Las Vegas sports gambler Walters convicted of insider trading

Fri Apr 7, 2017 3:38pm EDT
 
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article | Single Page
[-] Text [+]

By Nate Raymond and Brendan Pierson

NEW YORK (Reuters) - Famed Las Vegas sports gambler William "Billy" Walters was convicted on Friday of insider trading charges in a scheme that prosecutors said enabled him to make more than $40 million and involved a stock tip to star professional golfer Phil Mickelson.

In their second day of deliberations, jurors found Walters, 70, guilty on all 10 counts he faced, including securities fraud, wire fraud and conspiracy, following a three-week trial in federal court in Manhattan.

"Today, Billy Walters lost his bet that he could cheat the securities markets and get away with it scot-free," acting U.S. Attorney Joon Kim said in a statement.

Walters, who built a fortune as one of the most successful U.S. sports bettors, expressed disbelief to reporters after hearing the six-man, six-woman jury's verdict.

"If I had made a bet I would have lost. I just did lose the biggest bet of my life," Walters said. "Frankly I'm in total shock."

Barry Berke, Walters' lawyer, said he would appeal. Walters is scheduled to be sentenced on July 14.

Walters was charged in May after a high-profile probe focused on what prosecutors called his scheme to obtain confidential tips about Dean Foods Co from its chairman, Thomas Davis.

Prosecutors said that from 2008 to 2014, Walters generated $32 million of profit and avoided $11 million of losses by trading on inside information about Dean Foods from Davis.   Continued...

 
FILE PHOTO: Professional sports gambler William "Billy" Walters departs Federal Court after a hearing in Manhattan, New York City, New York, U.S., July 29, 2016. REUTERS/Andrew Kelly/File Photo