NEW YORK – LEGAL – Poker professional Cory Zeidman has admitted guilt in a years-long scheme that defrauded sports bettors in New York and Florida of millions of dollars. The 64-year-old pleaded guilty in federal court in Central Islip, New York, to charges of mail and wire fraud conspiracy.
The scam falsely promised inside information on professional sports events, bilking victims of approximately $3.6 million. Zeidman faces up to 20 years in prison when sentenced.
A Fraudulent Scheme Unveiled
Federal prosecutors revealed that Zeidman and his co-conspirators advertised nationally to attract prospective bettors. Using high-pressure tactics and pseudonyms, they claimed access to insider information, such as player injuries, referee biases, and fixed outcomes. Victims paid exorbitant fees for this so-called “privileged” information, which was fabricated or based on easily accessible internet data.
Impact on Victims
U.S. Attorney Breon Peace highlighted the scheme’s impact, stating:
“Zeidman and his partners baited unsuspecting victims with false claims of an edge in sports betting, pocketing millions from their savings and retirement accounts.”
Homeland Security Investigations (HSI) Special Agent in Charge William S. Walker added:
“Zeidman exploited his clients with deceptive practices and outright lies while profiting handsomely.”
Law Enforcement’s Commitment
The investigation involved multiple agencies, including the U.S. Postal Inspection Service and Nassau County Police Department, which collaborated to dismantle the operation. Officials reiterated their dedication to protecting the public from similar fraudulent schemes.
A Reminder for Northwestern Ontario Residents
While this case unfolded in the U.S., its lessons resonate beyond borders. Canadians, including residents in Thunder Bay, should remain vigilant about scams involving “guaranteed” betting tips or investment opportunities. Fraudulent schemes prey on trust and vulnerability, leaving victims financially and emotionally devastated.
If you suspect you’ve encountered a similar scam, report it to local authorities or contact the Canadian Anti-Fraud Centre.
