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Read Full BioTony Bloom, a billionaire who has made his fortune from gambling, is facing a lawsuit from a man who claims he is owed money from Bloom’s Starlizard Betting Syndicate.
Ryan Dudfield filed the complaint that alleges he is owed his share of gambling profits estimated at $250 million. Dudfield says he had an agreement with the syndicate to take 7.5% of earnings from wagers.
He claims the syndicate lied about stopping the placement of bets and is seeking compensation for losing out on profits from wagers placed after this time. Dudfield caims he could be owed $17.5 million.
Syndicate Placed Bets Through ‘Whale’ at Offshore Sites
As first reported by The Guardian, the lawsuit alleges that the betting syndicate associated with the company generates approximately $800 million in annual profits. Employees of Starlizard were able to join the syndicate as part of their compensation packages.
The lawsuit claims a “whale,” named George Cottrell, placed bets on the syndicate’s behalf. Cottrell placed the wagers on offshore betting platforms. He had a risk-free agreement with the syndicate, which allowed him to retain 33% of the profits from winning bets, while the backers bore any losses.
Cottrell was previously given an 8-month prison sentence for wire fraud in the US. According to court documents, between March and September 2014, he advertised money-laundering services on a dark net website. The 32-year-old currently serves as an aide to UK politician Nigel Farage and leads the political consultancy Geostrategy.
Bloom’s Bets Have Made Him a Billionaire
In 2006, Bloom founded Starlizard, which is a data-driven sports betting consultancy. The company’s website states, “We take analysis of sport into a completely different league. Through a combination of innovation and critical thought, we make the best sporting predictions in the world.”
Largely through bets placed by the syndicate, Bloom’s net worth is estimated at £1.3 billion ($1.7 billion). His assets include Premier League club Brighton and Hove Albion. Under his ownership, the club’s value has risen from near bankruptcy to around $300 million. He also paid £9.86 million ($13 million) to obtain a 29% stake in Scottish soccer club Hearts this summer.
Associate Also Named in Lawsuit
It is unclear how many people were members of the syndicate and what share of the profits Bloom took. In addition to Cottrell, the lawsuit claims other frontmen placed bets, including footballers, sportsmen, and businessmen.
One other individual, Ian McAleavy, is also mentioned as a member. McAleavy is listed as Starlizard’s Head of Football on LinkedIn and has been working at the company since 2005. He is also a partner with Bloom in First Bloodstock Limited, a company that owns racehorses.
Bloom has yet to file a defence against the lawsuit. When contacted, Starlizard did not respond with any comments on the case.
