The court case involving a possible multi-million-dollar illegal sports gambling conspiracy has been continued for the second time.
The 11 defendants have been charged with 114 counts ranging from conspiracy to tax evasion.
Since attorneys were still unprepared to go to trial in February, the case was continued until at least May 6.
Of the 11 defendants, six are from Alabama.
The charges break down as follows:
Timothy Pughsley, 51, of Birmingham, is charged with 38 counts of tax evasion, one count of conspiring to operate an illegal sports-betting organization, one count of conspiring to commit money laundering and four counts of money laundering.
Christopher Burdette, 30, of Chelsea, is charged with six counts of tax evasion, one count of conspiring to operate an illegal sports-betting organization, one count of conspiring to commit money laundering, and one count of money laundering.
Nathanael Burdette, 36, of Birmingham, is charged with six counts of tax evasion, one count of conspiring to operate an illegal sports-betting organization, one count of conspiring to commit money laundering, and two counts of money laundering.
Jonathan Lind, 44, of Birmingham, is charged with six counts of tax evasion, one count of conspiring to operate an illegal sports-betting organization, one count of conspiring to commit money laundering, and two counts of money laundering.
Thomas V. Zito, 57, of Vestavia, is charged with six counts of tax evasion, one count of conspiring to operate an illegal sports-betting organization, one count of conspiring to commit money laundering, and one count of money laundering.
Christopher Donaldson, 46, of Trussville, is charged with one count of conspiring to operate an illegal sport-betting organization and one count of conspiring to commit money laundering.
Gary L. Rapp, Jr., 44, of Lakeland, Tennessee, is charged with six counts of tax evasion, one count of conspiring to operate an illegal sports-betting organization, one count of conspiring to commit money laundering and two counts of money laundering.
Mark Giaquinto, 50, of Upton, Massachusetts, is charged with six counts of tax evasion, one count of conspiring to operate an illegal sports-betting organization, one count of conspiring to commit money laundering and two counts of money laundering.
Matthew D. Voorhees, 47, of Englewood, Colorado, is charged with six counts of tax evasion, one count of conspiring to operate an illegal sports-betting organization, one count of conspiring to commit money laundering and two counts of money laundering.
David Richards, 38, of Las Vegas, Nevada, is charged with six counts of tax evasion, one count of conspiring to operate an illegal sports-betting organization, one count of conspiring to commit money laundering and two counts of money laundering.
Joshua Gentrup, 36, of Athens, Georgia, is charged with six counts of tax evasion, one count of conspiring to operate an illegal sports-betting organization, one count of conspiring to commit money laundering and two counts of money laundering.
The United States Department of Justice investigated the alleged scheme, which prosecutors believe spanned at least three years.
According to an indictment, the head of the operation is Timothy J. Pughsley. He started the bookmaking business at least 17 years ago, but it eventually became known as “Red44,” a website where bettors could place their bets on sporting events. More players were eventually added as “senior agents,” prosecutors say. Pughsley also invested in properties now on a seizure list, many of which are in Alabama.
According to the indictment, the website had an offshore server in Costa Rica. Court documents state that bettors generally placed bets on credit. No money was exchanged through the Red44 online platform; bank accounts, PayPal, Venmo, CashApp, GooglePay, cash and virtual currency were used.
The organization was estimated to have accepted hundreds of millions of dollars in wagers from bettors from 2019 through 2021 and did not pay taxes, according to the indictment. Excise tax owed to the IRS from 2019 profits is estimated to be $6,882,460.46. Excise tax owed from 2020 would total approximately $6 million, $7 million from 2021.
The date for the trial will be decided at a later date.
To connect with the author of this story or to comment, email erica.thomas@1819news.com.
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