Japan
Image: Susann Schuster

A court in the Japanese city of Yamanashi has begun the trial of a former tax officer accused of embezzling public funds to spend on online casinos, sports betting, and pachinko machines.

Per UTY, the Yamanashi branch of the Japanese media outlet TBS, prosecutors claim the 26-year-old Katsuki Ishii stole money from a pool of collected tax payments to fuel his addiction to horse racing bets, pachinko games, and web-based gambling platforms.

At a first hearing, held at the Kofu District Court earlier this month, Ishii’s legal team pleaded guilty to the prosecution’s charges.

He told the court that he had used money that he stole from Kofu Tax Office accounts to pay off gambling-related debts.

Japanese pachinko machines.
Japanese pachinko machines. (Image: Corpse Reviver [CC BY-SA 3.0])

Tax Officer Embezzled Over $24K

Prosecutors said Ishii embezzled approximately 3.6 million yen ($23,741) from a cash fund. The fund in question was used to pool overdue tax payments.

The court heard that he covered his tracks by “forging receipts” and issuing other fake documents.

Officials said that Ishii began embezzling money in 2024. He then reportedly continued to embezzle cash on 22 occasions until he was discovered earlier this year.

In its opening statement, the prosecution service told the court that the defendant had “become addicted to gambling.”

The prosecutors explained that the defendant “compulsively gambled” on pachinko machines, horse racing events, and online casino platforms.

Pachinko is a Japanese slot machine-like game played in arcades across the nation. The game enjoys legal status in the country, as does horse racing.

However, accessing online casinos from Japanese territory is a criminal offense. Courts have the power to sentence habitual gamblers to jail.

A news report from TBS’ UTY showing the former tax official Katsuki Ishii arriving at a court in the city of Yamanashi earlier this month for a hearing.

Ishii Also Used Loans to Pay Gambling Debts, Say Prosecutors

The prosecution concluded by explaining that gambling eventually left Ishii “financially impoverished.” He allegedly responded by taking out loans that he quickly found himself unable to repay.

But even this did not deter him, prosecutors added. They noted that he “continued to play at online casinos” and eventually “embezzled money when he was unable to pay back his loans.”

The presiding judge ordered the court to reconvene later this year to consider further evidence ahead of sentencing.

Japanese prosecutors and police are continuing to crack down on online casino users. They are focusing much of their efforts on tracking celebrities’ and sports stars’ gambling habits.

Earlier this month, an unnamed member of the Japanese pro baseball franchise Chunichi Dragons was issued a 100,000 yen ($662) fine for gambling online.

Courts in other parts of the nation have issued similar fines to comedians, news anchors, and other sports stars.

Tim Alper

Tim Alper is a journalist who covers betting news and regulation for CasinoBeats. He joined the CasinoBeats team in May 2025. He reports on breaking news and developments in the world of...