2007 NBA betting scandal

Last updated

Tim Donaghy TimDonaghyMugshot.81.jpg
Tim Donaghy

The 2007 NBA betting scandal was a scandal involving the National Basketball Association (NBA) and accusations that an NBA referee used his knowledge of relationships between referees, coaches, players and owners to bet on professional basketball games. In July 2007, reports of an investigation by the Federal Bureau of Investigation (FBI) were made public, which alleged that during the 2005–06 and 2006–07 NBA seasons, referee Tim Donaghy bet on games in which he officiated. [1] Donaghy later admitted to betting on games he officiated in each of the 2003–04, 2004–05, 2005–06, and 2006–07 seasons. [2]

Contents

Donaghy has claimed that instead of using his position as an on-court referee to advance his bets, he exploited his insider knowledge to wager on NBA games, regardless of whether he was officiating them. However, some of Donaghy's co-conspirators cooperated with the government and claimed that they only became involved because Donaghy offered a high win rate on the games which he officiated. Similarly, Donaghy's best friend, Tommy Martino, noted that during most of the scandal's four-year span, Donaghy only offered bets on games which he officiated. Furthermore, Donaghy's betting predictions for the outcomes of games which he did not officiate were typically incorrect, so the co-conspirators generally avoided placing bets on such matches. [3] [4] [5] [6] Researchers with access to Donaghy's offshore betting accounts, electronic betting records, and betting line data have demonstrated that most of the betting activity involved games officiated by Donaghy. [7] [8] [6]

On August 15, 2007, Donaghy pleaded guilty to two federal charges related to the investigation. In 2008, he was sentenced to 15 months in prison and three years of supervised release.

Initial report

The story first broke when the New York Post reported that the FBI was investigating allegations that an NBA referee had bet on games. [9] The story was soon picked up by other major news agencies, [1] [10] [11] as it was revealed that Donaghy was the referee under investigation. The reports claimed that Donaghy had started betting on games in 2005, and had connections to organized crime. [11] Reporters, especially those who worked crime beats and who had quality law enforcement and "street" sources, soon discounted the supposed involvement of the mob in the scandal, however. [12] [13] [14]

The day after the initial reports, NBA commissioner David Stern said that "no amount of effort, time or personnel is being spared to assist in this investigation, to bring to justice an individual who has betrayed the most sacred trust in professional sports, and to take the necessary steps to protect against this ever happening again." [15] He then held a press conference on July 24 to address questions about the investigation. Although he called the Donaghy matter "an isolated case," he also said it was "the most serious situation and worst situation that I have ever experienced." [16]

On July 27, U.S. Congressman Bobby Rush of Illinois, chairman of the Energy and Commerce Commerce, Trade and Consumer Protection Subcommittee, asked to meet with Stern regarding the Donaghy matter. In a letter to Stern, Rush indicated that he might call a hearing "should the facts warrant public scrutiny." He also said that the affair could potentially be "one of the most damaging scandals in the history of American sports." [17] [18] On the same day, it was reported that a high school classmate of Donaghy's, and the classmate's boss, had bet on NBA games based on Donaghy's tips. [19] Donaghy later revealed that he was rewarded $2,000 cash for each correct pick based on the tips he would pass along. It was further learned Donaghy's pay was increased from $2,000 per correct pick to $5,000 after the first few games of the 2006-07 portion of the 4-season scandal. [20]

Surrender

After the initial reports, Donaghy stayed at his home, before moving to a secure location to avoid media scrutiny. [21] He surrendered on August 15, 2007, and pleaded guilty to two felony charges of conspiracy. [22] He told judges that he had used coded language to tip others about players' physical condition and player/referee relations, and he specifically admitted to passing information about two games during the 2006–07 season. In total, Donaghy claimed he received $30,000 to pass inside information to the bookies. [23] Donaghy's co-conspirators disputed his accounting, with his best friend and fellow government cooperator Tommy Martino claiming Donaghy was paid $120,000 between December 2006 and April 2007 and pro gambler Jimmy Battista claiming he paid Donaghy between $201,000 and $209,000. [24] Donaghy also claimed that he had a severe gambling addiction, and was on medication to address it. [25] He was released on a $250,000 bond. [22]

