Amit Patel, a former Jacksonville Jaguars employee who embezzled $22 million from the team, is suing FanDuel for allegedly exploiting his daily fantasy sports addiction and ignoring responsible gaming protocols.
Patel’s lawsuit, filed Tuesday in federal court in New York, claims FanDuel encouraged his DFS play despite clear signs of addiction. He is seeking $250 million in damages from FanDuel.
Patel, who worked in the Jaguars’ financial department, is currently serving a 6.5-year sentence in federal prison after admitting to using team funds to fuel his DFS addiction and lavish lifestyle. He could owe the Jaguars up to $87.7 million, depending on the outcome of a civil suit.
Allegations against FanDuel
According to the lawsuit, FanDuel provided Patel with $1.1 million in bonus credits and VIP perks, including trips to major sporting events like the Super Bowl and The Masters.
Patel argues these incentives worsened his addiction, pushing him further into financial ruin.
“Defendants actively and intentionally targeted and preyed on Plaintiff with incentives, credits, and gifts to create, nurture, expedite, and/or exacerbate his addiction with the only possible outcome that he would ultimately hit rock bottom,” Patel’s attorney, Matthew Litt, wrote in the complaint.
Allegations against former VIP host
FanDuel, citing its policy on ongoing legal matters, declined to comment on the lawsuit.
Patel’s claims extend to Brett Krause, his former VIP host at FanDuel. Krause, who no longer works for the company, allegedly encouraged Patel’s behavior by maintaining frequent contact, even on days Patel was not placing DFS entries.
According to the lawsuit, Krause communicated with Patel up to 100 times a day between 2021 and 2023. On several occasions, Krause allegedly acknowledged they were “breaking AML [anti-money laundering] protocol,” by communicating outside FanDuel’s system.
Krause last worked at Fanatics Betting and Gaming, according to his LinkedIn. His legal team could not be reached for comment.
Patel says FanDuel ignored DFS play
The lawsuit suit alleges that FanDuel ignored his status as a league employee, allowing his activity to go unreported.
“Defendants knew, through Krause, that the Plaintiff worked for a National Football League team and was not permitted to gamble on the National Football League,” the suit states.
Patel’s gambling issues centered on DFS during a time when legal sports betting was not available in his home state of Florida.
According to sources with knowledge of the situation, Patel’s activity was flagged to the Jaguars once he tried to place a legal wager on FanDuel’s sports betting platform. League policy prohibits NFL employees from betting on any sports, though rules surrounding DFS differed during his tenure.
Patel on hook for millions
In March 2023, Patel pled guilty to wire fraud and illegal monetary transactions, admitting to defrauding the Jaguars to fund his DFS play and personal expenses.
Patel must pay $21.1 million in restitution to the Jaguars, along with his prison sentence. As part of his recovery, Patel is participating in therapy and attending Gamblers Anonymous meetings
In July, the team filed a separate lawsuit against Patel in Florida state court, seeking an additional $66.6 million in damages related to his embezzlement. The Jaguars have also asked that FanDuel reimburse them for their financial losses, though FanDuel has not publicly responded.