A former NBA player and assistant coach is scheduled to admit his guilt Tuesday in federal court for his role in elaborate gambling schemes involving rigged card games and insider sports betting information.
Damon Jones, 49, is expected to become the first defendant to enter a guilty plea in a massive federal investigation that resulted in arrests of more than 30 individuals, including suspected organized crime members and basketball industry figures.
The scheduled plea hearing will take place in Brooklyn federal court before Magistrate Judge Joseph Marutollo, where Jones is anticipated to admit guilt to conspiracy to commit wire fraud charges.
Federal authorities allege Jones profited from fraudulent poker games and provided confidential player injury details to sports gamblers, including information about his former Cleveland Cavaliers teammate LeBron James.
While Jones prepares to change his plea, other defendants in the case have not indicated any intention to accept responsibility. Prosecutors announced Monday they plan to file additional charges against co-defendant Terry Rozier, a former Miami Heat player.
Jones had initially entered not guilty pleas to wire fraud conspiracy and money laundering conspiracy charges, both carrying potential 20-year prison sentences. He continues to remain free while awaiting sentencing.
His attorney, Kenneth Montgomery, refused to provide comment on the pending plea agreement.
The arrest occurred last October alongside Rozier, Portland Trail Blazers head coach Chauncey Billups, and several others, including a bettor accused of using inside injury information for gambling purposes.
During his playing career from 1999 to 2009, the Galveston, Texas native earned over $20 million while competing for 10 different franchises across 11 seasons. Jones and James were teammates in Cleveland between 2005 and 2008, and Jones later worked as an unofficial assistant coach with James’ Los Angeles Lakers during the 2022-2023 campaign.
According to federal prosecutors, Jones sold or attempted to sell confidential information to gamblers about injuries to James and former Lakers forward Anthony Davis, including whether they would miss games or have limited playing time.
In the poker conspiracy, authorities say Jones helped recruit unsuspecting players into games that were manipulated through doctored shuffling equipment, concealed cameras, specialized eyewear, and even X-ray technology embedded in gaming tables.
Court documents reveal Jones received $2,500 for participating in a rigged game in the Hamptons, where he was directed to cheat by carefully observing other conspirators. When uncertain about his actions, prosecutors say Jones was instructed to fold his cards.
In response to those instructions, according to federal authorities, Jones sent a text message stating: “Y’all know I know what I’m doing!!”
