NBA Referee bet on games in which he officiated
In July 2007, reports of an investigation by the Federal Bureau of Investigation (FBI) were made public, which alleged that during the 2005–06 and 2006–07 NBA seasons, referee Tim Donaghy bet on games in which he officiated.
On August 15, 2007, Donaghy pleaded guilty to two federal charges related to the investigation, and a year later he was sentenced to 15 months in prison and three years of supervised release.
As a result, the general reaction by the media was that the NBA's popularity would be hurt by the news of this scandal.
Donaghy later revealed that he was rewarded $2,000 cash for each correct pick based on the tips he would pass along.
He surrendered on August 15, 2007, and pleaded guilty to two felony charges of conspiracy. He told judges that he had used coded language to tip others about players' physical condition and player/referee relations, and he specifically admitted to passing information about two games during the 2006–07 season. In total, he received $30,000 to pass inside information to the bookies.