Allegations of improper playoff refereeing

On June 11, 2008, Donaghy alleged in a statement through his lawyers that several series in the NBA Playoffs had been improperly refereed according to the NBA's instructions. He alluded specifically to a playoff game where "personal fouls [resulting in obviously injured players] were ignored even when they occurred in full view of the referees" because "it was in the NBA's interest to add another game to the series." [26] The game referred to was widely believed to be Game 6 of the 2002 Western Conference Finals between the Los Angeles Lakers and the Sacramento Kings, in which the Lakers shot 27 free throws in the fourth quarter. [27] Donaghy also referred to a playoff series where "Team 3's Owner alleged that referees were letting a Team 4 player get away with illegal screens. NBA Executive Y told Referee Supervisor Z that the referees for that game were to enforce the screening rules strictly against that Team 4 player." [26] The playoff series was believed to be the first-round encounter between the Houston Rockets and the Dallas Mavericks in the 2005 NBA Playoffs. The Rockets led 2–0 in the series before losing in 7 games, [28] and then-Rockets head coach Jeff Van Gundy was fined $100,000 for stating that a referee was targeting Houston center Yao Ming. [29] Federal authorities investigated Donaghy's claims and found no evidence to support them. About this, AUSA Jeffrey Goldberg told the court, "we've never taken the position that Mr. Donaghy has lied to us. But there is a difference between telling the truth and believing you're telling the truth and finding out later that a number of the allegations don't hold any water." [30]

Sentencing

On July 29, 2008, Donaghy was sentenced to 15 months in prison, and three years of supervised release. Although his lawyer asked for a probationary sentence, Donaghy admitted that he had "brought shame on myself, my family and the profession." [31] Judge Carol Bagley Amon noted she held Donaghy "more culpable" in the business "arrangement" than his two co-conspirators and added, "Without Mr. Donaghy, there was no scheme." [32]

Donaghy was released from federal prison on November 4, 2009. Before being released he wrote a tell all book on himself and the NBA titled Personal Foul: A First-Person Account of the Scandal That Rocked the NBA. Many of the key claims Donaghy makes in the book and in related appearances have been debunked with evidence. Some of the main falsehoods debunked concern specifics about the NBA (e.g., game outcomes, related player stats) and especially about the scandal itself (e.g., the origin of the scandal, allegations of organized crime involvement and threats, which games were bet, the sociology of the betting, how the scandal ended) along other vital issues pertaining to the FBI's investigation, the government's prosecution, and the sentencing judge's assessment of his actions. [33] [34] [35] [36] [37] [38] Donaghy was released to the supervision of federal parole-type officer. [39]

Reaction

Immediately after the reports were released, several writers said that the NBA's popularity would be hurt by the news. [40] [41] [42] Chris Sheridan of ESPN said that "the general American public has been turning away since the end of the Bulls' dynasty, and this fiasco isn't going to help bring it back," [40] and J. A. Adande said that "the integrity of the games just took a major hit." [41]

Sports gambling expert R. J. Bell, president of sports betting information site Pregame.com, tracked every game Donaghy worked from 2003 to 2007. He discovered that during the two seasons investigated by the NBA, the teams involved scored more points than expected by the Las Vegas sports books 57 percent of the time. In the previous two seasons, this only happened 44 percent of the time. According to Bell, the odds of such a discrepancy are 1 in 1,000, and there was "a 99.9 percent chance that these results would not have happened without an outside factor." He also found 10 straight games in 2007 in which Donaghy worked where the point spread moved 1.5 points or more before the tip — an indication that big money had been wagered on the game. The big money won every time — another indication that "something [was] going on." However, Bell suggested that there was no way anyone who wasn't in on the fix could have known that something was amiss about Donaghy's actions during a game; he said it would have been another year at the earliest before anyone could have caught on. [43]

