PHILADELPHIA, PA — A North Carolina man who helped orchestrate a college basketball point-shaving operation involving more than $3 million in fraudulent wagers was sentenced Tuesday to six years in federal prison, closing a major prosecution in a scheme that compromised dozens of NCAA Division I games.
Jalen Smith, 30, of Charlotte, was sentenced by U.S. District Judge Nitza I. Quiñones Alejandro to 72 months in prison, followed by three years of supervised release, according to U.S. Attorney David Metcalf.
Smith was also ordered to pay approximately $1.1 million in restitution and forfeit $75,000.
The sentence follows Smith’s March guilty plea to bribery in sporting contests, conspiracy to commit wire fraud, wire fraud, and possession of a firearm by a convicted felon.
Federal prosecutors identified Smith as a central organizer of a gambling operation that recruited college basketball players to deliberately underperform, allowing conspirators to profit by betting against those players’ teams.
According to court filings, the broader operation ran from approximately September 2022 through February 2025, initially targeting games in the Chinese Basketball Association before expanding into NCAA Division I men’s basketball.
During the 2023-24 and 2024-25 college basketball seasons, Smith and other participants recruited players to influence game outcomes relative to betting point spreads.
Rather than necessarily attempting to make teams lose outright, the operation sought to ensure that targeted teams failed to cover the spread, allowing conspirators to profit from wagers placed against them.
Prosecutors said Smith played a leadership role in recruiting players, managing their participation and arranging payments.
The conspirators contacted athletes through social media, text messages, telephone calls and in-person meetings, offering payments generally ranging from $10,000 to $30,000 per game.
According to prosecutors, the operation targeted players whose legitimate name, image and likeness compensation opportunities were relatively limited, making the proposed payments financially attractive.
The organizers also generally targeted players on teams considered underdogs, seeking to manipulate their performance against the betting spread.
Federal authorities said the operation involved more than 39 players across more than 17 NCAA Division I men’s basketball teams and affected more than 29 games through completed or attempted manipulation.
The conspirators placed more than $3 million in fraudulent wagers, causing financial losses exceeding $1.1 million to sportsbooks nationwide, according to prosecutors.
“Jalen Smith played a central role in this point-shaving scheme, which corrupted the integrity of NCAA games and the sport of basketball itself,” Metcalf said.
Smith was indicted in January 2026 in connection with the basketball bribery and gambling operation.
He subsequently faced a separate federal firearms charge stemming from a 2025 search of his Charlotte residence, where investigators recovered a loaded semiautomatic pistol.
Smith pleaded guilty to all four offenses in March.
The investigation was conducted by FBI Philadelphia with assistance from FBI New York and the U.S. Attorney’s Office for the Eastern District of New York.
Wayne A. Jacobs, special agent in charge of FBI Philadelphia, said the scheme damaged confidence in legitimate athletic competition.
“This conduct does more than harm individual athletes. It undermines the integrity of sports and the trust placed in fair competition,” Jacobs said.
Assistant U.S. Attorneys Louis D. Lappen and Jerome M. Maiatico prosecuted the case.
The sentencing establishes criminal penalties for one of the scheme’s organizers following an investigation that exposed the use of direct payments to college athletes to manipulate betting outcomes across multiple NCAA basketball programs.
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