Few Details Released Over How Fraud Was Committed
Unsurprisingly, Caesars Sportsbook did not want to publicize the system vulnerability Saco allegedly exploited. However, we have some details about the timing and amount of money involved.
A press release from MGCB says the alleged fraud occurred in April 2023. They allege that Saco made over $2 million in fictitious deposits to his Caesars Sportsbook account and placed 10,000 wagers in the span of 16 days for around $88 million. After 16 days, Saco allegedly withdrew over $521,000 from his account.
The fraud came to light after Caesars flagged the account and confirmed the deposits were fake. The operators contacted the MGCB, kicking off an official investigation and leading to an arrest.
MGCB and Attorney General Work Together
Once the MGCB was notified of the alleged fraud, they reached out to the Michigan Attorney General’s office to help start a joint investigation. The three entities were able to work together to get enough evidence to bring charges against Saco.
“I appreciate the collaborative partnership the agency has with the Michigan Attorney General’s Office and industry personnel at Caesars Entertainment—who initially notified us about this situation,” the MGCB shared in a press release. “It is important to remember that this individual who is facing charges has the right to due process and is presumed innocent until proven guilty. With that being said, we will now let the judicial system determine the truth in this matter and the veracity of the charges.”
Charges Send Strong Message
The smooth cooperation is a good sign for the industry, sending a message that cheating and fraud will not be tolerated.
The sports betting industry is still very new in the US, which has led to glitches and loopholes similar to the one Saco allegedly exploited. It will take time for those to be completely fixed, but this case shows that regulators and operators are able to identify and charge those who attempt to exploit them
The ability for the three entities to work smoothly together shows that the process is working.