Handicapper Brandon Lang told ESPN [44] that it is fairly easy for a crooked sports official to fix a game, despite Stern's insistence that Donaghy was a "rogue official." According to Lang, an official can directly influence the outcome of a game 75 percent of the time if he has money on the game. For instance, Lang said that a crooked NBA referee can fix the total score by calling enough fouls to get both teams in the bonus. When a game is being fixed, Lang said, the officials should be the prime suspects because the players are making too much money to risk their future. Lang also believed a bookie connected to the mob turned Donaghy in to the FBI. [45]

As a result of the betting scandal, Stern revised the guidelines on the behavior of NBA referees during the Board of Governors' meeting in 2007. Despite the labor agreement for referees, which restricted them from participating in almost all forms of gambling, it was revealed that about half of the NBA's officials had made bets in casinos, albeit not with sportsbooks. In addition, almost all referees had admitted to engaging in some form of gambling. Stern stated that "[the] ban on gambling is absolute, and in my view it is too absolute, too harsh and was not particularly well-enforced over the years." The gambling rules were revised to allow referees to engage in several forms of betting — though not on sports. There were several other referee-related rule changes made: the announcement of referees of a game was moved from 90 minutes before tip-off to the morning of the game, to reduce the value of the information to gamblers; referees received more in-season training and counseling on gambling; more thorough background checks were carried out; the league declared its intention to analyze the statistical relationship between NBA games and referees' gambling patterns for those games; and the interactions between referees and NBA teams were made easier and more formal. [46]

See also

Related Research Articles

The National Basketball Association (NBA) is a professional basketball league in North America composed of 30 teams. It is one of the major professional sports leagues in the United States and Canada and is considered the premier professional basketball league in the world.

In organized sports, point shaving is a type of match fixing where the perpetrators try to change the final score of a game without changing who wins. This is typically done by players colluding with gamblers to prevent a team from covering a published point spread, where gamblers bet on the margin of victory. The practice of shaving points is illegal in some countries, and stiff penalties are imposed for those caught and convicted, including jail time.

In organized sports, match fixing is the act of playing or officiating a contest with the intention of achieving a predetermined result, violating the rules of the game and often the law. There are many reasons why match fixing might take place, including receiving bribes from bookmakers or sports bettors, and blackmail. Competitors may also intentionally perform poorly to gain a future advantage, such as a better draft pick or to face an easier opponent in a later round of competition. A player might also play poorly to rig a handicap system.

<span class="mw-page-title-main">Dick Bavetta</span> American basketball referee (born 1939)

Richard W. Bavetta is an American retired professional basketball referee for the National Basketball Association (NBA). He debuted in the league in 1975 and never missed an assigned game, and he holds the league record for most officiated games with 2,635.

<span class="mw-page-title-main">2002 NBA playoffs</span> Basketball competition

The 2002 NBA playoffs were the postseason tournament of the National Basketball Association's 2001–02 season. This was the final postseason that held a best-of-5 first-round series; the 2003 NBA playoffs saw those series expand to a best-of-7 format. The tournament concluded with the Western Conference champion Los Angeles Lakers defeating the Eastern Conference champion New Jersey Nets 4 games to 0 in the 2002 NBA Finals. Shaquille O'Neal was named NBA Finals MVP for the third straight year.

<span class="mw-page-title-main">Joey Crawford</span> American basketball referee (born 1951)

Joseph Crawford is an American retired professional basketball referee who worked in the National Basketball Association (NBA) between 1977 and 2016. Crawford, who wore uniform number 17, was regarded as one of the most punitive and controversial officials in the NBA and developed a reputation for assessing technical fouls against both players and coaches. As of the conclusion of the 2014–15 NBA season, Crawford had worked more playoff (313) and NBA Finals games (50) than any other active referee in the league. He officiated in every NBA Finals series from 1986 to 2015, only missing 2007 due to suspension. In addition to playoff games, Crawford officiated the NBA All-Star Game in 1986, 1992 and 2000.

James Michael "Jake" O'Donnell is a former sports official who worked as a National Basketball Association (NBA) referee for 28 seasons from 1967 to 1995, and also as an umpire in Major League Baseball for four seasons from 1968 to 1971. He is the only person to officiate All-Star games in both Major League Baseball and the NBA.

