Bloomberg Business of Sports
Episode: FBI Arrests NBA Players, Coaches in Sports Gambling Scheme
Date: October 24, 2025
Hosts: Michael Barr, Vanessa Perdomo, Damian Sassauer
Guests: Miles Miller (Bloomberg Senior Reporter), Ira Budway (Bloomberg Global Sports Business Reporter), Danny Berger (Bloomberg TV Host)
Episode Overview
This episode dives into breaking news of a massive illegal sports gambling ring involving NBA players and coaches, the NBA’s apparent investigative failings, implications for league integrity, and the links to organized crime. The show also examines the Clippers' salary cap controversy with Kawhi Leonard, and closes with a segment on the business strategy behind Carlyle’s high-profile sponsorship of the Oracle Red Bull F1 racing team.
Key Segments & Discussion Points
1. Major Illegal NBA Gambling Bust
[02:35 – 13:43]
- Over 30 people across 11 states arrested in connection with a large-scale illegal gambling scheme.
- Included both current & former NBA players/coaches; Miami Heat guard Terry Rozier and Portland’s head coach Chauncey Billups among most prominent names.
- Two intertwined schemes:
- Using inside, non-public NBA info (e.g., injuries, sitting out games) to place profitable bets.
- Running rigged underground poker games using advanced technology tied to organized crime families.
Notable Quotes:
- “This is a case that is stunning and should shake NBA fans.” – Michael Barr [04:17]
- “This is a criminal indictment that charges that NBA players, current and retired, were involved in two separate schemes.” – Miles Miller [04:34]
- “You wouldn’t say throwing a game, but removing yourself from a game early so that another party is able to make money.” – Miles Miller [04:38]
- “How the NBA was not able to find this is beyond me.” – Miles Miller on NBA’s failed internal probes [06:41]
Insights:
- Federal probes began in 2019, culminating in the coordinated nationwide arrests.
- NBA’s internal investigations failed to catch wrongdoing, even when external betting monitoring flagged suspicious activity.
- FBI and organized crime agencies uncovered connections with multiple New York mafia families.
- The probe is ongoing; more revelations expected, possibly affecting other leagues.
Memorable Moment:
- Joseph Nosella, U.S. attorney: “...The non public information included when specific players would be sitting out future games or when they would pull themselves out early for purported injuries or illnesses.” [03:35]
- “The Waterfront Commission is...really focused on the mob. They’re involved in this investigation into NBA players who are doing bets...taking themselves out of games...Can throw a game. That should not be overlooked.” – Miles Miller [09:12]
Underground Poker & Organized Crime Crossovers
[10:21 – 13:43]
- Mafia used X-ray machines and hidden cameras to read cards in illicit poker clubs.
- Damon Jones (former NBA player) named as the direct connector between NBA insiders and organized crime for both schemes.
- NBA players used both to attract high rollers and enforce collection of gambling debts.
Notable Quote:
- “You’re playing on an X-ray machine and you could see what cards were being dealt...Organized crime...is still alive and well in New York.” – Miles Miller [10:44]
2. Discussion: NBA’s Investigation Approach & Implications
[06:41, 07:34, 08:55, 09:12]
- NBA’s investigative processes called into question; failed to detect or publicize misconduct, despite third-party findings and external red flags.
- Broader question posed: Should all league internal investigations be scrutinized, in light of failures to act in past cases (e.g., Clippers’ salary cap investigation)?
Notable Quotes:
- “If the NBA is led to do their own investigations into this and it leads to nothing, and then you’ve got all of these feds standing up there and saying, we found something...There is much more to this.” – Miles Miller [07:52]
3. Clippers, Kawhi Leonard, and NBA Salary Cap Violations
[15:43 – 28:05]
- NBA investigating potential salary cap circumvention by the LA Clippers in connection with a side endorsement deal for Kawhi Leonard.
