FanDuel to Compensate Jacksonville Jaguars with $5 Million Following Fraud Scandal
FanDuel, a major player in the sports betting industry, is reportedly set to pay $5 million to the Jacksonville Jaguars following a significant fraud incident involving the team’s former finance manager, Amit Patel. The controversy surfaced when allegations emerged that FanDuel allowed Patel’s gambling issues to continue unchecked without verifying the origins of his betting funds.
The Finance Manager Embezzled Millions from the Team
In 2023, Amit Patel admitted to unlawfully siphoning $22 million from the Jaguars. Serving as the finance manager, he abused his role by manipulating the team’s accounting records — inflating expenses, duplicating payments, and fabricating transactions — before diverting the stolen money into his personal accounts.
Law enforcement investigations uncovered that Patel funneled a large portion of the embezzled funds into daily fantasy sports wagers on FanDuel. His fraudulent activities spanned from September 2019 until February 2023, ultimately unraveling after one suspicious bet caught the attention of the NFL.
Following his guilty plea, Patel was sentenced to six and a half years in a minimum-security prison in Alabama. Subsequently, he was transferred to Florida as authorities pressed additional charges of first-degree organized fraud. The Jacksonville Jaguars also filed a civil lawsuit against him, demanding $66 million in restitution.
Patel Claims FanDuel Failed to Prevent His Fraudulent Gambling
In 2024, Patel launched a lawsuit against FanDuel, seeking $250 million in damages. He argued that FanDuel exploited his gambling addiction and failed to implement adequate protections that could have prevented him from placing such extensive wagers without scrutiny or verification of his funds.
The legal complaint accused the operator of serious breaches in responsible gambling protocols and anti-money laundering regulations, which allegedly contributed to the scale of Patel’s fraudulent activities. However, prosecutors have dismissed Patel’s claim that compulsive gambling was a primary motivator for his actions.
FanDuel Aims to Mitigate Losses with $5 Million Payment
Although FanDuel is pursuing arbitration as per its user agreement, recent reports indicate the company plans to pay $5 million to the Jacksonville Jaguars to partially compensate for the financial damages caused by Patel’s fraud.
Attempts by media outlets to obtain comments from FanDuel have so far been unsuccessful, and the Jaguars have declined to discuss the settlement publicly.
