Deputy Editor
A former employee of Kansas Star Casino was charged with multiple counts in an alleged illegal gambling scheme.
The Kansas attorney general’s office announced on Tuesday that Quoc “Kevin” Phu Lam has been charged with the following offenses:
- Two counts of commercial gambling
- One count of unlawful wagering (proxy betting)
- One count of attempted unlawful wagering (proxy betting)
- One count of solicitation to commit commercial gambling
Prosecutors allege that Lam, 47, set up a proxy betting operation while employed at Kansas Star, located about 20 miles south of Wichita, in Mulvane. The alleged offenses reportedly occurred between November 2022 and October 2023. Lam also allegedly tried to recruit fellow employees to join in on the scheme.
Proxy betting involves placing wagers on behalf of another person. It can be done for a number of reasons, as many individuals can’t place bets at casino.
Lam is out on $25,000 bond and is due in court March 12.
Why is Proxy Betting Illegal?
Proxy betting is illegal because it circumvents know-your-customer (KYC) rules. Legal casinos and sportsbooks have strict rules about whom they can accept action from, any proxy betting is a way around these rules.
Proxy betting is fairly common practice in sports betting among individuals who are banned or limited by sportsbooks. Many such “sharp” players use “beards,” to place wagers for them. These are often high-limit players with a losing track record. The sharps know the casinos or sportsbook is happy to take the whale’s action, while the beard will typically get paid either a flat fee for acting as an intermediary, or a cut of any winnings.
Other individuals who may engage in proxy betting are those disallowed from placing bets for various other reasons. These could be underage bettors, individuals banned from casino property, self-excluded gamblers, and those who can gamble in a casino but not use the sportsbook. Examples of the latter would include athletes themselves and insiders who work for and adjacent to sports teams.