- Focus on owner Steve Ballmer’s involvement, the possible use of outside sponsorships as “off-books” player payments, and the precedent set by previous NBA enforcement (Timberwolves/Joe Smith, Donald Sterling).
Key Discussion Points:
- Adam Silver in a precarious position: must investigate/disciple owner, but also works for the owners collective.
- Allegations center around $28M deal between Leonard and Aspiration, a failed fintech company linked to Ballmer.
- Potential punishments include lost draft picks, fines, voided contracts, or—less likely—contract voiding for players.
Notable Quotes:
- “The league has recently launched an investigation...over allegations that they have circumvented or tried to circumvent the salary cap. And that is a big deal in, in the NBA. It’s kind of as, as Commissioner Silver once called it, a cardinal sin.” – Ira Budway [16:22]
- “You could look at the salary cap as a nuisance. He really wants the Clippers to win. He can only spend $155 million...that is why the NBA has salary cap circumvention rules.” – Ira Budway on Ballmer [22:44]
- “The mere appearance of impropriety wouldn’t be enough here.” – Ira Budway [27:17]
Memorable Segments:
- Historical context comparing the current investigation with 1999’s Joe Smith/T’Wolves case [18:45–19:32].
- Discussion about what would constitute evidence of wrongdoing and the complexity of punishing star players versus owners [23:31 – 25:42].
4. Feature: The Business Behind Carlisle x Oracle Red Bull Racing’s F1 Partnership
[30:39 – 42:47]
- Carlisle becomes official investment management partner of Oracle Red Bull Racing—a groundbreaking sponsorship between global private equity and F1.
- Exclusive clip of Danny Berger’s interview with Harvey Schwartz (Carlisle CEO) and Laurent Mekies (Oracle Red Bull Team Principal):
- Both emphasize “performance obsession,” global reach, and the strategic evolution of sports sponsorship as an avenue to new client bases.
- PE firms shifting from “exclusive club” mentality to public-facing brand recognition, seeking high-net worth individuals and broader audiences through sports tie-ins.
Notable Quotes:
- “Everything about Oracle Red Bull Racing is about performance, execution, excellence. That part was very easy to see and very easy to relate to as a firm.” – Harvey Schwartz [32:50]
- “It felt like a very, very nice little connection.” – Laurent Mekies [33:22]
- “This is literally the opposite. Right? Like, they’re throwing money at it. And it’s a very different Carlyle and a different industry in general ... Now something has changed. They want to sell it [to high-net worths], not just have it bought by institutions.” – Danny Berger [35:53]
Business Context:
- F1’s surging U.S. popularity post-Netflix’s “Drive to Survive” creates fertile ground for global financial branding.
- Oracle pays $60M+ a year for Red Bull sponsorship; F1’s Apple TV deal further demonstrates skyrocketing media values.
- PE firms (Blue Owl, Apollo) increasingly appear as sponsors. Private capital is branding itself as “friendly, sporty”—aiming at a younger, more diverse, and global audience.
Memorable Moments:
- Playful banter about generational shifts in F1 fandom and rapid sports-business transformation [41:01, 41:37]
- “...I myself am a huge F1 fan. I watch every single race, and I am a woman in my 30s...I am maybe not what you typically picture...but I am increasingly becoming what the F1 fan looks like after the success of Drive to Survive.” – Danny Berger [39:36]
Timestamps for Important Segments
- NBA Gambling Arrests, Details, and Impact: [02:35 – 13:43]
- NBA Salary Cap Controversy & Clippers: [15:43 – 28:05]
- F1 Business Feature: Carlisle & Oracle Red Bull: [30:39 – 42:47]
Conclusion
This episode delivers a gripping look at how illicit gambling, lax oversight, and organized crime threaten league integrity—and how business and branding strategies in global sports are being transformed by the entry of private capital. The team’s engaging, informed tone blends breaking news urgency with in-depth business perspective, and the guest segments (especially Miles Miller and Danny Berger) provide invaluable context and storytelling for sports fans and industry watchers alike.