Professional poker player arrested on charges related to $25 million betting scheme

A Florida man was arrested on Wednesday on charges of fraud and money laundering connected to a sports betting scheme in Long Island and Florida that ranked in more than $25 million, ESPN's David Purdum reported.

According to documents obtained by ESPN, the 61-year-old Cory Zeidman "faces federal charges of conspiracy to commit wire fraud and mail fraud, and conspiracy to commit money laundering as part of the scheme that spanned from 2004 to 2020."

A report from the U.S. Justice Department said Zeidman used radio ads in different U.S. markets to tell listeners he had inside information on fixed sporting events in order to con bettors out of their money. Listeners, drawn in by the "easy money" scheme, were then asked to pay a fee for the information. The information would be false and many people were left almost penniless.

"As alleged, Zeidman defrauded his victims, stole their life savings, and persuaded them to drain their retirement accounts to invest in his bogus sports betting group, all so he could spend it on international vacations, a multi-million dollar residence, and poker tournaments," United States Attorney Breon Peace said in a statement. "Today’s indictment serves as a reminder to all of us to be wary of so-called investment opportunities that purport to have inside information, as they are really a gamble not worth taking." 

Zeidman is a professional poker player who won a bracelet at the World Series of Poker in 2012. He is believed to have co-conspirators who, along with Zeidman, used multiple aliases to conduct their scheme. 

"Mr. Zeidman took advantage of the public’s interest to 'get in on the ground floor' of his sports betting organization," Inspector in Charge Daniel Brubaker said. "He devised a criminal scheme to fatten his pockets using nothing more than people’s love for sports and his clever words wrapped around a fraud.  Postal Inspectors remind investors to thoroughly review all investment offers to ensure they are not left with a line of empty promises and a drained bank account."

Information involving court dates and possible punishment has not yet been released to the public.