A man pleaded guilty on Wednesday to charges stemming from a yearslong sports betting scheme in Florida and New York.
Cory Zeidman, a professional poker player from Boca Raton, Fla., was charged with conspiring to commit mail and wire fraud by selling false “inside” information on sporting events.
The defendant helped run an organization that used national radio advertisements to lure prospective bettors into receiving fake advice and non-public information to place wagers, according to the U.S. Attorney’s Office of the Eastern District of New York.
“Zeidman and his partners baited unsuspecting victims with false claims of an edge in sports betting only to feed them lies and pocket millions of dollars from their savings and retirement accounts,” U.S. Attorney Breon Peace said in a statement.
“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.”
Individuals who believe they could’ve been a victim of Zeidman’s scheme are asked to contact Homeland Security Investigations.
The scheme
The alleged $25-million scheme ran from 2006 to 2020.
Zeidman, 63, and his partners used fake business names and allegedly used high-pressure sales tactics to convince sports bettors to pay “exorbitant fees” in exchange for player injury information, “dirty” referees, fixed games, and outcomes predetermined by media executives.
Victims were also told that their bets had little to no risks. However, the information bettors were fed was made up or based on open-source internet research.
“Sports bettors sought Cory Zeidman’s advice before gambling their money, but it was Zeidman himself who was scoring big through his deceptive practices, outright lies, and high-pressure tactics that exploited unsuspecting clients,” Homeland Security Investigations special agent William S. Walker said. “Today, HSI New York and our law enforcement partners brought Zeidman’s racket to an end. The public deserves to know the truth concerning where their money is going, and HSI is committed to working with our partners to protect the community wherever and whenever possible from illicit schemes.”
Sentence to come
Zeidman, who was indicted in 2022 for his role in the betting scheme, could receive a maximum sentence of 20 years of imprisonment for his role in the betting scheme. He could also be required to pay $3.6 million in forfeiture and restitution.
“The guilty plea of defendant Cory Zeidman is a reminder that crimes against our residents will not go unpunished,” Nassau County Police commissioner Patrick Ryder said. “Numerous victims lost millions of dollars after being given fraudulent and misleading information regarding online betting.”
Zeidman, a former Long Island, N.Y., resident, won a World Series of Poker bracelet in 2012. Poker database The Hendon Mob claims Zeidman won more than $692,000 in live earnings. He last played in an official tournament in May 2022, days before his indictment. Zeidman has been out on bail since.
