Pennsylvania Company Admits Guilt in Illegal Video Gambling Scheme

Central Pennsylvania Business Faces Legal Action Over Illegal Gambling Machines
Earlier this week, Attorney General Dave Sunday revealed that a company based in central Pennsylvania has admitted to operating hundreds of unlawful video gambling machines throughout the state. This development comes as part of ongoing efforts to crack down on illegal gambling activities.
Significant Forfeiture Following Guilty Plea
Deibler Brothers Novelty Company, headquartered in Schuylkill County, pleaded guilty to charges related to corrupt organizations—a serious first-degree felony. As a result, the company was sentenced to probation and required to forfeit $3 million in cash and assets to the Commonwealth, as decided by the presiding judge.
The case originates from an extensive 2024 probe conducted jointly by the Pennsylvania State Police and the Attorney General’s Office, which uncovered the company’s extensive illegal activities.
Illegal Machines Hidden Behind Deceptive Signs
Investigations revealed that illegal gambling devices were installed in various venues such as bars and convenience stores across more than a dozen counties in Pennsylvania. These machines often displayed misleading signs to suggest they were legal, thereby deceiving patrons and regulators alike.
Persistent Defiance Despite Repeated Warnings
Attorney General Sunday expressed frustration over the company’s continued disregard for state laws, stating that they were repeatedly warned yet persisted in placing illegal machines throughout the region. He emphasized that this plea deal leads to a meaningful recovery of assets for the state and marks another recent success in combating unlawful video gambling.
Connections to Previous Illegal Gambling Cases
The owners of the company—Arthur Deibler, Donald Deibler, and Joel Ney—have ties with Ricky Goodling, a retired Pennsylvania State Police corporal and former compliance director for a gaming company, who recently pled guilty to money laundering charges. This highlights a broader web of illegal gambling operations under investigation.
Comprehensive Multi-Agency Investigation
The legal actions are the outcome of a multi-year examination involving multiple agencies, including the Pennsylvania State Police, the Attorney General’s Organized Crime unit, Asset Forfeiture and Money Laundering sections, and the Bureau of Liquor Control Enforcement.
Widespread Seizures of Illegal Gambling Devices
In May 2025, law enforcement seized about 400 illegal gambling machines from various establishments across Pennsylvania. This seizure represents a significant tactical move to disrupt illegal gambling operations in the state.
Additional Charges Filed Against Related Businesses
The state also filed felony charges against Buffalo Skill Games, Inc. and J.J Amusement, Inc., businesses linked to John F. Conley, who has a history of federal convictions related to illegal gambling. These actions highlight the ongoing efforts to address illegal gambling at multiple levels.
Impact on Gambling Addiction
Recently, a representative from Gamblers Anonymous remarked that many new members point to illegal skill games as a primary catalyst for their gambling problems. This underscores the social challenges posed by these unauthorized gaming operations.