Police busted an illegal gambling ring involving seven shops that used Pokémon cards to circumvent Texas laws that limit gambling earnings.
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As part of the unlawful operation, customers who won on gambling machines were given valuable trading cards. Customers could then exchange the prized cards for cash at a nearby business.
Bexar County Sheriff Javier Salazar said deputies executed a series of search warrants targeting businesses investigators believe were working in tandem in the organized criminal operation.
Investigators seized large amounts of money and an estimated 500 to 600 gaming machines across the seven locations.
"We do very much consider this to be an organized criminal activity case," Salazar said. "We routinely hit these illegal gambling operations. But in this instance, right now, we've hit seven. All in one time."
Bexar County Sheriff's Office confirmed that all seven busted shops are based in San Antonio.
On Wednesday, roughly 23 people were detained in the massive sting.
Salazar said that over half of the detained criminals are expected to be jailed over alleged offenses including drug possession, operating illegal gambling establishments, and organized criminal activity.
Under state rules, certain gaming establishments are restricted in the value of prizes they can award. The busted shops tried to find a loophole around it by offering Pokémon cards, which have become increasingly valuable over the years.
Texas Sheriff Explains How Pokémon Cards Fueled Illegal Gambling Ring
Speaking to the San Antonio Express-News, Salazar explained how customers profited off the gambling scheme.
"So here are your sports cards that you won for gambling with us," Salazar said while holding a collectible card. "You can go next door and sell this to them. They'll give you a couple of hundred dollars for it," Salazar said. "We know what they're doing. They're trying to skirt the law. It doesn't make it any less illegal."
The massive gambling ring bust is not the first time that a criminal was arrested for accepting Pokémon cards as payment.
In May, Jack Young-Larter was arrested by UK police for requesting that a substance abuser pay off his debt with Pokémon cards.
After raiding his London home on May 1, Kent Police confirmed that the drug dealer was accepting cash, bank transfers and Pokémon trading cards as payment.
Young-Larter was charged with being concerned in the supply of cocaine and being concerned in the supply of cannabis.
The 26-year-old drug dealer pleaded guilty to all counts. He appeared before Maidstone Crown Court on September 17 to be sentenced.
