An extensive investigation led by the FBI has unveiled a sophisticated illegal poker rigging scheme that has resulted in 31 federal indictments. This case, which involves high-profile figures from the NBA, including Basketball Hall of Famer Chauncey Billups and former NBA player Damon Jones, revolves around the manipulation of poker games, particularly Texas Hold ’em, to defraud wealthy players.
The alleged scheme began in April 2019, orchestrated by defendant Robert “Black Rob” Stroud and a network of co-conspirators. They devised a method to use technology, including X-ray poker tables and card-shuffling machines, to gain an unfair advantage against unsuspecting players, often referred to as “fish” or “whales.” These players, while aware that they were participating in illegal high-stakes games, believed they were competing against other affluent opponents in fair conditions.
The operation relied heavily on technology. Card-shuffling machines were programmed to transmit information regarding the order of cards dealt to an off-site operator. Some games utilized X-ray tables and hidden cameras to further assist in reading the cards. Occasionally, players wore special contact lenses or glasses that enabled them to see marked cards.
Once the operator had the necessary information about the cards in play, a designated “quarterback,” such as defendant John Mazzola, would communicate subtle signals to the rest of the cheating team. In a specific example from a court document detailing a game in September 2024, Mazzola would signal his teammates by touching his arm or a poker chip, indicating whether he or another player had the strongest hand.
To maintain the illusion of fair play, co-conspirators often texted one another during games to coordinate strategies. They would sometimes allow victims to win a hand to encourage continued participation. During a Miami game, defendant Michael Renzulli messaged his co-conspirators to let a player win, ensuring he would remain engaged in the game.
The involvement of organized crime, specifically the Mafia, added another layer to this scheme. The Bonanno and Gambino crime families, with support from the Genovese crime family, allegedly provided protection and merged their own illegal poker operations with the rigged games. Court documents indicate that these crime families operated in Manhattan, at locations such as 147 Lexington Avenue and 80 Washington Place, and leveraged the technology supplied by Stroud to facilitate the rigging.
In one incident, the Mafia reportedly robbed an individual, known only as “John Doe No. 7,” of a shuffling machine valued at over $10,000. The financial management of the scheme also mirrored tactics associated with organized crime. In November 2022, defendant Zhen Hu allegedly threatened “John Doe No. 5” regarding unpaid gambling debts. Similarly, co-conspirators extorted another victim, “John Doe No. 6,” by invoking their Mafia connections to compel him to pay a $10,000 debt.
Additionally, defendant Anthony Shnayderman is accused of laundering the proceeds from the poker games through shell companies, ultimately paying co-conspirators in cash or cryptocurrency.
According to Christopher Raia, assistant director in charge with the FBI, “Using the allure of high-stakes winnings and the promise to play alongside well-known professional athletes, these defendants allegedly defrauded unwitting victims out of tens of millions of dollars and established a financial pipeline to La Cosa Nostra.” The total losses incurred by victims are estimated at least $7.15 million, with one individual, known as “John Doe No. 1,” losing $1.8 million in games staged during June and July 2023.
Following the indictments, Billups appeared in court on November 24, 2023, and was released on substantial bond conditions. His attorney, Chris Heywood, stated they intend to contest the charges. The breadth of this investigation highlights the intersection of organized crime and professional sports, illustrating a complex web of deceit that extends far beyond the poker table.
