Betting on Trouble: Sports Gambling Scandals- Where Should the Line Be Drawn?
In 2018, the United States Supreme Court opened the door to sports betting by declaring the Professional and Amateur Sports Protection Act of 1992 unconstitutional. [i] Many states quickly launched their own legal betting markets, and by 2025, 39 states, the District of Columbia and Puerto Rico all have established legal sports betting through state legislation. [ii] Seven years since that ruling, the U.S. sports gambling market has generated more than $40 billion in gross revenue and over $450 billion in total wagers placed. [iii]
Professional leagues and teams, in search of new revenue streams, have eagerly cashed in on the boom through partnering with and endorsing sportsbooks such as DraftKings, FanDuel and Caesars. [iv] Tune into any game and you will likely see betting odds on the bottom of the screen, gambling promos during commercial breaks, and sportsbook logos displayed throughout the arena. Yet, in a twist of irony, athletes and coaches face restrictions on participating in the very activity their leagues now promote and profit from.
This dynamic has led to a growing wave of sports betting scandals and raises tough questions about the legal and policy lines to be drawn between league business and athlete conduct.
From Fringe Scandals to Front-Page Headlines
For decades, significant betting scandals in sports were relatively rare or often involved fringe figures. In 1919, the Black Sox Scandal occurred, where eight members of the Chicago White Sox were accused of conspiring with professional gamblers to rig the outcome of the World Series. In 1989, the MLB’s all-time hits leader Pete Rose was banned for life for allegedly gambling on the team he managed. [v] The NBA’s biggest betting scandal was once a rogue referee who fixed games (Tim Donaghy in 2007). [vi] But today, with legal sports betting now embedded in professional sports, the scandals are not just increasing—they are hitting closer to the center of the game.
In 2024, Toronto Raptors player Jontay Porter received a lifetime ban from the NBA after a league investigation revealed he bet on NBA games, shared insider information with bettors, and even limited his own playing time to influence betting outcomes. [vii] On the heels of that case is an ongoing federal investigation into unusual betting activity tied to former Charlotte Hornets guard Terry Rozier. [viii] In 2023, Rozier left a Hornets game early citing injury and never returned that season, triggering suspicions that, like Porter, he may have been part of a betting scheme. [ix] The NBA had initially found no rule violation by Rozier, but federal prosecutors are now digging deeper. [x] In March 2024, Ippei Mizuhara, longtime interpreter for LA Dodgers star Shohei Ohtani, was fired after stealing nearly $17 million from Ohtani to pay off illegal sports gambling debts. [xi] Scandals have even reached college sports. Last season, athletes from University of Iowa and Iowa State were caught in a betting investigation, with some accused on wagering on their own games, a direct violation of NCAA rules. [xii]
These recent scandals mark a shift from isolated incidents to a troubling trend implicating active players, essential personnel, and staff. As the legal sports betting industry continues to grow, so does the risk that those within the game will be tempted to cross the line.
League Gambling Rules: Are They Working?
The exact rules and recent incidents vary across sports, but the core principle is consistent: don’t bet on your own sport. [xiii] However, there are ambiguities in the broader policies that can catch players in gray areas. In the NFL, Atlanta Falcons receiver Calvin Ridley was suspended for the entire 2022 season for betting on NFL games. [xiv] At the time, he was not an active player on the team due to stepping away for mental health purposes. [xv] The league's investigation found no evidence that Ridley used inside information or that any games were compromised, but the act of betting on football alone violated the NFL’s policy. [xvi] In 2023, two NFL players got six-game suspensions—not for betting on NFL games, but for wagering on non-NFL sports from a team facility. [xvii]
Across these examples, leagues uniformly insist that strict gambling bans are non-negotiable to prevent any real or perceived corruption. But enforcement is difficult in a world where any adult can download a betting app. If a pro athlete is determined to gamble, they could always just use their friend’s accounts, and recent cases show some athletes tried exactly that. Jontay Porter wagered through an associate’s online account to hide his identity, [xviii] and the Iowa college players also bet through others’ names. [xix]
All this leads to a pressing question: Are current gambling restrictions for players and personnel effective or should the lines be redrawn? And if redrawn, would it be to make the regulations stricter or more lenient? Clearly, not all rule breaks are equal—some are the result of a misunderstanding of ambiguous rules, and some are players purposefully altering their performance for a payout. The value of having some form of restriction is clear. Rules maintain competitive integrity, avoid conflicts of interest, and protect athletes from external pressure. As NBA Commissioner Adam Silver emphasized, “there is nothing more important than protecting the integrity of NBA competition for our fans, our teams and everyone associated with our sport.” [xx] However, as betting becomes increasingly ubiquitous, the greater the need for league rules to protect this integrity. If leagues relax their betting regulations for players and personnel, they could be opening the door for more Jontay Porter situations.
