The NCAA, the umbrella organization of the economically strong college league, has postponed a planned partial liberalization of sports betting, probably also under the influence of the scandal surrounding manipulated betting and illegal gambling in the NBA. The pressure from US politics and calls for greater regulation of the betting market are becoming louder.
The scandal surrounding illegal gambling and rigged sports betting, in which big names from the NBA are said to be involved, continues to make headlines in the USA. As the US broadcaster ESPN reported with reference to official files, Terry Rozier, a development player for the Miami Heat, received a seizure order for more than eight million dollars from the tax authorities at his place of residence in Florida in 2023. That was the year in which, according to FBI investigations, the NBA veteran was said to have been involved in manipulated bets.
According to this, Rozier had passed on the information to suspected backers before a game that he would be leaving early due to an injury – and thus remain below his average personal statistics. Betting on the performance data of individual players such as points, rebounds or minutes played, so-called “player props”, are very popular in the US betting market.
34 arrests, prominent names – the betting scandal in the NBA is spreading widely
Former NBA player and individual coach Damon Jones, who is also accused, is also concerned with performance-related insider information that he is said to have passed on to betting fraudsters for profit. A total of 34 people were arrested during the investigation. Joseph Nocalla, New York prosecutor and chief investigator, called it ““One of the most brazen cases of a corruption network in sports since the legalization of online sports betting in the USA”.
The revelations have now also shocked US college sports. The final of the college championships in March, “March Madness,” is one of the most popular sporting events in the country. Many of the best German basketball talents also play for US college teams. The governing body of college leagues, the NCAA, has now stopped a planned relaxation of restrictions on sports betting, at least for the time being.
NCAA sets planned liberalization for sports betting for now
Until now, all college athletes, as well as coaches, team supervisors and staff members, were prohibited from participating in any betting in professional sports. This strict ban should be abolished following a decision by the responsible NCAA committee. Also to the students from the sports programs who are interested in sports betting, “to enable easier interaction with fellow students“, according to a statement from an NCAA board of directors.
The corresponding final vote of all NCAA committees, scheduled for November 1st, has now been postponed, initially for three weeks, as the Associated Press reported. The commissioner of the Southeastern Conference, one of the many regional leagues in college sports, wrote a personal message to the NCAA Executive Board and demanded that the planned approval for betting activities by college players be completely scrapped.
College stars with a lot of money – and vulnerable to problematic Gaming behavior
This could also have arisen under the influence of the recent betting scandal and the great public attention. There is a lot of money in the system in college sports. Since a court ruling in 2021, the young athletes, who were previously subject to strict amateur status, have been allowed to market themselves and conclude advertising contracts. The so-called NIL deals (“Name, Image, Likeness”) can quickly reach millions, especially for high-priced college stars with the prospect of an NBA career.
The fact that the young college millionaires are now officially allowed to bet on professional games could possibly send the wrong signal these days – in view of the biggest scandal to date involving insider betting and illegal gambling in US basketball. Especially since young basketball players often develop problematic gambling and betting behavior while still in high school or college, as Jeremi Duru, an expert on match-fixing in US sports from the University of Washington DC, reported to the Sportschau.
Pressure from politics is growing – NBA boss Silver announces review
The college officials may also want to play for time and observe larger political developments. After the latest betting scandal became known, the US Congress is now also looking into the NBA’s numerous partnerships with betting companies and gambling portals – and has asked the NBA to comment. The pressure is growing, league boss Adam Silver announced in a memo to all teams that they would review the previous measures to regulate and monitor the betting market.
However, there were already calls for stronger intervention, especially a ban on “prop bets”, which are particularly susceptible to manipulation, last year when Jontay Porter, an NBA player, was exposed for taking part in illegal bets. As a result, there were no restrictions on the betting market.