<span class="mw-page-title-main">Mendy Rudolph</span> American basketball referee (1926–1979)

Marvin "Mendy" Rudolph was an American professional basketball referee in the National Basketball Association (NBA) for 22 years, from 1953 to 1975. One of the few basketball game officials to be inducted into the Basketball Hall of Fame, Rudolph was the first league referee to work 2,000 games. and officiated 2,112 NBA games in all, a record that he held at retirement. He was also selected to referee eight NBA All-Star Games and made 22 consecutive NBA Finals appearances.

The National Basketball Association (NBA) has faced a multitude of criticisms from sports publications, fans, and its own players.

<span class="mw-page-title-main">Bernie Fryer</span> American basketball player and referee (born 1949)

Bernie W. Fryer has been Vice President and Director of Officials for the National Basketball Association since July 2008. He was a player in the NBA and American Basketball Association (ABA) from 1973 to 1975 before serving as a referee from 1978 to 2007.

Mike Mathis is a former professional basketball referee in the National Basketball Association (NBA) from 1976 to 2001. Over his career in the NBA, Mathis officiated nearly 2,340 games, including 12 NBA Finals and three NBA All-Star Games. Mathis wore uniform number 13 during his career. Mathis is also the owner and Chief Executive Officer of ProHoop Courts, Inc., which specializes in the installation of basketball goal systems and playing surfaces.

<span class="mw-page-title-main">Tim Donaghy</span> American basketball referee

Timothy Francis Donaghy is a disgraced former professional basketball referee who worked in the National Basketball Association (NBA) for 13 seasons from 1994 to 2007 until he was caught in a gambling scandal. During his career in the NBA, Donaghy officiated in 772 regular season games and 26 playoff games.

John W. Parry is an American former football official who worked in the National Football League (NFL) from 2000 through the 2018 season. He wore uniform number 132 and was the referee for two Super Bowls. From 2019 through the 2023 season, Parry was the rules analyst for NFL telecasts on ABC and ESPN including Monday Night Football and postseason games.

Hue Spencer Hollins, Sr. was an American professional basketball referee for the National Basketball Association (NBA). During his 27-year career in the NBA, Hollins officiated 19 NBA Finals games and five NBA All-Star Games. He is notable for working the Finals every year during the 1990s and for a notorious call during a 1994 NBA Playoffs game between the Chicago Bulls and New York Knicks. Hollins was probed by the Federal Bureau of Investigation (FBI) over the 2007 NBA betting scandal involving former referee Tim Donaghy.

Ron Garretson is an American former professional basketball referee for the National Basketball Association (NBA). In his 30-plus NBA seasons, from 1987 until 2019, he had officiated over 1,600 games, including 1,397 regular season NBA games, 157 playoff games and 11 Finals games. He also officiated the 1993 Europe Tour in London and the 1997 and 2013 NBA All-Star Games. He is the son of former NBA referee Darell Garretson, who died in April 2008 at the age of 76.

<i>Personal Foul</i> (book) 2009 book by Tim Donaghy

Personal Foul: A First-Person Account of the Scandal That Rocked the NBA is an autobiography written by former National Basketball Association (NBA) referee Tim Donaghy and published by Florida-based VTi-Group, Inc. in December 2009. Donaghy, who had resigned from the league as a central figure in the 2007 NBA betting scandal, describes his involvement in and inner workings of the scandal, as well as his gambling addiction.

Jontay Porter is an American professional basketball center and power forward who last played for the Toronto Raptors of the National Basketball Association (NBA). On April 17, 2024, after four seasons playing in the NBA and in the NBA's developmental G League, Porter was banned for life by the NBA for violating their gambling policies. The scandal would later result in him facing criminal charges.

<i>Untold: Operation Flagrant Foul</i> 2022 documentary by David Terry Fine

Untold: Operation Flagrant Foul is a 2022 American Netflix original documentary film directed by David Terry Fine. The film was released on August 30, 2022.

<span class="mw-page-title-main">Scott Foster (basketball)</span> NBA referee (born 1967)

Scott Foster is an American professional basketball referee for the National Basketball Association (NBA). He began officiating games for the NBA in the 1994–95 season and wears number 48.

