Key Points:

  • Problem gambling is linked to a high rate of criminal behavior (most prominently white-collar crimes).

  • An estimated 50% of individuals with gambling disorder have committed a crime related to their gambling.

  • Recent cases highlight a disturbing trend of financial crimes, fraud and theft driven by gambling addiction.

  • Legalized online betting is correlated with a rise in bankruptcies, loan defaults and domestic violence.

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Gambling addiction is often described as a “hidden illness” because it’s difficult to spot in others, easy for them to justify and devastating in its impact. While the focus on problem gambling’s financial harms and mental health risks increases, the clear and growing link between gambling addiction and criminal behavior is one consequence that remains severely underreported. 

Seemingly every week, headlines emerge about those who steal, scam or commit fraud in order to fuel their betting habits. Individuals are blinded by a compulsion so powerful it overrides moral boundaries and upends their lives. This article explores the data-driven connection between gambling and crime, recent case examples and a look at the broader societal costs.

Gambling and Crime: What the Stats Show

Roughly 50% of problem gamblers commit crimes, and it’s often as a direct result of their gambling.

These offenses are typically non-violent white-collar crimes such as fraud, forgery, embezzlement, larceny and workplace theft. Over two-thirds of pathological gamblers who committed crimes said they did so to obtain money to gamble or repay gambling debts. Among Gamblers Anonymous members surveyed, 57% admitted to stealing to finance their gambling, totaling over $30 million in stolen funds. The average amount stolen per individual comes out to be a staggering $135,000.

The severity of gambling problems also correlates with increased criminal activity. More than two-thirds of severe problem gamblers reported stealing or obtaining money illegally, compared to just 26% of moderate gamblers. Among incarcerated felons, an astonishing 73% were assessed as probable problem gamblers. Pathological gamblers are arrested three times more often than low-risk gamblers, and imprisoned at six times the rate of non-gamblers.

Stories of gambling addiction fueling criminal activity 

While the statistics are shocking, the individual stories are often even more so. In just the past few months, several cases have made headlines for crimes driven by gambling addiction:

Amit Patel, a former Jacksonville Jaguars employee, stole over $22 million from the franchise through a virtual credit card scheme. Nearly all the funds were transferred to FanDuel and DraftKings. He later sued FanDuel, alleging they exploited his addiction. Patel is now facing six counts of grand theft and could see up to a 30-year prison sentence.

In London, Romilio St Clair, a banker at HSBC, was convicted of stealing £280,000 ($380,000) from his branch to gamble. A court psychologist testified he had suffered a “loss of cognitive control” due to his addiction.

In Cardiff, Kathryn MacDonald, a gym manager with a history of gambling-related offenses, was caught pocketing £5,000 in cash from clients. She had previously served time for stealing £48,000 from a local council.

In Sydney, Viviana Varas, a grandmother, fabricated a cancer diagnosis to scam $400,000 from friends and family to fund her habit. She showed no remorse during trial proceedings and is currently serving a jail sentence.

In Scotland, Lindsey Crooknorth, the manager of a bingo hall, embezzled over £15,000 from the business safe during a year-long gambling binge. She reportedly began gambling during the pandemic on incentivized games promoted by her employer.

In Cork, Ireland, Graham McCarthy, a supermarket manager, stole €81,000 over 18 months. In a rare positive twist, he fully repaid the funds and received a suspended sentence, citing successful treatment and rehabilitation.

These examples are not isolated incidents. They represent the widespread and growing issue that gambling addiction is a serious public health threat often leading to criminal consequences.

Additional societal impacts of gambling addiction 

The ripple effects of problem gambling extend far beyond crime. Specifically, gambling addiction has impacted credit scores, bankruptcy, auto-loan delinquencies, domestic violence, suicidal ideation and youth problem gamblers.

Financial struggles 

For starters, credit scores have dropped by 0.3% on average in states that legalized sports betting. In states with online gambling, however, credit scores fell by nearly 1%, which is triple the drop seen in states with only in-person betting options.

Among the many concerning increases, bankruptcy filings have risen by 25-30% within 3-4 years after legalization. This financial strain is particularly visible in low-income counties with large populations of young men. Auto loan delinquencies have grown by 9%, more or less, in states that legalize online betting.

Family Impacts

Domestic violence spikes are unfortunately part of the package. Rates of Intimate Partner Violence are as much as 10% higher among gamblers versus non-gamblers, especially after financial losses.

Self-Harm and Suicide

Suicidality is another grave concern. Between 17–39% of problem gamblers report suicidal thoughts, underscoring the severe mental health toll of addiction.

Youth vulnerability is rising. Children and teens are more susceptible to developing gambling problems than adults. Early exposure is also a key predictor of lifelong addiction.

These patterns paint a disturbing picture of how legalized and normalized gambling, particularly online, can damage communities.

Gambling Addiction treatment

Despite the widespread consequences, access to quality treatment for gambling addiction remains limited. Birches Health offers confidential, evidence-based treatment tailored to the unique needs of individuals and families affected by gambling.

Whether you're concerned about your own behavior or that of someone close to you, professional help is available. Birches’ programs incorporate therapy, behavioral strategies and peer support, all with a focus on long-term recovery.

If gambling is interfering with your finances, relationships or sense of control, it’s time to seek support. Early intervention can prevent deeper harm, and restore hope.

To get started confidentially with Birches Health: