Fifth Defendant in Sports Betting Fraud Ring Sentenced

Memphis, TN – The last of five Mid-South men, LaVonte Holmes, who executed a sports betting fraud scheme between 2022 and 2024, was sentenced to prison on January 20, 2026. According to information presented in Court, the defendants purchased both stolen personal identifying information—including dates of birth and social security numbers—and bank account information off the internet to create and fund fraudulent sports betting accounts on multiple sports betting smartphone applications in order to earn account opening incentives multiple times over. In addition to conducting the scheme in the Western District of Tennessee, the ring would travel to other states to perpetrate the fraud as well. All five defendants pled guilty to aggravated identity theft in violation of 18 U.S.C. § 1028A and unauthorized use of an access device in violation of 18 U.S.C. § 1029(a)(2) and were sentenced by Chief United States District Court Judge Sheryl H. Lipman. Lucas Gilliam, 25, was sentenced to 36 months. LaVonte Holmes, 24, was sentenced to 30 months. Lawrence Williams, 22, was sentenced to 15 months. Nathan Penaflor, 23, was sentenced to 6 months. Joshua Penaflor, 22, was sentenced to 6 months. There is no parole in the federal system.