Earlier today, Cory Zeidman, a former resident of Long Island, admitted to conspiring in a fraudulent scheme involving sports betting. This plea was made in federal court in Central Islip before United States Magistrate Judge Lee G. Dunst. The charges relate to deceiving potential bettors in New York and Florida by claiming access to inside information on sporting events. Zeidman could face up to 20 years in prison and must forfeit approximately $3.6 million.
Breon Peace, the United States Attorney for the Eastern District of New York, along with William S. Walker from Homeland Security Investigations (HSI), Daniel B. Brubaker from the United States Postal Inspection Service (USPIS), and Patrick J. Ryder from the Nassau County Police Department (NCPD), announced this development.
“Zeidman and his partners baited unsuspecting victims with false claims of an edge in sports betting only to feed them lies and pocket millions of dollars from their savings and retirement accounts,” stated United States Attorney Peace.
“Sports bettors sought Corey Zeidman’s advice before gambling their money— but it was Zeidman himself who was scoring big through his deceptive practices, outright lies, and high-pressure tactics that exploited unsuspecting clients,” stated HSI New York Special Agent in Charge Walker.
“Today’s guilty plea is proof that this individual gambled and lost when he thought his illegal activities would fly under the radar,” stated USPIS Inspector in Charge Brubaker.
“The guilty plea of defendant Cory Zeidman is a reminder that crimes against our residents will not go unpunished," added NCPD Commissioner Ryder.
Court documents revealed that Zeidman's organization used national radio ads to attract bettors with promises of insider information about sporting events. They claimed access to non-public details like player injuries or "fixed" games. Clients were charged hefty fees for what turned out to be fabricated information based on open-source internet research.
The government case is being prosecuted by Assistant United States Attorneys Charles P. Kelly and Anthony Bagnuola with support from Paralegal Specialist Samantha Schroder and FSA Supervisory Paralegal Melissa Thorpe.
Any individuals believing they were victims can contact HSI at 1-866-347-2423.
In July 2022, Mr. Peace took on the role of Chairperson for the White Collar Fraud subcommittee within the Attorney General’s Advisory Committee (AGAC).
Cory Zeidman is aged 63 and resides in Boca Raton, Florida.