One week ago, the NBA was rocked by a sprawling federal investigation that reached into locker rooms and coaches' offices, resulting in the arrests of Portland Trail Blazers head coach Chauncey Billups and Miami Heat guard Terry Rozier. Now, as the initial shock subsides, the league, its players, and federal authorities are grappling with the complex and damaging fallout of a scandal that strikes at the very heart of professional sports: its integrity.

The scandal, dubbed “Operation Royal Flush” and "Operation Nothing But Bet" by the Department of Justice, involves two parallel schemes: one centered on rigging high-stakes, Mafia-backed poker games, and another, more alarming scheme involving the use of insider information to place fraudulent bets on NBA games.

The federal investigation, led by the U.S. Attorney's Office for the Eastern District of New York, has been described as one of the most significant sports corruption cases since the widespread legalization of sports betting. Indictments allege that players and coaches used non-public information, such as undisclosed injuries and lineup changes, to enrich themselves and their associates. In some cases, players are accused of intentionally altering their on-court performance to ensure specific prop bets paid out.

In response, the NBA has placed both Billups and Rozier on administrative leave. However, the league is now facing a challenge from the National Basketball Players Association (NBPA). The union is filing a grievance over the decision to withhold Terry Rozier's salary during his leave. The NBPA's stance is rooted in the principle of "innocent until proven guilty," arguing that Rozier should continue to be paid his $26.4 million salary while the legal process unfolds. The NBA, for its part, plans to place the salaries of both Billups and Rozier into an escrow account pending the resolution of their cases.

This dispute highlights the precarious legal and ethical tightrope the league must walk as it tries to project strength and protect its image while respecting the rights of its players.

As the legal battle lines are drawn, the individuals at the center of the storm are assembling their defenses. Terry Rozier has retained high-profile attorney James Trusty, a former federal prosecutor who notably represented former President Donald Trump in the Mar-a-Lago classified documents case. Trusty has publicly called the allegations against his client "thin," signaling a vigorous fight ahead.

Meanwhile, Chauncey Billups, a beloved figure in the basketball world and a Hall of Famer, faces charges primarily related to the rigged poker games. His arrest has sent shockwaves through the league, prompting disbelief and disappointment from former colleagues. On TNT's "Inside the NBA," Shaquille O'Neal did not mince words. "I'm ashamed," O'Neal said, expressing his profound disappointment in the alleged actions of Billups and others involved. "You're making $9m - how much more do you need?" His comments reflect a broader sentiment of betrayal felt by fans and league veterans alike.

With Billups on leave, the Portland Trail Blazers have had to make immediate changes. The team has named assistant coach Tiago Splitter as the interim head coach. The 40-year-old Brazilian, a former NBA player himself, now faces the daunting task of leading a team through the turmoil and uncertainty created by his predecessor's stunning downfall.

The scandal has done more than just implicate a few individuals; it has cast a shadow over the entire league and its relationship with the burgeoning sports betting industry. The U.S. Senate Commerce Committee has already launched an inquiry, demanding answers from NBA Commissioner Adam Silver about how the league investigated these allegations and what steps it is taking to prevent future corruption.

Federal prosecutors allege a sophisticated conspiracy where inside information was exploited for profit, eroding the very foundation of fair play. The indictment details specific instances, such as a March 2023 game where Rozier, then with the Charlotte Hornets, allegedly feigned an injury to ensure "under" prop bets placed by his associates were successful.

This crisis comes at a time when the NBA, like all major sports leagues, has leaned heavily into partnerships with sports betting operators. The immense revenue is now paired with immense risk. The "Operation Nothing But Bet" scandal is a brutal reminder that with legalized gambling comes the heightened threat of corruption. The league's ability to police itself, protect its confidential information, and ensure every game is decided "on its merits" is now under intense scrutiny from fans, lawmakers, and federal investigators. The fallout is far from over, and the NBA's fight to restore trust has only just begun.