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Home Legal & Compliance

Young Man Sentenced to 18 Months in Jail for Cyber Fraud Against DraftKings

Staff GHNbyStaff GHN
14 May, 2024
in Legal & Compliance
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Former Athlete Sentenced to 2 Years in Prison for Operating Illegal Betting Scheme
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Joseph Garrison, a young man implicated in a cyber fraud case involving DraftKings Sportsbook accounts in 2022, has entered a guilty plea and will serve an 18-month prison term.

At the age of 19, Garrison took part in a credential stuffing assault. In collaboration with other fraudsters, he exploited system flaws to defraud $600,000 from DraftKings users who had previously had their credentials compromised in other data leaks.

A staggering number of over 1,600 sports betting accounts were impacted by this malicious act. Reportedly, Garrison was not shy about declaring his deeds, telling his friends that he found ‘fraud is fun’.

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This cyberattack not only harmed countless individuals but also brought into question DraftKings’ capabilities to defend its clients. Consequently, the law enforcement community decided that this young offender deserved a sentence that echoed the severity of his crime. Attorney Damian Williams stated, “This adjudication emphasizes the pressing necessity for alertness and the crucial value of our joint endeavors in counteracting cyber threats and preserving digital integrity.”

Garrison Will Be Subjected To 3 Years Of Supervised Release

As the details indicate, Garrison’s punishment comprises of an 18-month incarceration term. Upon its completion, he will be on supervised release for the next three years.

Besides serving his sentence, Garrison is obligated to make amends with $1.3 million in restitution and $175,000 in forfeiture.

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Regrettably, this DraftKings event is not the only occasion where Garrison has found himself on the wrong side of the law. There is an ongoing legal case in Wisconsin, where he is accused of using Bitcoin to make a payment to an individual who then made numerous bomb threats to his school.

Arraignment Of Two Of Garrison’s Alleged Accomplices

In the proceedings, two of Garrison’s supposed accomplices, Nathan Austad and Kamerin Stokes, were recently taken into custody and arraigned. The latter is said to have compensated Garrison for gaining unauthorized access to DraftKings Sportsbook accounts which he later resold online.

Austad took a different route, using artificial intelligence to promote a marketplace of stolen user accounts. Moreover, it’s reported that he controlled cryptocurrency wallets that received roughly $465,000 proceeds from credential stuffing attacks and the despicable trade of breached data.

In light of their suspected involvement in the conspiracy, both young men could face a maximum of 20 years behind bars.

Tags: crimecyberattackdraftkingslegal
Staff GHN

Staff GHN

We are the editorial team at Gambling Hub, where precision meets insight in gambling industry reporting. Staffed by a knowledgeable team of betting and gaming experts, we are committed to deeply analyzing the dynamic world of gambling with thorough reviews and an impartial perspective. Our mission is to make information about the gambling sector universally accessible, ensuring it is clear and approachable for everyone. In every piece on Gambling Hub, we aim to deliver content that not only informs but also enhances our readers' understanding, helping them navigate the complexities of the gambling landscape.

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