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Ex-NBA player Damon Jones is 1st to plead guilty in gambling sweep that led to over 30 arrests

By MICHAEL R. SISAK  -  AP

NEW YORK (AP) — Former NBA player and assistant coach Damon Jones became the first person to plead guilty Tuesday in a gambling sweep that led to the arrests of more than 30 people, including reputed mobsters and other basketball figures.

Jones, 49, entered a guilty plea to a single count of conspiracy to commit wire fraud during the first of back-to-back plea-change hearings in Brooklyn federal court.

Reading a prepared statement to the court, he acknowledged that he conspired with others to defraud sports betting companies by using “insider information that I obtained as a result of my relationships as a former player.”

“I would like to sincerely apologize to the court, my family, my peers and also the National Basketball Association,” Jones said.

He said the goal of the conspiracy, which ran from December 2022 to March 2024, was to use his insider knowledge — which prosecutors say involved nonpublic information about injuries to NBA stars — to make money from sports books.

He acknowledged that his actions violated the NBA’s code of conduct and also the terms of service on sports betting websites.

Jones is due to be sentenced Jan. 6 before Judge LaShann DeArcy Hall. The sentencing guidelines for conspiracy to commit wire fraud call for a punishment of 21-27 months in prison. Jones also agreed to forfeit $35,000. Under the conditions of his bail, he can’t gamble or be involved with organized crime figures and he must get court approval for bank transfers of more than $10,000 unless it’s for legal fees.

Jones is separately charged with profiting from rigged poker games, according to court filings. He's due in court later Tuesday, where he's expected to plead guilty in that case, too.

None of the other defendants have shown a willingness to plead guilty. On Monday, prosecutors said they were seeking additional charges against a co-defendant in the betting case, former Miami Heat guard Terry Rozier.

Jones’ lawyer, Kenneth Montgomery, declined to comment before Tuesday's hearings.

Jones was arrested last October along with Rozier, Portland Trail Blazers head coach and Basketball Hall of Famer Chauncey Billups, and others, including a sports bettor accused of cashing in on injury information.

Jones was one of three people charged in both the poker and sports betting schemes.

Originally from Galveston, Texas, Jones earned more than $20 million playing for 10 teams in 11 seasons from 1999 to 2009. He and James played together in Cleveland from 2005 to 2008, and Jones served as an unofficial assistant coach for James’ Los Angeles Lakers during the 2022-2023 season.

Prosecutors say Jones sold or attempted to sell nonpublic information to bettors that James and former Lakers forward Anthony Davis were injured and either wouldn’t be playing or would play less time in certain games.

In the poker scheme, prosecutors say Jones was among former NBA players used to lure unwitting gamblers to poker games that were rigged using altered shuffling machines, hidden cameras, special sunglasses and even X-ray equipment built into the table.

According to the indictment, Jones was paid $2,500 for a game in the Hamptons where he was instructed to cheat by paying close attention to others involved in the scheme. When in doubt, Jones was told to fold his hand, prosecutors said.

In response, according to prosecutors, Jones texted: “Y’all know I know what I’m doing!!”

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