"DraftKings and FanDuel employees have access to both things, neither of which is public. "The biggest edge any player can have comes from having data and information," the Louisiana suit says. The central allegation is that executives of both companies looked the other way - or, in some cases, joined in - while employees used their secret knowledge of which athletes competitors "drafted" into their fantasy teams to help identify the players they could then draft to build the most lucrative teams possible for themselves. attorney for Massachusetts, to conduct an investigation. It said it has hired a legal team led by John Pappalardo, a former U.S. Attorney General Michael Mukasey to conduct a review of its internal controls, standards and practices, adding: "It's our job to ensure that as our company grows, so does our ability to ensure that our fans can be confident in the sanctity and integrity of every game, every day."ĭraftKings said its policy is to take "strong and immediate action" based on the "specific circumstances" of any allegation. Under that law, any damages the plaintiffs win would be tripled.įanDuel said it has asked former U.S. The Louisiana case goes further, accusing DraftKings and FanDuel of engaging in corrupt enterprises under the Racketeering Influenced and Corrupt Organizations act, or RICO, the 1970 law that the federal government uses to pursue the Mafia and other organized crime gangs.
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