High stakes private games in Los Angeles have become legendary over the years for hosting a variety of A-list celebrities, including actors, rappers, athletes, and businessmen.
In many cases, such celebrities have been connected to running such games as well, and the most recent such case involves the legendary NBA player Gilbert “Agent Zero” Arenas.
Arenas was arrested this week on a federal indictment, with charges including running illegal poker games and making false statements during investigation.
The case against Arenas revolves around private poker games that were run in his mansion in Encino, LA, between 2021 and 2022.
The prosecutors allege that raked private poker games were run by Arenas and his co-conspirators, and these games had all the markings of those you would see in a James Bond movie.
Beautiful women offering companionship for tips, private security, valets, and high-end catering services were all a part of what may have been one of the most luxurious private games in the LA area.
The ex NBA star was released on bail, pending his trial, which starts on September 23. Should he be found guilty, Arenas could face up to 15 years in prison.
When Does Running a Poker Game Become a Crime?
If you have seen “Molly’s Game”, you may already know that a poker game only becomes illegal in the United States once the “house” starts taking a rake.
In theory, players are allowed to play poker for any stakes, and Arenas or anyone else would be welcome to host them and allow them to play in their home.
However, the moment the host starts taking a percentage of the money from the pots, the activity turns from a friendly poker game to a felony.
According to the evidence which the prosecutors in the Arenas case seem to have, the group that ran the games in the Encino mansion committed crimes by raking the games and having a financial interest in their outcome.
While the 43 year-old pleaded not guilty, the evidence against him seems quite damning, and includes images of poker tables with his name and brand that were taken by his co-conspirators and shared via text messages.
We are likely to see more detailed evidence regarding the games once the trial starts and the prosecution starts unveiling the case they have been building for years.
Ties to Organized Crime
During his illustrious NBA career, Gilbert Arenas played for Golden State Warriors, Orlando Magic, Washington Wizards, and Memphil Grizzlies. He made the NBA All-Star team in three of his 11 seasons in the league, and was widely regarded as one of the top players in the competition.
With such a resume, it is safe to say that Agent Zero made millions playing the game, raising questions about his intent in running private poker games.
According to some evidence, it appears that Arenas had fallen into bad company, as one of his main co-conspirators in the case is one Yevgeni Gershman, an Israeli man suspected of being an organized crime figure.
Arenas himself has had previous encounters with the law, having been charged with illegal gun possession and sentenced to probation, after pulling a gun during a card game in an NBA locker room in 2010.
Along with him, four other individuals have been charged as well, while Gershman was also charged with immigration fraud and marriage fraud, as prosecution suspects he entered the country under false pretenses.
The group is suspected of having not only run private poker games, but also hired girls who provided companionship to the players in exchange for tips, which were later taxed by the organizers.
Uncanny Likeness to Molly’s Game
The events of the 2017 drama Molly’s Game were based on real-life events, and many of them resemble those alleged in the Arenas case.
Not only did the NBA player and his partners run high-stakes games, but the games were apparently frequented by many famous and wealthy individuals, who basked in luxury anytime they would visit the mansion.
Poker was only a part of the entertainment, and while the exact details of what went on inside the Encino mansion remain undisclosed, it doesn’t take an overly vivid imagination to think of some possible scenarios.
As things stand, Arenas’ game appears on its way to end the same way as Molly’s game, with federal indictments, trials, and severe punishment for the law-breakers.
What Does This Mean for the Future of Private Games?
While federal government coming down on private game organizers may seem terrifying to anyone thinking of hosting a poker game, it really isn’t at all!
Hosting real money poker games in the USA is perfectly legal, just so long as you don’t charge rake. Whether you want to play poker with your friends, or bring in wealthy whales to gamble with, you are within your rights to do so.
Private games have been going in places like LA, New York, and Les Vegas for decades, and those that don’t charge rake have never had any legal issues.
Private game organizers who are looking to keep their games running should take queues from this case, and remember that getting rich overnight by charging rake on high-stakes poker games goes against the law.
On the other hand, game runners who only accept tips usually have a much easier time staying out of trouble with the law, as many games continue to run in this manner quite publically.
If you are a poker player in the LA area or anywhere else in the USA, keep this in mind and think about only playing in games that don’t charge rake, as it may save you being summoned to testify in a federal court case years from now.
