A suspected fraudster who prosecutors allege embezzled AU$26 million (US$17.5 million) from his tax advisory firm to support a spiraling gambling addiction has withdrawn his civil lawsuit against the nation’s top online sportsbook, Sportsbet.
In July 2013, Benjamin Carter was taken into custody at his residence in western Sydney, Australia, for supposedly defrauding eight clients of his business, Carter’s Tax Advisory, as reported by The Daily Telegraph.
He faced 16 charges, comprising 14 counts of fraudulently acquiring a financial gain by deceit, knowingly handling proceeds of crime, and having an illegal substance.
According to The Daily Mail, the ex-tax agent has also been accused by police of having connections to Sydney's infamous Alameddine crime syndicate.
$70 million in wagers
Carter’s purported victims consist of Drink West, a beverage firm partly owned by Australian UFC athletes Tai “Bam Bam” Tuivasa and Tyson Pedro, along with Nathan Cleary of the Penrith Panthers, a well-known Australian rugby club.
Just prior to his arrest, Carter filed a lawsuit against Sportsbet, alleging that they provided him with complimentary items and incentives to keep gambling despite his risky financial circumstances at the time. Carter bet AU$70 million from 2021 to 2023, occasionally moving hundreds of thousands of dollars from his bank account to his Sportsbet account in one day, as stated in court documents.
In the meantime, the company transported him nationwide to races and sporting events as a special guest. A video obtained by the Sydney Herald featured the errant tax advisor celebrating energetically with Sportsbook executives at a nightclub in Darwin while singing Daft Punk’s “One More Time” with his arm around Sportsbet CEO Barni Evans.
Carter charged the sportsbook with “unconscionable behavior” for not restricting his account or curbing his access to its promotions.
‘Regular Inspections’
Sportsbet’s attorneys argued that Carter was a affluent individual whose gambling practices did not initially signal any concerns. They stated that the company aimed for regular contact with Carter, who guaranteed them that his gambling was "within his limits and manageable."
Eventually, when the company asked for proof of the origin of his wealth, he could not supply it. Sportsbet's lawyers contended that it was Carter's duty to acknowledge himself as a problem gambler, which he failed to do.
The reason behind Carter's decision to withdraw his civil suit against the sportsbook is uncertain. His legal case has been postponed for six weeks awaiting a forensic accountant’s report.
The situation mirrors that of ex-Jackson Jaguars financial manager Amit Patel, who received a six-year prison sentence for stealing approximately US$20 million from the NFL franchise. Earlier this month, he filed a lawsuit against FanDuel for promoting gambling to him.
Carter could face as much as 10 years in prison if found guilty.