State and local law enforcement agencies have successfully dismantled an illicit gambling network operating in various strip-mall casinos and a warehouse located in Miami’s vibrant Wynwood neighborhood.
In a crackdown operation led by the Palm Beach County Sheriff’s Office, along with several other agencies, authorities have conducted raids on slot-machine parlors in West Palm Beach, Fort Pierce, Vero Beach, and Zephyrhills. During the raids, they seized both the machines and cash. Additionally, officers from a Miami-based company that supplied slot machines to these illicit casinos have been charged with various gambling and money-laundering offenses. At least five individuals are now facing legal consequences as a result of this operation.
As part of the ongoing investigation that commenced in 2022, undercover officers assumed various roles to gather evidence on the Miami company responsible for supplying slot machines to the illicit gambling operations. Some officers played the slot machines, posing as gamblers, while others assumed the identity of casino owners.
VIP Sweepstakes, located at 2885 N. Military Trail just outside West Palm Beach, was one of the casinos targeted in the recent raid. This particular casino was featured in a comprehensive series by the Sun Sentinel, shedding light on the proliferation of illegal gambling establishments in Florida.
The casino, adorned with elegant chandeliers and adorned with a maroon and gold carpet, provided a luxurious gambling experience unlike the simplistic and dimly lit slot parlors often seen along Military Trail. Guests were treated to complimentary buffet breakfasts, lunches, and dinners, adding to the overall upscale ambiance of the establishment.
According to an affidavit filed by the Palm Beach County Sheriff’s Office, the casino’s approach proved to be highly profitable, as it deposited a total of $763,196 into its bank accounts over the course of one year.
Florida law strictly prohibits individuals from possessing or operating slot machines, with the exception of 15 licensed gambling facilities. These facilities encompass casinos managed by both the Seminole and Miccosukee tribes, along with casinos and race tracks located in Broward and Miami-Dade counties.
Casinos, referred to as “arcades,” are present throughout the state, with some operating openly and others covertly. Despite their illegal status, they often continue to operate without much interference due to the challenges of investigations and the relatively low penalties involved.
During a panel discussion held this week in the Florida House’s Industries and Professional Activities Subcommittee, law enforcement officers expressed their concerns about the insufficient penalties for gambling offenses. According to them, these penalties, usually classified as misdemeanors, do not effectively deter individuals from engaging in such activities. They further pointed out that owners who are arrested often avoid jail time, unless more severe charges such as racketeering can be brought against them.
The casinos, often seen as engaging in victimless crime, operate without oversight or taxation. As a result, they can routinely cheat players and evade the hefty taxes imposed on legal casinos.
Several casinos were raided this week, including Treasure Hunter’s Arcade in Fort Pierce, Pharoah’s Treasure Arcade in Vero Beach, and Arcadia Arcade in Zephyrhills. The affidavit revealed that the group behind these casinos and the warehouse operated through various shell and front companies.
The exact number of individuals who have been charged remains uncertain. According to a news release issued by the Palm Beach County Sheriff’s Office, the investigation has led to the issuance of five arrest warrants. However, an affidavit filed by the sheriff’s office seeks arrest warrants for six individuals. These individuals include Joseph Michael Pestana, Eric David Silverstein, Justin Earl Silverstein, David Roffey, Nova Revez Roffey, and Jana Barvircakova.
Grand View Products Inc., located at 391 NW 24th St., Miami, was the slot machine company implicated in the investigation. Authorities became aware of the company’s connection through a man who was apprehended for his participation in a criminal syndicate operating multiple illicit casinos. This individual disclosed that he had purchased numerous machines from Grand View Products Inc.
While undercover, law enforcement officers pretended to be businesspeople interested in setting up an illicit casino in Delray Beach. As part of their investigation, they visited a warehouse where they were presented with an opportunity to purchase used slot machines for $6,500 each.