American sports were shaken when US federal prosecutors announced two indictments on Thursday, exposing a large-scale illegal betting ring in the NBA, involving current and former players, notably coaches Chauncey Billups (Portland Trail Blazers) and Terry Rozier (Miami Heat).

This is considered the most serious scandal in American sports since online betting was widely legalized.

Betting scandal shakes American sports

Terry Rozier and Damon Jones, a close friend of LeBron James and former NBA player, allegedly used inside information such as which players would retire or withdraw early due to “injuries” to help bookmakers place more accurate bets and make big profits.

Prosecutor Joseph Nocella Jr. said the case involved multiple games involving the Toronto Raptors, Los Angeles Lakers, Charlotte Hornets, and Portland Trail Blazers. In particular, the indictment states that Damon Jones, who played more than 200 games with LeBron James on the Cleveland Cavaliers (2005–2008) and later served as an assistant coach for the Lakers, used inside information from the Lakers to place bets during the 2022–2023 period.

In a text message cited in the indictment, Jones texted his co-defendant: “Bet big on Milwaukee now before this gets out! [Player No. 3] won’t be playing tonight.”

The date in question coincides with the Lakers’ 2023 game against the Milwaukee Bucks, when LeBron James is out with an ankle injury. Jones is accused of profiting from this non-public information. A person close to LeBron James told the Los Angeles Times that the Lakers star had no idea his friend was selling the information to bookmakers.

Damon Jones is accused of selling information about his close friend and teammate LeBron James to bookmakers.

In addition to Jones, Terry Rozier – nicknamed “Scary Terry” – is accused of selling information about Hornets games, including announcing he would leave the field early with a fake injury so others could place big bets.

Specifically, in the Hornets’ match against the New Orleans Pelicans on March 23, 2023, Rozier played only 9 minutes and 36 seconds, then left the field due to “foot pain” and missed the rest of the season. Although the Hornets were eliminated from the playoffs at that time, bookmakers and bettors were furious when Rozier’s statistical points dropped abnormally compared to the average.

A day later, on March 24, 2023, an accomplice of Rozier revealed to others that the Portland Trail Blazers would intentionally lose to improve their draft position, and that a “Number 1 Player” would not play. This information was shared with multiple people who placed bets totaling $32,000.

The indictment describes an “anonymous co-conspirator” in the March 24 incident that matches Chauncey Billups’ work history and employment history, leading investigators to believe he was the one who passed on the Blazers’ internal information.

Terry Rozier – nicknamed “Scary Terry” – is accused of selling information about Hornets games.

Billups, a 2004 Finals MVP and five-time All-Star, is now the head coach of the Portland Trail Blazers. He was released on bail after a hearing in Oregon and will appear in court in New York on November 24, with conditions that include surrendering his passport, restricting his travel, and not gambling.

In addition to the NBA betting scandal, Chauncey Billups was also named in a separate indictment in New York, related to a large-scale underground poker cheating ring, backed by three prominent mafia families: Bonanno, Gambino and Genovese.

According to the indictment, Billups and Damon Jones acted as “bait” to lure wealthy people into these poker games. The cheating teams used card-reading machines, special glasses, and sensor-equipped poker chips to predict winning hands, then passed the information to a secret “coordinator.”

Billups – former 2004 Finals MVP, 5-time All-Star – is currently the head coach of the Portland Trail Blazers.

Prosecutors allege the scheme raked in more than $7 million between April 2019 and October 2025. Billups and Jones were known as “Face Cards,” receiving a percentage of winnings in exchange for appearing in games.

Among the 31 defendants is Joseph Lanni – “Joe Brooklyn”, a boss of the Gambino family, who was indicted in 2023 for extortion and organized crime.

Immediately after the indictment was announced, the NBA immediately suspended Terry Rozier and Chauncey Billups. The league issued a statement: “We take these allegations extremely seriously. The integrity of the league is always our top priority.”

The FBI confirmed that this investigation is not related to previous gambling cases such as the case of Gilbert Arenas (indicted for running a poker room in Encino) or the case of Shohei Ohtani’s interpreter Ippei Mizuhara.

However, this is considered the largest investigation in the history of American sports into illegal betting, spanning many states and involving many former professional athletes.