A former Long Island resident has been charged for his alleged involvement in a massive, fraudulent sports betting scheme, the United State District Court for the Eastern District of New York announced Wednesday.
Cory Zeidman, 61, of Boca Raton, F.L. was arrested for the scheme that he allegedly ran from both Long Island and Florida. Federal authorities have charged him with conspiracy to commit wire fraud, mail fraud and money laundering conspiracy related to the scheme.
“As alleged, Zeidman defrauded his victims, stole their life savings and persuaded them to drain their retirement accounts to invest in his bogus sports betting group, all so he could spend it on international vacations, a multi-million dollar residence and poker tournaments,” stated United States Attorney Breon Peace. “Today’s indictment serves as a reminder to all of us to be wary of so-called investment opportunities that purport to have inside information, as they are really a gamble not worth taking.”
According to federal authorities, Zeidman placed radio advertisements nationwide to lure people to a website which promised inside sports information for a fee that victims paid. The information was fake and allowed Zeidman to steal victims’ life savings, officials reported.
Zeidman used several different aliases in the scheme, as well as fake company names, such as Gordon Howard Global, Ray Palmer Group, and Grant Sports International. He allegedly made tens of millions of dollars through the scheme.
“As alleged, Zeidman preyed on individuals who were led to believe he had inside information that would lead them to easy money. In reality, he was selling nothing but lies and misinformation — bilking millions from victims along the way, leaving their lives in financial ruin and their bank accounts empty,” said Homeland Security Investigations (HSI) New York Acting Special Agent in Charge Ricky J. Patel. “HSI will continue to work together with our partners to follow the money and tackle complex financial investigations to bring to justice fraudsters like Zeidman, who finance their lavish lifestyles by concocting ways to bamboozle the innocent when their only real goal is lining their pockets with ill-gotten cash.”
Anyone who believes they were defrauded by Zeidman is encouraged to call HSI at 1-866-347-2423.
The prosecutors for this case are Assistant United States Attorneys Anthony Bagnuola, Charles P. Kelly, and Diane Beckmann. A lawyer for Zeidman could not be immediately reached.