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Former Jaguars Employee Sues FanDuel Over Gambling Addiction
SportsGrid
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10/2/2024
Category
🥇
Sports
Transcript
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00:00
All right, so here we go here.
00:05
We knew about this story, I believe it was earlier this year, last year, there was an
00:09
employee of the Jacksonville Jaguars who appears to be addicted to gambling, stealing a lot
00:15
of money, allegedly, from the Jacksonville Jaguars, had a sentencing involved, reparations
00:20
involved, where he basically was just taking funds from the Jags who make a fortune and
00:26
using it to bet on sports.
00:28
And now the same employee is suing the sports book, essentially, correct me if I'm wrong,
00:35
for saying you guys should have stopped me from betting.
00:43
Tell me where I'm wrong here about this and how in the world this is legitimate.
00:46
Yeah, Craig, it really is a crazy story that we heard from first last year and doesn't
00:52
seem to be going away.
00:54
It's actually even more nuanced than that, though, because this is all around daily fantasy
00:58
sports, not technically sports betting.
01:01
And we'll get into that a little bit later, how that kind of creates an even more confusing
01:05
case and adds even more ambiguity about who is right and who is wrong here.
01:10
But you have Amit Patel, the former Jacksonville Jaguars employee who pled guilty last year
01:15
to stealing more than twenty two million dollars from the team and then using that money to
01:20
fund his daily fantasy sports play and also a lavish lifestyle, which included private
01:26
jets and golf memorabilia from eBay.
01:29
He's now suing Vandal, saying that they purposely ignored signs of problem gambling and allegedly
01:36
coerced him to spending more and more to the point where he would have to hit rock bottom
01:41
and accusing the company of ignoring anti money laundering protocols, essentially trying
01:46
to get him to do this and pushing him to this place.
01:49
He's currently serving six and a half years in federal prison in South Carolina for admitting
01:54
to embezzling all that money.
01:56
He also could.
01:57
Oh, I think this is important to note.
01:59
Eighty eight million dollars to the Jaguars, depending on the outcome of another civil
02:04
case.
02:05
He was already ordered to pay about 20 million dollars, which he probably does not have.
02:09
And the Jaguars are also suing him in southern Florida for that extra 60 million dollars
02:14
in change.
02:15
He's seeking 250 million dollars here from Vandal, filed this lawsuit in the Southern
02:20
District of New York on Tuesday, alleging that Vandal used things like VIP perks, a
02:26
million dollars in credits to keep playing daily fantasy sports trips, the Super Bowl
02:30
to all keep him hooked.
02:32
It also names a former Vandal VIP host who actually now works at Fanatics.
02:36
He says this guy targeted him and allegedly exasperated, exacerbated his addiction to
02:42
the point where he would be texting him 100 times per day off of Vandal's platform, allegedly
02:47
even acknowledging that he was breaking anti-money laundering protocols.
02:50
So I think the really important thing here to note is the bulk of this activity was all
02:55
daily fantasy sports, which in Florida, that was the only option you had at the time.
03:01
This was before Hard Rock launched Vandal doesn't offer sports betting in Florida.
03:05
So that wouldn't have been able to happen anyway.
03:08
And while DFS has a lot of similarities to sports betting and in some cases outright
03:12
elements that mirror gambling legally, it's treated very differently and very differently
03:17
depending on the state.
03:19
We have states rights to thank for that and the unlawful Internet Gambling Act of 2006,
03:24
which created this whole kind of mess of is it fancy sports?
03:27
Is it gambling?
03:28
So he's saying that Vandal allowed this to continue and only notified the Jaguars once
03:33
he owed all this money.
03:35
But according to NFL rules, you can only really notify someone of something happening once
03:41
they're placing the sports bet because working as an employee for a NFL organization and
03:47
betting on sports is illegal.
03:49
Daily fantasy sports, not technically sports betting, it's treated a little differently.
03:53
So what I've heard from people close to the situation is once he actually tried to place
03:57
a sports bet in a state that had sports betting on Vandal's platform, that was flagged to
04:02
the team, which then triggered this investigation.
04:04
And then fast forward months later, he's in jail.
04:06
He owes millions of dollars.
04:08
This whole thing has kind of unfolded.
04:10
So to me, this kind of seems like a big swing from Patel and his lawyers to try to recoup
04:15
some of that money that he allegedly owes.
04:17
They've talked about his gambling addiction in the past, sort of saying that, you know,
04:21
we acknowledge that he did a wrong thing here, but also he suffers from this addiction.
04:25
So I would expect Vandal to fight this as hard as they can, especially considering that
04:31
probably in their minds, they feel like they did the right thing and flagged this to the
04:34
team under the rules.
04:36
It's much, much harder to track people who are playing fantasy sports.
04:40
But this case is, you know, one that won't go away.
04:42
I'm sure this is not the last we hear on this lawsuit and the other lawsuits that are pending.
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