Federal prosecutors announced charges Thursday against 22 people in connection with an illegal online sports betting ring in Northwest Indiana.
According to an 87-page indictment, James “Jimmy the Greek” Gerodemos and Dean “Dean Gem” Gialamas ran the Gerodemos Gambling Organization from January 2021 to April 2026 and allegedly used extortionate means to collect gambling debts and laundered the money.
Prosecutors said law enforcement agencies had spent years investigating the organization as part of an effort to dismantle its operations. Officials said the group exploited individuals and undercut legitimate businesses in the community during its operation.
“This was not a case of harmless or casual gambling, it was part of a broader pattern of criminal behavior that included coercion, intimidation and financial exploitation,” FBI special agent Tim O’Malley, of the Indianapolis Field Office, said at a news conference Thursday.
The organization was headquartered at Gino’s Steakhouse in Merrillville and Paragon Restaurant in Hobart, owned by James Gerodemos and Chris Gerodemos. They used the businesses to collect gambling proceeds, pay off bettors and transfer gambling proceeds, prosecutors said.
The organization also used employees from both restaurants to help collect and distribute gambling proceeds from agents, bookies and bettors. Prosecutors said the payments ranged from a few hundred dollars to as much as $50,000.
When bettors fell into debt, members of the organization allegedly harassed and threatened them and their family members, going so far as to track them down if the debts went unpaid, according to prosecutors.
“This type of activity does not remain contained,” said O’Malley. “It creates fear in the community, it creates pressure, and it impacts the entire community. Not just those who are directly involved. There is no place in our society for coercion or intimidation and those who conduct this conduct must be held accountable.”
More than 150 law enforcement officers, including the FBI and IRS, raided both restaurants and several homes during a planned operation on Wednesday and placed 22 people, including James Gerodemos and Gialamas, under arrest.
The accused are facing charges including, conducting an illegal gambling business, conspiracy to commit and attempting to commit Hobbes Act extortion, conspiracy to commit money laundering, transmission of wagering information and forfeiture allegations.
“Our goal is to completely dismantle this group,” said O’Malley.
O’Malley said agents made several arrests nationwide in connection with the illegal gambling ring, including in Indiana, Chicago, Boston and New York.