He operated an illegal betting empire from Costa Rica and will have to return US$25 million – CodigoPoker

A multimillion-dollar illegal betting operation that ran for years from Costa Rica ended with a conviction in the United States and the seizure of US$25 million. The protagonist is Michael Lawrence Brannon Hutson, known as Scott Brannon, who pleaded guilty to operating an illegal gambling business and must now serve one year of probation, with the first six months under house arrest.

Brannon admitted that the US$25 million he will surrender came from his activity in the betting business. The investigation dates back several years and was mainly based in Costa Rica, where the businessman had set up a structure linked to online betting operating under the name Tradewinds.

According to case documents cited by CasinoBeats, Brannon ran the operation between 2013 and 2021, while Costa Rican authorities had already begun investigating him in 2015. The site targeted clients from various markets and used a Costa Rican domain, although it did not have a valid license to operate as a gambling business.

An illegal betting investigation that also touched football

The case also had an unexpected connection to Costa Rican football. Brannon was co-owner of Club Sport Herediano, one of the country’s most important teams, along with David Patey, who had also been president of the institution.

The investigation caused a scandal when it emerged that Brannon was linked to a betting operation while holding a stake in a professional club. The situation was especially sensitive because FIFA rules impose restrictions on club owners and officials who have ties to sports betting businesses.

Patey ended up resigning as president of Herediano amid the controversy. At that time, he denied any illegal activities and publicly defended Brannon, although he acknowledged that his partner ran an online betting business aimed at clients in Asia.

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Because Tradewinds was not intended solely for the Costa Rican market. According to records cited in the investigation, the platform offered its services in Spanish, Chinese, Thai, and English, while Brannon and his partners used Costa Rica as their base of operations.

The problem was that some of the markets targeted by the platform had prohibitions on online betting and, according to the investigation, Tradewinds also did not have a valid license to conduct that activity.

The structure ended up being the subject of a much broader investigation. Costa Rican authorities investigated Brannon and Patey for possible crimes including money laundering and drug trafficking, although the case that ended with a conviction for Brannon in the United States focused on the illegal gambling operation.

Twenty-five million and a ban on returning to the business

As part of the sentence, Brannon must surrender US$25 million and is prohibited from participating directly or indirectly in any gambling business. The ban also extends to the possibility of managing, advising, or using domains, servers, or internet platforms intended to promote or operate betting services.

The amount, however, could represent only part of what the operation generated. According to sources cited by CasinoBeats, Tradewinds was likely a large-scale business and its total profits could have been considerably higher than the US$25 million seized.

The case also involves other partners. In 2021, authorities raided the home of Clarence “Gary” Austin, identified as one of the co-owners, and seized assets worth about US$13 million. So far, there is no record of Austin being prosecuted in the same case.

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