Yet, in a culture where the leagues so heavily embrace betting, some could call this blanket ban on betting on your own sport outdated. With sports gambling now mainstream entertainment for fans and a major revenue stream for leagues, is it realistic or fair to expect athletes to be completely hands-off? One alternative could be a narrower rule. For instance, prohibit betting on one’s own team or games, but allow other betting. The NFL recently updated its gambling policy to impose a harsher two-year ban for betting on one’s own team, as opposed to a one-year suspension for betting on other teams, suggesting a pivot towards more proportionate discipline. [xxi]
Looking Ahead: Evolving Legal Questions
Sports rules change over time, and attitudes might shift in a generation. If league betting policies were ever to soften, athletes punished under older polices may seek redress. Consider Reggie Bush, who had his 2005 season vacated for NCAA violations and later sued to restore his standing when NIL rules changed. [xxii] If betting restrictions ease in the future due to the rapidly changing landscape, could banned players litigate for reinstatement? It’s a speculative question, but one that reveals the legal complexities ahead.
[i] Sports Gambling Scandals, ESPN, https://www.espn.com/ (last visited April 4, 2025)
[ii] Id.
[iii] Sports Betting Revenue, Legal Sports Report, https://www.legalsportsreport.com/ (last visited April 4, 2025)
[iv] Partnership Tracker, Sports Handle, https://sportshandle.com/ (last visited April 4, 2025)
[v] Pete Rose Gambling Scandal- MLB Hits Record Banned For Betting, The Sporting News, https://www.sportingnews.com/us (last visited April 4, 2025)
[vi] How Former Ref Tim Donaghy Conspired to Fix NBA Games, ESPN, https://www.espn.com/ (last visited April 4, 2025)
[vii] Jontay Porter Pleads Guilty to Case Tied to NBA Betting Scandal, ESPN, https://www.espn.com/ (last visited April 4, 2025)
[viii] Terry Rozier NBA Betting Investigation, CNN, https://www.cnn.com/ (last visited April 4, 2025)
[ix] Id.
[x] Id.
[xi] Former Interpreter Sentanced to Nearly 5 Years Prision for Illegally Transferring Nearly $17m, United States Attorney’s Office, https://www.justice.gov/usao-cdca (last visited April 4, 2025)
[xii] Inside Iowa and Iowa State's NCAA Gambling Investigation, ESPN, https://www.espn.com/ (last visited April 4, 2025)
[xiii] What Are The Gambling Policies For Each Sports League, NBC Los Angeles, https://www.nbclosangeles.com/ (last visited April 4, 2025)
[xiv] NFL Suspends Atlanta Falcons WR Calvin Ridley, ESPN, https://www.espn.com/ (last visited April 4, 2025)
[xv] Id.
[xvi] Id.
[xvii] The NFL Suspends 5 Players For Violating Gambling Policy, National Public Radio, https://www.npr.org/ (last visited April 4, 2025)
[xviii] Jontay Porter Pleads Guilty to Case Tied to NBA Betting Scandal, ESPN, https://www.espn.com/ (last visited April 4, 2025)
[xix] Inside Iowa and Iowa State's NCAA Gambling Investigation, ESPN, https://www.espn.com/ (last visited April 4, 2025)
[xx] Jontay Porter Banned From NBA For Violating Leagues Gaming Rules, NBA Official, https://official.nba.com/ (last visited April 4, 2025)
[xxi] NFL Toughens Bets On Teams / New Gambling Policy , ESPN, https://www.espn.com/ (last visited April 4, 2025)
[xxii] Reggie Bush Sues USC, Pac-12, NCAA for NIL Compensation, ESPN, https://www.espn.com/ (last visited April 4, 2025)