Two Individuals Charged in $290K Fraud Scheme Targeting OLG Betting in Ontario

Introduction to the Fraud Investigation

The Ontario Provincial Police (OPP) alongside the Enforcement Bureau have charged two men from Northern Ontario, Joshua Silver, 36, and Montgomery McMahon, 45, following a detailed investigation into suspicious betting conduct connected to the Ontario Lottery and Gaming Corporation (OLG).

Details of the Betting Fraud Scheme

Both individuals, based in Thunder Bay, face several allegations related to a fraudulent operation valued at approximately CAD 400,000 (about $290,000). The scam involved exploiting compromised gift cards to place bets using the Proline sports betting platform at several gas stations located in Sault Ste. Marie and Thunder Bay. The accused manipulated the betting system by placing wagers on both sides of sporting events, thereby securing a guaranteed payout irrespective of the matches’ results.

Charges and Evidence Seized

During the authorities’ investigation, various items believed to be linked to third parties were confiscated. Joshua Silver and Montgomery McMahon are accused of several crimes including fraud exceeding CAD 5,000 (roughly $3,600), money laundering, conspiracy, identity theft, forgery, and possession of property acquired through criminal actions. They remain held in custody and will face charges in the Ontario Court of Justice in Thunder Bay.

Unawareness of Gas Stations Involved

According to OPP spokesperson Gosia Puzio, the gas station employees were unaware that the gift cards used for placing bets and buying goods were fraudulent. The gambling activities took place at two gas stations in Sault Ste. Marie and one in Thunder Bay. The betting patterns were characteristic of money laundering schemes, involving placing substantial bets on opposing sides to minimize financial loss while cycling illicit funds.

Ongoing Investigation and Appeals for Information

Further inquiry established that the fraudulent gift cards facilitated both wagering and purchases at the identified gas bars. The police have not released details regarding how the suspects acquired these gift cards as the investigation continues. Additionally, the search warrant execution led to the seizure of multiple IDs that appear to belong to others, though specific identities have not been disclosed. Authorities are continuing their probe and are asking anyone with relevant information to contact the OPP or submit a tip anonymously through Crime Stoppers.