A former financial manager for the NFL's Jacksonville Jaguars, currently serving a 6 1/2-year prison sentence for stealing $22 million from the team, has filed a lawsuit against FanDuel for $250 million. The lawsuit, filed in federal court in New York, alleges that FanDuel took advantage of the manager's gambling addiction.
The lawsuit claims that FanDuel disregarded its responsible gambling and anti-money laundering protocols, knowing that the manager was an NFL team employee and ineligible to gamble legally. It also alleges that the $20 million wagered by the manager in daily fantasy sports contests was either stolen or from an illegitimate source.
FanDuel has declined to comment on the pending litigation. The lawsuit further alleges that FanDuel provided the manager with over $1.1 million in gambling credits and encouraged him to gamble more by contacting him up to 100 times a day through a personal host.
The manager's lawyer stated that while the lawsuit acknowledges the manager's responsibility in his gambling addiction, it also holds FanDuel accountable for actively contributing to it. The lawsuit describes instances where the host would contact the manager to inquire why he had not yet placed a bet that day, with communications starting early in the morning and continuing late into the night.
According to the lawsuit, FanDuel rewarded the manager with gifts such as trips to prestigious sporting events like the Super Bowl, the Masters golf tournament, and college basketball tournaments. The manager pleaded guilty to wire fraud and other charges in December and agreed to repay the embezzled funds.
This lawsuit is reminiscent of similar legal actions brought by compulsive gamblers against casinos or online gambling companies for exploiting their addictions. Past cases have seen mixed outcomes, with some dismissed by federal judges for failing to establish a legal duty on the part of the gambling establishments to intervene in cases of addiction.
