Internet Gambling on Sports Among New York Man's Crimes

A New York man already jailed for other crimes admitted in federal court that he had operated an Internet gambling site that illegally accepted sports betting action by US residents.

Two New York men implicated in US Attorney investigations into organized crime pleaded guilty to a number of offenses, including operating an Internet gambling site taking illegal sports betting. Joseph LaForte admitted to a federal court he had run an offshore online sports gambling site that garnered customers from New York, New Jersey, and Florida, among other locations.

LaForte said he and associates operated a foreign online gambling site, and told players the website address and passwords to allow them to illegally bet on US sporting events. The sports betting operation ran from 2005 until 2006, preying on customers including LaForte's's employees at a Florida mortgage company.

Joseph's brother James also entered a guilty plea, admitting to running loan-sharking and extortion operations, and to burning a Mercedes belonging to an ex-employee of his real estate company.

James faces sentencing potentially as severe as 20 years behind bars and a $250,000 fine.

Joseph, who is already doing time in a New York jail for unrelated charges, could receive a $250,000 fine and an additional five years in prison, when he is sentenced April 6th.

While there is no federal law against online gambling, the Professional and Amateur Sports Protection Act makes taking sports betting action a federal crime in the US, other than in Nevada or under specific special circumstances in Delaware, Montana, and Oregon.