Cory Zeidman, a well-known sports-betting and poker professional, has pled guilty in a federal court to charges of mail and wire fraud in connection with his involvement in a fraudulent sports-betting operation. The scheme misled bettors across the country into believing the operators had access to insider information that would give them an edge on betting outcomes.
Zeidman’s Role in a Multi-Million Dollar Fraud
At 63 years old, Zeidman, who resides in Florida, admitted his role in the years-long fraudulent scheme, which extracted millions of dollars from unsuspecting bettors. Zeidman and his group ran a deceptive operation that included radio advertisements nationwide, falsely promising bettors access to “non-public player injury information,” insider knowledge about “dirty” referees, and claims that professional sporting events were “fixed.”
These claims were entirely fabricated. Instead of possessing the inside information they promised, Zeidman and his team simply made up the details, continuously altering their stories and business fronts throughout the operation. Zeidman has agreed to forfeit $3.6 million, and he faces up to 20 years in prison when sentenced. While the sentencing date has not been set, it is expected to occur in early 2025.
Zeidman’s Poker Career and Reputation
Known for his successful poker career, Zeidman won the $1,500 Seven Card Stud Hi-Lo 8 or Better event at the 2012 World Series of Poker (WSOP), earning his first bracelet and a career-best $201,559. He also gained notoriety for his outspoken personality, making memorable arzimasks.com best-restaurants-in-marrakech.com capitalator.com cyclehousefamily.com dowdingshop.com appearances on televised poker shows such as Poker After Dark, where he famously clashed with Phil Hellmuth. Throughout his poker career, Zeidman has earned over $690,000 in live tournament cashes, with his most recent earnings coming in May 2022, just before his arrest.
$25 Million Illicit Income from Betting Scheme
The fraudulent sports-betting operation, which authorities have named the ‘Phoenix Organization,’ is believed to have raked in at least $25 million. Zeidman was indicted in May 2022 for his role as one of the leaders of the group, which preyed on bettors looking for an edge. Federal and local law enforcement agencies worked together on the investigation, and Zeidman’s guilty plea was part of a broader effort to bring the deceptive operation to a halt.
Breon Peace, the United States Attorney for the Eastern District of New York, stated, “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.”
William S. Walker, Special Agent in Charge of Homeland Security Investigations New York, emphasized that Zeidman exploited his clients with high-pressure tactics and deceit, saying, “The public deserves to know the truth concerning where their money is going.”
This guilty plea serves as a reminder of the risks in the world of sports betting and the lengths some individuals will go to deceive others for financial gain. The case highlights the continued efforts of law enforcement to combat fraud and protect consumers.