ORLANDO — A federal gambling investigation more than a year in the making has resulted in the arrest of Miami Heat guard Terry Rozier, who was taken into early-morning custody Thursday at the team’s hotel amid the season-opening road trip.
More than 30 people across the country were arrested in the probe.
The arrest was confirmed in a statement issued Thursday by the FBI, stemming from, according to the agency, “two indictments involving illegal gambling schemes.”
In a release from the Department of Justice, the arrest was part of a sweep of arrests involving “illegal sports betting and and poker games schemes.”
Rozier was at the team’s downtown Orlando hotel at the time of the arrest. He was arrested in what was termed, “Operation Nothing But Bet.”
New York City Police Commissioner Jessica Tisch said of Rozier, “His career already is benched.”
Portland Trail Blazers coach Chauncey Billups, the Hall of Fame former All-Star guard, also was part of the sweep. Also arrested was former Heat guard Damon Jones, with the cases, according to FBI Director Kash Patel, linked to organized crime.
“We’re talking 10s of millions of dollars,” Patel said at a morning media session of the criminal enterprise. “They perpetrated a fraud that is historic.”
U.S. Attorney for the Eastern District of New York Joseph Nocella termed the Rozier aspect of the investigations as being part of “an insider sports betting conspiracy that exploited confidential information about NBA athletes and teams.”
He added, “Your winning streak has ended. Your luck has run out.”
Nocella said the Rozier-related scheme involved “purported injuries or illnesses.” He was termed “a corrupt individual” during the Department of Justice media session.
Each defendant in the case has been charged with conspiracy to commit wire fraud and conspiracy to commit money laundering.
According to Nocella, the teams bet on that drew the scrutiny of the investigation are the Charlotte Hornets, Los Angeles Lakers, Toronto Raptors and Trail Blazers.
The NBA released a statement Thursday afternoon: “We are in the process of reviewing the federal indictments announced today. Terry Rozier and Chauncey Billups are being placed on immediate leave from their teams, and we will continue to cooperate with the relevant authorities. We take these allegations with the utmost seriousness, and the integrity of our game remains our top priority.”
The National Basketball Players Association, which represents Rozier, followed with a statement reading: “The integrity of the game is paramount to NBA players, but so is the presumption of innocence, and both are hindered when player popularity is misused to gain attention. We will ensure our members are protected and afforded their due process rights through this process.“
Rozier, 31, has been under investigation as part of a probe related to unusual betting patterns in a 2023 game while he was a member of the Hornets, prior to his January 2024 trade to the Heat for Kyle Lowry and a future first-round pick.
Rozier was scheduled to appear in Orlando federal court on Thursday, with the Department of Justice stressing the investigation was ongoing.
“It’s not popular to go after some of the defendants we went after today,” Patel said, “but justice is done.
“This is the insider trading saga of the NBA. That’s what it is.”
In the wake of Rozier’s arrest, James Trusty, of Ifrah Law PLLC, released a statement that read, “We have represented Terry Rozier for over a year. A long time ago we reached out to these prosecutors to tell them we should have an open line of communication. They characterized Terry as a subject, not a target, but at 6 a.m. this morning they called to tell me FBI agents were trying to arrest him in a hotel.
“It is unfortunate that instead of allowing him to self surrender they opted for a photo op. They wanted the misplaced glory of embarrassing a professional athlete with a perp walk. That tells you a lot about the motivations in this case. They appear to be taking the word of spectacularly in-credible sources rather than relying on actual evidence of wrongdoing. Terry was cleared by the NBA and these prosecutors revived that non-case. Terry is not a gambler, but he is not afraid of a fight, and he looks forward to winning this fight.”
Nocella said Thursday that the NBA has been assisting in the investigation.
In a January ESPN story, it was reported, “On the morning of March 23, 2023, a bettor at a sportsbook in Biloxi, Mississippi, placed $13,759 in bets on the unders on Rozier’s statistics in a game that night between the Charlotte Hornets and New Orleans Pelicans, according to the documents, which ESPN acquired through an open records request. All 30 bets won, after Rozier, an eight-year veteran with the Hornets at the time, exited 10 minutes into the game, citing a foot issue.”
The uncertainty over Rozier’s status reached the point that Rozier appeared confused when told during an interview Sunday that he had been cleared to return from his preseason hamstring injury, with Rozier initially believing the word “cleared” was being used in regard to the FBI investigation.
Rozier was mentioned in a Jan. 30 Wall Street Journal report about being linked to the gambling investigation that eventually led to the NBA lifetime disqualification of former Memphis Grizzlies and Toronto Raptors forward Johntay Porter, who is now facing criminal charges.
Rozier is in the final year of a contract that pays him $26.6 million for the coming season. If Rozier were to be ruled ineligible by the NBA, such remaining salary at the time of such an NBA ruling would be wiped from the Heat’s salary cap, luxury tax and tax aprons. The Heat currently are operating slightly below the NBA’s punitive luxury tax. The excising of Rozier’s contract would allow the Heat to sign two replacement players without an impact against the NBA luxury tax.
Rozier struggled with the Heat last season to the point where he lost his starting role and eventually his rotation role. With the Heat re-signing guard Davion Mitchell ahead of free agency and selecting Illinois guard Kasparas Jakucionis in last month’s NBA draft, the prospects for Rozier earning playing time this season were limited, should he remain NBA eligible. He did not play in Wednesday night’s season-opening loss to the Magic at Kia Center.
According to a Wall Street Journal report in January: “Federal prosecutors have been investigating whether veteran NBA player Terry Rozier manipulated his performance as part of an illegal sports betting scheme. The inquiry into Rozier is part of a wider government probe into a sprawling ring of gamblers and poker players who have allegedly rigged games across the sports landscape, people familiar with the matter said.”
The NBA has attempted to walk a fine line between gambling sponsorship and the impact on the game.
During an appearance on ESPN’s “The Pat McAfee Show” on Tuesday, NBA commissioner Adam Silver said, “We’ve asked some of our partners to pull back some of the prop bets . . . We’re trying to put in place — learning as we go and working with the betting companies — some additional control to prevent some of that manipulation.”
Originally Published: October 23, 2025 at 8:06 AM EDT