References

  1. 1 2 Schwartz, Alan; Rashbaum, William K. (July 21, 2007). "N.B.A. Referee Under Investigation". The New York Times . Archived from the original on June 20, 2022. Retrieved July 20, 2007.
  2. ↑ "Tim Donaghy", Wikipedia, July 3, 2023, retrieved July 3, 2023
  3. ↑ Bender, Joseph Santoliquito and William (August 2, 2007). "Pro basketball: Philly-area gambler an acquaintance of Donaghy". The Daily Item. Retrieved July 5, 2023.
  4. ↑ GRIFFIN, SEAN PATRICK (February 16, 2011). "'Gaming the Game': A look inside Donaghy betting case". www.inquirer.com. Retrieved July 5, 2023.
  5. ↑ "Ref changed bet pals to boost loot, gambler sez". New York Daily News. July 31, 2007. Retrieved July 5, 2023.
  6. 1 2 Griffin, Sean Patrick (March 1, 2011). Gaming the Game: The Story Behind the NBA Betting Scandal and the Gambler Who Made It Happen (First ed.). UNKNO. ISBN   978-1-56980-444-5.
  7. ↑ "A Professional Gambler's Take on the Tim Donaghy Scandal". ESPN.com. June 11, 2008. Retrieved July 5, 2023.
  8. ↑ "Following Up with Haralabos Voulgaris". ESPN.com. June 13, 2008. Retrieved July 5, 2023.
  9. ↑ Weiss, Murray (July 20, 2007). "NBA IN A 'FIX'". New York Post . Archived from the original on September 15, 2007. Retrieved July 21, 2007.
  10. ↑ Alfano, Sean (July 20, 2007). "NBA Referee Accused Of Betting On Games". CBS News. Archived from the original on June 11, 2009. Retrieved April 16, 2009.
  11. 1 2 "Donaghy under investigation for betting on NBA games". ESPN. July 20, 2007. Archived from the original on October 27, 2011. Retrieved April 16, 2009.
  12. ↑ "Ref's alleged bookie is in a foul mood". New York Daily News. July 27, 2007. Retrieved July 3, 2023.
  13. ↑ "Insider: Ref pal just bagman in old gamble ring". New York Daily News. July 30, 2007. Retrieved July 3, 2023.
  14. ↑ Ph.D, Sean Patrick Griffin (February 17, 2011). "On "the mob" and the NBA Betting Scandal". Sean Patrick Griffin. Retrieved July 3, 2023.
  15. ↑ Wojnarowski, Adrian (July 20, 2007). "Questionable calls". Yahoo!. Archived from the original on August 10, 2007. Retrieved July 20, 2007.
  16. ↑ "NBA Commissioner David Stern Press Conference". NBA.com . July 24, 2007. Archived from the original on December 14, 2007. Retrieved July 29, 2007.
  17. ↑ "Congressman requests meeting with Stern to discuss gambling scandal". ESPN News. July 27, 2007. Archived from the original on February 9, 2008. Retrieved July 27, 2007.
  18. ↑ Jones, Bomani (July 20, 2007). "Corruption on the court is bad news for NBA". ESPN.com . Archived from the original on September 8, 2007. Retrieved July 21, 2007.
  19. ↑ Jaccarino, Mike; John Marzulli and Bill Hutchinson (July 27, 2007). "Rogue ref's bookies old HS chums". New York Daily News . Archived from the original on September 30, 2007. Retrieved July 28, 2007.
  20. ↑ "Donaghy pleads guilty to pair of felony charges". ESPN.com. August 15, 2007. Retrieved July 3, 2023.
  21. ↑ Block, Dorian (August 10, 2007). "Ref still hiding & wife blows whistle on media". New York Daily News. Archived from the original on September 30, 2007. Retrieved October 10, 2007.
  22. 1 2 "Donaghy pleads guilty, could face up to 25 years in prison". ESPN. August 15, 2007. Archived from the original on August 31, 2007. Retrieved April 21, 2009.
  23. ↑ Yaniv, Oren (August 17, 2007). "Donaghy huddles with family after admitting he got $30G in bet plot that rocked NBA". New York Daily News . Archived from the original on September 30, 2007. Retrieved August 18, 2007.
