After Top Gambling Regulator Quits to Lobby for FanDuel, Fla. Proposes Bill to Bar a Repeat

Posted on: March 24, 2025, 12:13h. 

Last updated on: March 24, 2025, 01:15h.

Corey Levitan Read More
Expertise: Commercial Gaming, Entertainment, Expert Insight, Las Vegas, Restaurants, Las Vegas Myths.
  • Louis Trombetta accepted a job offer from sports betting giant FanDuel while serving as Florida’s top gambling regulator
  • His hardline regulatory stance resulted in three of FanDuel’s competitors shutting down their fantasy sports betting games in the state
  • A new state bill would require any future gaming regulator to wait two years after leaving the post before working in the industry they regulated

As the first executive director of Florida’s new Gaming Control Commission (GCC), Louis Trombetta took a hardline stance against fantasy sports betting that contributed to three upstart companies shutting down their games in the state. Last year, he quit and went to work as a lobbyist for one of their biggest competitors.

Louis Trombetta, a former gaming attorney, was selected to lead the state’s newly formed Gaming Control Commission in March 2022. The commission was created to enforce gambling laws and restrictions in Florida after Gov. Ron DeSantis gave the Seminole Tribe exclusive rights to offer sports betting in his state. (Image: PR Newswire)

Rep. John Snyder, a Republican, has proposed a bill that would prohibit a repeat of that scenario, which set off loud alarm bells among lawmakers and ethics experts. HB 1467 would expand Florida’s existing ban on lobbying to prohibit Florida’s top gambling regulator from working for any fantasy sports company for two years after leaving the post.

“Any time you have a regulator in a position to make significant decisions on the industry, I think it’s important they sit on the bench for a little bit before they get back into it,” Snyder told the Miami Herald.

Fantasy’s Strange Reality

HB 1467 bill would also more formally legalize and regulate fantasy sports in the state, which has operated in a legal grey zone under current state law.

Unlike sports betting, in which players bet on the outcome of a game against a casino, fantasy sports players compete with one another to pick the best-performing roster of athletes in any particular sport over a set period of time. Because of this difference, fantasy sports — an industry predicted by The Business Research Company to grow to $59.63 billion by 2029 — is considered a game of skill, like poker, not luck.

However, that difference began eroding when fantasy sports platforms allowed players to place parlay-style bets on multiple game outcomes and player performances.

As Florida’s top gaming regulator, Trombetta targeted three companies offering these casino-like games in the state: PrizePicks, Underdog, and Betr. His cease-and-desist letters noted that all fantasy gaming outside of the compact with the Seminole Tribe was illegal and punishable by jail time.

No similar orders were issued to FanDuel or its major competitor, DraftKings, which both offer fantasy sports betting in Florida. Though the two sports betting giants don’t offer the upstarts’ parlay-style system bets, the GCC never clarified why they were excluded from enforcement.

I am concerned that the Commission is applying an interpretation that is not supported by law and that the Commission may be selectively enforcing its interpretation,” Republican Florida Senator Joe Gruters wrote in a letter to Trombetta at the time.

Gruters later said Trombetta assured him that DraftKings and FanDuel would also receive cease-and-desist orders, but never did.

Awkward Transition

Trombetta tendered his resignation from his state’s gaming commission in December 2024, the very same month he went to work for FanDuel.

His strategic leadership and deep understanding of regulatory frameworks will be invaluable as FanDuel continues to seek to expand its operations,” read this press release posted by FanDuel to PR Newswire last December.

“I’m thrilled to join FanDuel and transition from a regulatory role to working with an operator that is committed to building this industry in a sustainable manner,” Trombetta said in the release. “I look forward to contributing to their continued success and helping to shape the future of the industry.”

FanDuel’s Response

FanDuel defended its hiring of Trombetta, stating that it is not regulated by the Florida Gaming Control Commission since its fantasy sports contests don’t fall under Florida’s gambling laws.

In a statement to the Herald, FanDuel insisted that Trombetta “took steps to eliminate his access” to sensitive regulatory data after accepting the job offer. These steps included filing a public disclosure notice on November 15 transferring the responsibility for managing confidential information to a deputy director.

HB 1467, which Snyder introduced on March 4, was referred a day later to the Industries & Professional Activities Subcommittee, where it currently resides.