22 Charged in Federal Crackdown on Alleged Illegal Sports Betting Operation in Northwest Indiana

Federal authorities have charged 22 individuals in connection with an alleged illegal online sports betting operation based in Northwest Indiana, prosecutors announced Thursday. The indictment, spanning 87 pages, accuses James “Jimmy the Greek” Gerodemos and Dean “Dean Gem” Gialamas of leading the Gerodemos Gambling Organization from January 2021 through April 2026.

According to prosecutors, the group operated out of Gino’s Steakhouse in Merrillville and Paragon Restaurant in Hobart—both owned by James and Chris Gerodemos—using the businesses to collect gambling proceeds, pay bettors, and transfer funds. Employees from both restaurants allegedly assisted in collecting and distributing payments, which prosecutors said ranged from several hundred dollars to as much as $50,000.

The indictment alleges that when bettors failed to pay debts, members of the organization harassed and threatened them and their families, and tracked down those with unpaid balances. Prosecutors said the group’s activities included coercion, intimidation, and financial exploitation, impacting the broader community and legitimate businesses.

On Wednesday, more than 150 law enforcement officers, including agents from the FBI and IRS, raided both restaurants and several homes, arresting 22 people, including Gerodemos and Gialamas. The charges include conducting an illegal gambling business, conspiracy to commit and attempting to commit Hobbs Act extortion, conspiracy to commit money laundering, transmission of wagering information, and forfeiture allegations. Authorities said arrests were made in Indiana, Chicago, Boston, and New York. The investigation is ongoing as officials seek to dismantle the organization.