  24. ↑ Griffin, Sean Patrick (October 31, 2019). Gaming the Game: The Story Behind the NBA Betting Scandal and the Gambler Who Made It Happen. Independently published. ISBN   978-1-7040-5085-0.
  25. ↑ "Ex-NBA ref pleads guilty in betting scandal". CNN. August 14, 2007. Archived from the original on December 9, 2007. Retrieved August 14, 2007.
  26. 1 2 "2002 Lakers-Kings Game 6 at heart of Donaghy allegations". ESPN. June 11, 2008. Archived from the original on January 11, 2012. Retrieved April 21, 2009.
  27. ↑ "O'Neal rises to the occasion; Lakers force Game 7". ESPN. May 31, 2002. Archived from the original on February 2, 2012. Retrieved April 21, 2009.
  28. ↑ "Mavericks Cruise Past Rockets in Game 7". NBA.com. Archived from the original on March 10, 2008. Retrieved March 15, 2008.
  29. ↑ "Stern says probe will continue once Rockets done". ESPN. May 7, 2005. Archived from the original on October 20, 2011. Retrieved April 22, 2009.
  30. ↑ Robinson, Joshua (July 10, 2008). "Prosecution Plays Down Cooperation of Donaghy". The New York Times. ISSN   0362-4331 . Retrieved July 3, 2023.
  31. ↑ "Donaghy sentenced to 15 months in prison in gambling scandal". ESPN. July 30, 2008. Archived from the original on April 6, 2009. Retrieved April 26, 2009.
  32. ↑ "Donaghy sentenced to 15 months in gambling case". ESPN.com. July 29, 2008. Retrieved July 3, 2023.
  33. ↑ "Tim Donaghy's claims on trial". ESPN.com. December 8, 2009. Retrieved July 3, 2023.
  34. ↑ "Tim Donaghy's tale of Dick Bavetta". ESPN.com. December 8, 2009. Retrieved July 3, 2023.
  35. ↑ "Donaghy sticks to story: Biases helped bets". ESPN.com. December 7, 2009. Retrieved July 3, 2023.
  36. ↑ "Tim Donaghy and the lie detector". ESPN.com. December 17, 2009. Retrieved July 3, 2023.
  37. ↑ "Has the FBI exonerated Tim Donaghy?". ESPN.com. December 16, 2009. Retrieved July 3, 2023.
  38. ↑ "My assessments of Tim Donaghy's claims". Sean Patrick Griffin. Retrieved July 3, 2023.
  39. ↑ Archived 2010-05-19 at the Wayback Machine .
  40. 1 2 Sheridan, Chris (August 14, 2007). "What's next? Q&A on the NBA's gambling scandal". ESPN. Archived from the original on October 3, 2008. Retrieved April 26, 2009.
  41. 1 2 Adande, J.A. (July 19, 2007). "Ref investigation only adds to bad perception of NBA". ESPN. Archived from the original on September 1, 2008. Retrieved April 26, 2009.
  42. ↑ Jones, Bomani (July 20, 2008). "Corruption on the court is bad news for NBA". ESPN. Archived from the original on September 8, 2007. Retrieved April 26, 2009.
  43. ↑ Wayne Drehs (July 24, 2007). "Numbers indicate unlikely outcomes in games Donaghy officiated". ESPN.com. Archived from the original on February 9, 2008. Retrieved July 25, 2007.
  44. ↑ "Expert explains the many ways a crooked referee could fix bets". ESPN.com. July 23, 2007. Archived from the original on August 13, 2022. Retrieved August 13, 2022.
  45. ↑ Wayne Drehs (July 23, 2007). "Expert explains the many ways a crooked referee could fix bets". ESPN.com. Archived from the original on February 6, 2008. Retrieved July 25, 2007.
  46. ↑ Sheridan, Chris (October 26, 2007). "NBA to revamp ref gambling rules; Jackson, Nunn see roles reduced". ESPN. Archived from the original on January 12, 2012. Retrieved July 28, 2009.
This page is based on this Wikipedia article
Text is available under the CC BY-SA 4.0 license; additional terms may apply.
Images, videos and audio are available under their respective licenses.