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Tuesday, July 22, 2025

Betting company settles lawsuit after gambler’s wife sued for $1 million loss

The gambler's wife claimed her husband stole money from family accounts to stake bet The gambler’s wife claimed her husband stole money from family accounts to stake bet

DraftKings, a top US sports betting platform, has reached a confidential settlement in a lawsuit brought by Lisa D’Alessandro on July 20, 2025.

Her husband, a compulsive gambler, lost almost $1million on the site over a period of four years.

Lisa claimed her husband stole money from family accounts, including their kids’ savings, to fund his gambling lifestyle without her notice.

The case, which got national attention in the US, claimed DraftKings enabled and encouraged problem gambling.

This was allegedly done by offering VIP treatment and incentives to the bettor, known in court only by his username, Mdallo1990.

According to court filings, the man placed over 14,000 sports bets between 2020 and 2024, incurring losses totalling nearly $950,000.

The lawsuit argued that DraftKings should’ve intervened sooner.

It pointed to the man’s betting patterns rapidly escalating from under $25,000 in deposits in 2020 to $777,000 in 2023.

“That should have set alarm bells ringing,” the lawsuit stated.

DraftKings had previously attempted to dismiss the case, arguing that it had not encouraged the man to steal funds and that the lawsuit was not filed by a registered customer.

However, the court allowed the matter to proceed, leading to a negotiated resolution. The terms of the settlement remain undisclosed.

DraftKings denied wrongdoing but acknowledged Mdallo1990 was a VIP.

He received perks like free bets, electronics, travel offers, and branded merchandise benefits critics say may have made his addiction worse.

In response to mounting scrutiny, DraftKings has rolled out new responsible gambling features, including the “My Budget Builder”, a tool that allows users to set personalised spending limits and receive warning alerts.

Still, the D’Alessandro case underscores growing concerns about the human cost of digital sports betting, particularly when problem gamblers fall through the cracks of corporate safeguards.

PM/VPO

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