Illegal gambling and slavery kingpins funneled millions to European football clubs

A Chinese cybercrime syndicate running a trillion-dollar illegal gambling business and responsible for human trafficking in Southeast Asia has sponsored European football clubs to promote unlawful gambling sites, a new report exposes.

The illegal online gambling industry is using sports, including French, Spanish, and other European football teams, to prey on victims across the globe.

New research by cloud services security company Infoblox has shed light on a technology suite used by the Chinese organized crime groups, known for running illegal gambling industry, money laundering, and creating cyberfraud compounds with modern-day slaves who are forced to scam online.

The actor, code-named Vigorish Viper by the researchers, developed the technology suite to provide full-stack service for cybercriminals—from a Domain Name System (DNS) network, secure chat apps, website templates and hosting, mobile apps, and custom cryptography to branding services, advertising, and payment systems. It is likely that an anonymous cryptocurrency payment provider is embedded into all of their applications.

“Vigorish Viper represents one of the most sophisticated and important threats to digital security that we have discovered to date,” said Dr. Renée Burton, Vice President Infoblox Threat Intel.

Vigorish Viper operates a vast network of over 170,000 active domain names, evading detection, and law enforcement through its sophisticated use of DNS CNAME traffic distribution systems.

Footballers promote cybercriminals’ brands on t-shirts

According to researchers, tens of seemingly unrelated gambling brands advertise their sites through sponsorship deals with European sports teams and use the same Vigorish Viper technology suite. While these brands appear distinct, they operate more like franchise branches.

Criminal syndicates have involved sports teams in their illegal activities, using the teams’ popularity to amplify their reach. Chinese organized crime groups create brand presence through a network of shell companies with fake identities and credentials. This is typically done via a so-called white-label intermediary that provides local representation and credibility.

Players wear the sponsor’s logo on their shirts during games, and the logo is also advertised on pitchside boards in the stadium. These games are broadcast in China, often illegally, encouraging viewers to visit the website and bet on their favorite clubs.

Investigative journalists and watchdogs have thoroughly reported on this sponsorship scheme over the past several years.

Still actively operating in Europe

According to the researchers, the Yabo Group (also known as Yabo Sports or Yabo) is highly likely to have developed Vigorish Viper's technology suite.

The Yabo Group has been previously linked to controversy in Europe surrounding the use of certain football club sponsorships, including several in the English Premier League, such as Manchester United, to illegally advertise unregulated gambling sites in Asia. Yabo Group was reportedly dissolved in 2022.

In April 2023, following extensive reporting by major outlets, the UK Gambling Commission sanctioned TGP Europe, a white-label provider, for "anti-money laundering and social responsibility failures."

The commission also suspended 14 brands and seized the UK-related domain names. Eleven of these brands, including Yabo, were associated with Vigorish Viper.

“When we say they remain very successful, it’s because to a great degree, their European operations continue, having negotiated new sponsorship deals with French, Spanish, and other European teams,” writes researchers in the report.

“And despite the sanctions and additional license conditions, TGP Europe still acts as a white-label provider for five of Vigorish Viper’s brands. Moreover, at least eight top English football clubs currently have sponsorship deals with Vigorish Viper’s brands.”

Watchdogs believe the notorious Yabo controls “possibly the biggest illegal gambling operation targeting Greater China” and have directly tied them to practices of modern slavery. Despite gambling being almost entirely illegal in Greater China, it is estimated that citizens in the region bet nearly US$850 billion annually.

The report's authors will present these findings in the upcoming cybersecurity conference - Black Hat.