A former Peabody man was sentenced to two years in federal prison on Thursday, and also ordered to forfeit $452,000 for running an illegal online gambling ring from his home on the North Shore.
The sentence for John Giannelli, Sr., 66, was handed down by a federal judge in New Hampshire, according to a press statement from the New Hampshire U.S. Attorney's office. The Salem News also reported on the latest development in the case.
to money laundering, operating an illegal gambling business and five counts of impeding the administration of the Internal Revenue laws.
A complete copy of the U.S. Attorney's press release announcing the sentence is attached to this story as a PDF.
Federal prosecutors said Giannelli ran an illegal sports betting website for four years from his homes in, first Peabody and later Kingston, N.H., and had up to 300 customers.
Prosecutors said their analysis of computers seized from Giannelli’s home in March 2012 showed that in a select 12-week period the illegal website generated $188,000 in profits.
The forfeiture of $452,000 is based on what prosecutors said was the total amount of money Giannelli laundered through another legitimate business to make it look like the money was lawfully earned.