Pamela Hackenburg, Pennsylvania gambling addict, sentenced for $532k local authority fraud

Pamela Hackenburg, a former secretary and treasurer for Gregg Township in Pennsylvania, has been sentenced to prison time for the embezzlement of more than $500,000 from the local authority. 
The 56-year-old was the sole individual with access to the funds in the small rural settlement in Center County, PA, with the indiscretions taking place between January 2019 and May 2024, when the net began to close on her activity. 
Suspicions and irregularities led to external accountants blowing the whistle on the fraudulent activity. 
The resident of Millmont in Union County will serve between two and four years (which could be reduced to 18 months) in state prison, with a further two years on probation.
Pamela Hackenburg has been ordered to repay a total of just over $615,000 to Gregg Township.
Prosecutors outlined how she made a total of 3664 unauthorized withdrawals from the locality’s accounts, with the majority of them – 2700 – used to fund a gambling habit with DraftKings.
Over $322,000 was said to have been spent on the prominent betting platform, with a further $149,000 used on Venmo for various personal spending purposes, as well as lavish holiday spending and other non-essential needs.
Conversely, the U.S. gambling giant DraftKings has embarked on a month-long responsible gambling campaign for Responsible Gaming Education Month (RGEM), following a lawsuit over exploitative marketing tactics. 

NEW: Former rural Pa. township secretary sentenced to state prison for $532K theft of public dollarshttps://t.co/J6RsNiJaLu
— Spotlight PA (@SpotlightPA) September 16, 2025

Attorney says Hackenburg is a “delusional” individual
Beyond the illicit use of official money, Hackenburg is said to have left a trail of fake accounts, attempting to disguise her activity with fabricated financial reports and withholding key information from colleagues.
She even diverted money earmarked for municipal spending, such as road repairs, for her own needs.
Deputy Centre County district attorney Crystal Hundt told the court that Pamela Hackenburg was delusional, that her “activities and behavior are devoid of remorse for the abuse of her position and the harm she inflicted upon this community.”
The disgraced former office holder was charged with three counts, with her prison time accompanied by the 24 months probation for Identity Theft and Access Device Fraud.  
Image credit: BermixStudio/Unsplash
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Arizona warns licensed operators against offering prediction markets

The Arizona Department of Gaming (ADG) has sent communications to approved sportsbooks in the state warning them that offering prediction markets outside of Arizona could put their license at risk.
In the letter signed off by ADG director Jackie Johnson, operators were advised that offering event contracts or even partnering with such platforms to enable the activity “outside the framework of state gambling laws” could result in serious enforcement.
The ADG has taken this step to advise operators of potential violations after cease and desist letters were issued to prediction market providers Kalshi, Robinhood, and Crypto.com
As initially reported by Dustin Gouker, offering any prediction markets across the United States would not be looked upon favorably in the Grand Canyon State. That is the suggestion from the ADG directive, almost acting as a pre-emptive strike on operators. 
It comes soon after Underdog (a fledgling, registered fantasy sports operator in Arizona) opened with sports contracts in 16 U.S. states as a “tech provider” for Crypto.com 
Crucially, Arizona is not one of the 16 jurisdictions. 
Beyond this, no other regulated sportsbook provider or fantasy sports operator has launched a prediction market offering in the state, which is one of the largest state-regulated sectors across all of the U.S. 
FanDuel has entered into a partnership with CME Group for prediction services, but the arrangement will only apply to financial markets. 

News: Ohio Regulator Warns Sportsbooks About Offering Prediction Markets
Letter from the Ohio Casino Control Commission says that launching sports event contracts or working with prediction markets like Kalshi could put a sportsbook’s license in jeopardyhttps://t.co/TOVLxHwgWg
— Dustin Gouker (@DustinGouker) August 25, 2025

Duty to uphold the integrity of gaming in Arizona
The development is an interesting one, with Arizona seemingly following the lead of the Ohio Casino Control Commission, which warned about providing sports event contracts without licensing approval, but this fresh action goes further.
“Even if the licensee is not associated directly with the offering or sale of event contracts to persons in Arizona, its relationship with other persons or entities and conduct in other jurisdictions remains at issue,” stated Johnson in the letter.
He went on to stress that, “All of us have a responsibility to uphold the integrity of gaming in Arizona.
“Neither the citizens of this state nor your gaming operations are, in the long run, served by illegal, unlicensed and/or unregulated gambling.”
The ADG director is on the record for criticising the Commodity Futures Trading Commission (CFTC) for failing to take adequate action against prediction markets for offering sports event contracts.
Image credit: FlorianSchneider/Unsplash
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BCSC alleges investment fraud to fund gambling spree

