Arbitrator Upholds Terry Rozier's Salary Amid Federal Gambling Allegations
In a significant development, an arbitrator has determined that Miami Heat guard Terry Rozier is entitled to his full $26.6 million salary for the current season, despite being placed on administrative leave due to federal gambling-related charges. The National Basketball Players Association (NBPA) announced this ruling on Monday, highlighting a crucial victory for player rights in professional basketball.
Salary Withholding Dispute Resolved in Favor of Rozier
Rozier's paychecks for this season had been deposited into an interest-bearing account, pending the outcome of this arbitration. While the collective bargaining agreement between the NBA and its players permits salary withholding under specific circumstances, the NBPA successfully argued that Rozier's case did not meet those criteria. The union emphasized its commitment to protecting Rozier's due process and presumption of innocence throughout the legal proceedings.
Impact on Miami Heat and NBA Salary Cap
This arbitration decision has minimal financial implications for the Miami Heat, as Rozier's salary has already been accounted for on their books and counted against the team's salary cap this season. The ruling primarily affects the disbursement of funds to Rozier, ensuring he receives his earnings while the legal matters are resolved.
Background of the Federal Gambling Investigation
Rozier was arrested in October as part of a widespread federal probe that implicated over 30 individuals, including Portland Trail Blazers coach Chauncey Billups. Federal authorities allege that Rozier conspired with associates to manipulate bets based on his statistical performance in a game on March 23, 2023, while he was with the Charlotte Hornets. In that game against the New Orleans Pelicans, Rozier played limited minutes, leading to bets on his under statistical totals being successful.
NBA's Prior Awareness and Trade Implications
The NBA had previously flagged unusual prop bet activity surrounding Rozier's performance in the Hornets-Pelicans game, with sportsbooks reporting suspicious patterns that afternoon. After investigating, the league found insufficient evidence to sanction Rozier and noted his cooperation. However, details of the federal investigation were not disclosed to the Miami Heat when they acquired Rozier from the Hornets on January 23, 2024, in exchange for Kyle Lowry and a 2027 first-round draft pick. It is unlikely Miami would have proceeded with the trade had they known about the potential charges.
Legal Proceedings and Rozier's Defense
Rozier's legal team has moved to dismiss the charges, arguing that the government overreached by federalizing what they describe as a private dispute over bettors using nonpublic information. Rozier has pleaded not guilty to charges of wire fraud conspiracy and money laundering conspiracy. Released on a $3 million bond, he is scheduled to return to court in March as the case continues to unfold.
