FanDuel is facing a $250 million lawsuit from a former Jacksonville Jaguars employee who stole $22 million from the team, alleging that the operator exploited his addiction. The lawsuit, filed in the Southern District of New York, claims that FanDuel bypassed anti-money laundering (AML) and responsible gambling policies to enable the theft.
The 31-year-old employee spent approximately $20 million on FanDuel daily fantasy sports contests, with the sportsbook operator providing incentives such as free entries worth $1.1 million, tickets to events like the US Masters and Miami Grand Prix, and a high-profile college football game. Patel’s personal account manager at FanDuel reportedly contacted him 100 times a day and admitted to breaking certain AML rules.
Patel’s legal counsel argues that FanDuel cannot be absolved of all responsibility in the case and calls for changes to prevent similar incidents involving problem gamblers in the future. Patel is currently serving a six-and-a-half-year prison sentence after pleading guilty to illegal monetary transactions and wire fraud.
The lawsuit highlights the dangers of unchecked gambling addiction and the need for stricter regulations to protect vulnerable individuals from exploitation by gambling operators. It serves as a cautionary tale for both the industry and individuals struggling with addiction, emphasizing the importance of responsible gambling practices and ethical conduct in the gaming industry.