In Surrey, British Columbia, a man is alleged to have used money obtained from investors to fund a significant gambling spree.
According to the B.C. Securities Commission (BCSC) in Canada, David Lawrence Pazurik accrued CAD 200,460 ($145,600) from 14 investors as the sole operator behind Pazman Promotions, an entity said to be “in the business of purchasing and customizing branded merchandise for other businesses.” 
At present, none of the allegations against Pazurik have been proven, with the commission set to hold a hearing on the matter. 
According to the BCSC, the alleged fraudulent activity is said to have taken place between January 2021 and May 2022, with Pazurik using the proceeds for gambling and other personal spending.
A news release from the commission detailed how he burned through almost 75% of the funds raised, around $146,000, with some payments also made to associates of Pazurik. 
As a result, the BCSC alleges that he committed a fraud breach under the Province’s Securities Act.
BCSC to schedule a hearing on the alleged breach of Securities Act
The premise of the scheme was an investment in a profit-sharing arrangement, through support for sales contracts in Pazman Promotions’ business activity. Clients were advised they would be in line for a “reimbursement of their funds plus a specific amount of profits in a short period of time.”
The communication from the B.C. authority detailed that this did not materialize, with no returns paid to investors, as pledged.
Pazurik or his representatives have now been called to make a submission to the B.C. Securities Commission on November 18, before it schedules a hearing to rule on the situation.
As an independent provincial government body, the remit of the BCSC is to set the rules, provide oversight, and carry out enforcement on the investment market, to ensure it is “honest, fair, competitive and dynamic.”
Image credit: IJF
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Plans for two Manhattan casinos, Avenir and Caesars Palace, rejected

The proposals for two Manhattan casinos, the Avenir and Caesars Palace, have been halted as committees have rejected the bids.
It was on Wednesday when the proposals were heard by panels who both voted to reject the plans in a 4-2 vote. The Avenir was a proposed $7 billion entertainment complex featuring a 1,000-room Hyatt hotel and casino which was to include more than 12 restaurants and bars, a spa and fitness center, an outdoor pool, boutique entertainment venue, and a community art gallery.
The Avenir was intended to be built on Manhattan’s West Side and was said it would create thousands of ‘well-paid union jobs’ and training for local residents, while also increasing security in the neighborhood and driving tourism to local businesses.
The Caesars Palace plan would have placed a casino in Times Square, with Jay-Z having been a supporter of the proposal. The Roc Nation founder pitched the project not just as a major boost for the economy, but also as a cultural investment right in the heart of Manhattan.
Why have bids for the Manhattan casinos been rejected?
The full details behind the decision from each person are not yet known, but a City Council Member, Erik Bottcher, has taken to social media to share why he decided to vote against the plans.
“This is not a decision I took lightly. All economic development opportunities deserve strong consideration. I believe casinos must clear a particularly high bar, requiring a uniquely strong degree of community buy-in before being sited in a neighborhood. Despite extensive outreach by the applicants, that level of support has not materialized,” he said.
He also said this decision came after “countless conversations with constituents in coffee shops, living rooms and on street corners,” along with “extensive public engagement, and careful deliberation.”

STATEMENT ON CASINO LICENSEAPPLICATIONS FOR CEASARS PALACETIMES SQUARE AND THE AVENIR pic.twitter.com/jgHqqW7Maw
— Erik Bottcher (@ebottcher) September 17, 2025

This latest update has seen the competition of candidates hoping to secure one of the three state gaming licenses narrow.
Featured Image: Credit to Caio Silva on Unsplash
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Minnesota woman sentenced after $2.7M embezzlement scheme to fund gambling

A 37-year-old in Minnesota has been sentenced by a US District Court to 51 months imprisonment followed by three years of supervised release for embezzlement of more than $2.7 million from her employer.
The amount embezzled was largely gambled away, with the money being used to fund her gambling habit.

Minnesota Fraudster Sentenced to 51 Months for Embezzling $2.7 Million https://t.co/b8OqLwskeC @SecretService
— U.S. Attorney MN (@DMNnews) September 17, 2025

Destiny McKayla Combs was the Accounting Manager for a surrogacy agency and affiliated law firm for around nine years, with her role meaning she was solely responsible for managing both companies’ finances, including taxes and financial statements.
“Combs treated her workplace like her own personal slot machine,” said Acting US Attorney Joseph H. Thompson.  “Combs’s crime is part of a disturbing wave of fraud sweeping across Minnesota.  From private companies to public programs, fraud has seeped into every corner of our state.  We will continue to attack this fraud plague with everything we’ve got at the federal level.”
Minnesota woman accused of embezzlement over 52-month period
The woman had become a trusted member of the management team and in 2022, the company’s owner agreed to sell the surrogacy agency to Combs upon his retirement in 2023. When the sale date approached, it’s reported that Combs “abruptly quit and moved to Florida.”
Through an investigation, it was revealed that between February 2019 and June 2023, the employee had embezzled approximately $2.72 million from the businesses.
“Combs’s scheme was simple: she used personal credit cards to fund her gambling habit, then used company funds to pay her credit card bills,” the press release from the US Attorney’s Office, District of Minnesota states.
“Combs stole the money to fuel her online gambling addiction.  She made fraudulent entries in the companies’ books to disguise her credit card payments as business expenses, and exploited the trust and autonomy her company gave her to go undetected.”
Over the period of 52 months, she made around 292 payments from the company accounts to her personal American Express credit card, totaling $2,723,025.
Featured Image: Sherburne County Jail
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