall of Fame last year.
He entered the NBA in 1997 as the third overall draft pick. By 2004, his clutch baskets and on-court leadership were vital to Detroit’s NBA championship over the Lakers. The title run earned him the nickname “Mr. Big Shot” and the honor of being named the NBA Finals MVP, and it transformed his career. From 2006 to 2010, Billups was voted an All-Star five times.
After he retired in 2014, Billups worked as an NBA analyst for ESPN. After one season as an assistant coach with the Los Angeles Clippers, he was hired by the Portland Trail Blazers in 2021.
Thursday’s high-profile arrests come four months after another NBA star, Gilbert Arenas, was arrested and indicted after the U.S. Attorney’s Office for the Central District of California alleged he was involved in helping operate illegal, high-stakes poker games out of a Los Angeles-area home he owned. Arenas has pleaded not guilty.
Investigations into gambling have extended to active NBA players in recent seasons, as well. Jontay Porter of the Toronto Raptors pleaded guilty in federal court and was banned by the NBA for life last year for violating the league’s sports gambling rules, with the league alleging that he had bet on NBA games and disclosed confidential information about his own participation to bettors. He is set to be sentenced in December.
CORRECTION (Oct. 23, 2025, 4:25 p.m. ET): An earlier version of this article misstated the year Billups led the Pistons to a championship. It was 2004, not 2014.
