After NBA Gambling Scandal, Tonko Calls for Action on SAFE Bet Act

On Thursday, Portland Trailblazers Head Coach Chauncey Billups, Miami Heat player Terry Rozier, and a number of alleged organized crime figures were arrested after being accused of participating in rigged, illegal poker games.

According to an indictment filed in the Eastern District of New York, victims of these poker games believed they were competing against other players on equal footing. But the games were allegedly rigged using wireless technologies that enabled the defendants to read the cards dealt in each hand and relay that information to co-conspirators. According to the indictment, the victims of these card games were cheated out of millions of dollars.

Former NBA player Damon Jones was also embroiled in the wide-ranging scandal after he was accused of selling insider information for the purpose of placing illegal bets prior to at least two Los Angeles Lakers games.

The scandal has sparked a discussion about the increasing influence of sports betting, which is now legal (in some form) in 38 states. Evidence shows that gambling addiction rates have increased significantly in the last few years since sports betting became legalized across much of the country. Virginia saw a 973% increase in the number of problem gambling helpline callers, while Florida saw a 138% increase and New Jersey reported a 277% increase.

In response to all this, Congressman Tonko has renewed his call to pass the SAFE Bet Act, which he introduced last year.

“Scandals like this are an inevitable consequence of the unchecked explosion of the sports betting industry,” Tonko said in a statement issued on Oct. 23. “The constant, unfettered access to sports gambling destroys public trust in the game, while having dire consequences for countless persons across our nation struggling with problem gambling. Now more than ever, we need to pass my SAFE Bet Act to address the public health implications of gambling and protect the integrity of our sports. It’s past time for the NBA and other professional leagues to support establishing these minimum federal safety standards and meaningfully show that they value the trust of their fans and the integrity of their sport.”

Among other things, the Supporting Affordability and Fairness with Every Bet (SAFE Bet) Act would:

• Prohibit all proposition bets featuring college and amateur athletes;

• Prohibit sports betting advertising from being broadcast between 8 a.m. and 10 p.m.;

• Prohibit sports betting advertising during live sporting events;

• Prohibit sports betting advertisements designed to induce gambling with “bonus,” “no sweat,” “bonus bets,” or odds boosts, or similar promotions;

• Prohibit reckless or purposeful targeting of problem gamblers, individuals suffering from gambling disorder, or individuals ineligible to place a bet, including those under 21 years of age;

• Prohibit operators from accepting more than 5 deposits from a customer in a 24-hour period;

• Prohibit operators from accepting deposits via credit card;

• Require operators to conduct ‘affordability checks’ on customers before accepting wagers in excess of $1,000 in a 24-hour period or $10,000 in a 30-day period and verify that proposed deposits do not exceed more than 30 percent of the individual’s monthly income through the application of a reasonable lender standard;

• Prohibit the use of artificial intelligence to track individual player’s gambling habits; 

• Prohibit the use of artificial intelligence to create individualized offers and promotions to customers.

Tonko first introduced the bill at a Washington, D.C. press conference on Sept. 12 of last year. He also previously authored the Betting on our Future Act, which would have banned all online and electronic advertising of sports gambling.