Three men have been charged with running a $5.1 million illegal sports betting operation that accepted wagers in Las Vegas from across the country and Costa Rica.
All three men Allan Dobkowski, 58, of Las Vegas, and Frank Evans, 58, and Paul Yavorski, 48, both of New Jersey, were arrested Thursday by federal agents.
They were named in a 31-count indictment that included charges of conspiracy, conducting an illegal gambling business and money laundering.
Dobkowski, arrested in Las Vegas, pleaded not guilty in his initial appearance in federal court and was ordered released on his own recognizance.
Dobkowski also faces a charge of filing a false tax return.
Evans and Yavorski were taken into custody in New Jersey and will make initial appearances in Las Vegas.
Agents with the Internal Revenue Service, U.S. Homeland Security Department and Nevada Gaming Control Board participated in the investigation.
According to the indictment, the $5.1 million operation accepted illegal phone wagers from bettors in Las Vegas, California, New York and New Jersey between November 2006 and April 2009.
The group also accepted bets through a website affiliated with a race and sports book in Costa Rica,
Dobkowski is alleged to have run the Las Vegas end of the operation through a “wire room” that took in phone bets.
Evans managed the New York-New Jersey end of the business, and Yavorski handled the offshore wagering activity, the indictment alleges.
The operation employed “writers” or “phone men” to accept the bets and agents who managed a group of betting accounts, the indictment alleges.
According to the indictment, Dobkowski and Evans paid the agents through the operation’s winnings.
“Dobkowski and Evans operated largely a cash business and would often meet their clients in person and settle up account balances in cash,” the indictment says.
Clients sometimes would deposit money they owed the group directly into bank accounts held by Dobkowski and Evans, the indictment alleges.
Dobkowski and Evans, the indictment alleges, also would deposit proceeds from the illegal bookmaking operation into their own bank accounts or each other’s bank accounts.
“These transactions were made as part of an attempt to launder proceeds from the operation to promote the operation and to conceal the nature, control and ownership of the proceeds,” the indictment said.
Federal prosecutors are seeking the forfeiture of the $5.1 million that is alleged to have flowed through the operation, as well as more than $1.4 million in proceeds alleged to have been laundered.
Dobkowski also is accused of dramatically under-reporting his income for 2007.
The indictment alleged that he earned $171,000 from his illegal gambling business that year, but only reported an adjusted gross income of $12,500.
His trial was set for May 7 before U.S. District Judge Gloria Navarro.
Contact Jeff German at email@example.com or 702-380-8135.