The Indiana Gaming Commission (IGC) released additional details Monday related to Indiana sports betting violations involving FanDuel, and a recent federal indictment appears to provide even more information.
Eight people are accused of illegally using an Arizona Federal Credit Union debit card to fund Indiana sports betting accounts, place bets, and withdraw cash.
The debit card belonged to a retiree and his spouse. The couple told the IGC the incident caused them “great harm.”
Timeline of IN sports betting violations
On February 7, 2022, a customer at FanDuel’s retail sportsbook at Blue Chip Casino in Michigan City, IN made a large mobile deposit.
The customer made a bet for the deposit amount and then cashed out the wager before the event started. Blue Chip Casino notified the IGC of the suspicious activity in March.
Next step in Indiana investigation
The IGC investigation found seven more people were using this same Arizona Federal Credit Union debit card to fund Indiana sports betting accounts, place bets, and withdraw cash.
The group made 126 successful deposits totaling more than $145,000. They withdrew $136,900, including $35,650 in cash, from the FanDuel Sportsbook at Blue Chip Casino.
It is unclear if the victims received any money back. The IGC cannot force restitution for the couple.
Federal indictment mirrors IGC findings
In August 2023, a federal indictment outlining similar details to the IGC investigation was filed in the Northern District of Indiana.
The indictment accuses Tyrus Veals of Lafayette, IN, of improperly using a Phoenix resident’s debit card from a local credit union.
The indictment claims Veals made over 100 unauthorized payments to an online gambling company totaling more than $120,000. Transactions took place over six months between November 2021 and April 2022.
The US Attorney’s Office for the Northern District of Indiana declined to comment on the apparent connection to the IGC investigation when reached by LSR.
IN sports betting settlement
The IGC accused FanDuel of failing to respond “timely and appropriately” to questions about the incident.
Blue Chip Casino reported the incident to the IGC in March 2022, though FanDuel did not file a separate fraud form until July 2022.
FanDuel acknowledged the issues with handling the incident and agreed to pay a $90,000 settlement. FanDuel did not respond to a request for comment by LSR.
Stronger Indiana sports betting rules
Indiana sports betting rules prohibit players from funding their accounts with someone else’s debit or credit card.
At a public meeting last week, state gaming regulators said they are currently looking at ways to strengthen rules around improper use of debit and credit cards.