Sports betting: Senate Judiciary Committee holds meeting on scandals

Since PASPA was repealed in 2018, new markets have legalized sports betting every year. Now, more than half the country has access to regulated sportsbooks. Regulated betting has brought forth an influx of revenue for markets, but stories about athlete harassment and responsible gaming policies gone wrong have also plagued the industry.

There is reportedly an ongoing federal investigation into point-shaving at Temple University basketball and two US senators have called for anti-trust case to be launched against DraftKings and FanDuel.

What’s more, DraftKings is being sued for allowing a NJ man to lose nearly $1 million. The lawsuit claims DraftKings gave the man gifts and incentives “to create, nurture, expedite, and/or exacerbate his addiction.”

The issue of regulation has been left to states since PASPA was repealed, but this meeting lent credence to the idea that the federal government might address some of the public’s concerns about regulated sports betting.

NCAA president and former Massachusetts Governor Charlie Baker testified in front of the committee. Baker asked lawmakers to curtail some of the issues with the sports betting industry.

Sen. Dick Durbin, chairman of the committee, began the hearing by discussing the growth of sports betting. In 2024, according to Durbin, $30 billion was wagered on sports in the third quarter of 2024, a 30% increase year over year.

“But at what cost?” asked Durbin. “What cost to the sport? What cost to the school and athletes?”

Witnesses in the hearing included Baker, former NFL player Johnson Bademosi, Dr. Harry Levant of Public Health Advocacy at Northeastern University School of Law, and David L. Rebuck who previously served as the Director of the Division of Gaming Enforcement in New Jersey.

There were a few topics on the docket regarding the sports betting issue. A major focus from many who testified was the harassment athletes, specifically student-athletes, face from sports betting fans.

Athlete harassment as a result of sports betting

Charlie Baker says that harassment from sports betting affects female athletes at a much higher rate than male athletes. Johnson Bademosi discussed how this issue plagues current athletes in a way that he never had to face.

It is no secret that athletes have been dealing with harassment in a post-PASPA repeal world. Famous gambler Benjamin “Parlay” Patz was sentenced to 36 months of probation for threatening athletes. Patz sent threatening messages to both professional and collegiate athletes. Court documents reveal the severity of these threats.

With sports betting becoming more popular and expanding into new markets, harassment has only increased. Witnesses gave suggestions to combat this.

Bademosi called for a ban on “negative betting” which is essentially removing Unders as an option at sportsbooks. In his testimony, he gave examples of athletes being harassed after having good games due to bettors taking the Under and losing out. He believes that if lawmakers remove the Unders betting options, there will be less incentive for fans to harass athletes for good games.

Calls for a ban on collegiate prop betting

Baker continued his call for a ban on prop bets at the collegiate level. In his testimony, Baker talked about increased pressure on student-athletes to perform certain acts during games.

Even with NIL deals making some athletes millionaires, student-athletes are the most vulnerable to being enticed to affect the integrity of games. A former Temple University basketball star is currently under FBI investigation for an alleged point-shaving scandal. Cases like this seem to support Baker’s claims of the integrity of the game being at risk.

Concerns over effects on the young

Senators also complained that children were exposed to sports betting even though they were unable to wager themselves.

Dr. Harry Levant views sports gambling as a public health issue, stating that it needs to be addressed as such. Among his criticisms, Levant focused on sportsbooks allowing users without an account to view odds even if they aren’t betting. He believes it makes it impossible to stop children from being exposed early.

Bademosi also criticized sports media for including game odds and giving betting advice on national TV. The former NFL player suggested this leading to children being indoctrinated into sports betting before they are old enough to wager, making them more likely to bet on sports in the future.

Only the start

Many topics were discussed during the hearing. It appears this conversation is only in its beginning stages. While criticism of sports betting was apparent, the hearing seemed very one-sided. The American Gaming Association (AGA) called Senators out for not having industry experts represented.

AGA Senior Vice President of Strategic Communications Joe Maloney released this statement regarding the hearing:

“Today, the Senate Judiciary Committee held a hearing titled, “America’s High-Stakes Bet on Legalized Sports Gambling,” notably excluding an industry witness to represent the work the legal gaming industry is doing to protect consumers.”