McGraw Milhaven: FanDuel and DraftKings a ‘Pyramid Scheme’

550KTRS St. Louis sports radio talk show host McGraw Milhaven is one of many crying foul Tuesday morning in light of a scandal that has rocked the Daily Fantasy Sports world this week.

The controversy in question regards a high ranking DraftKings employee having inadvertently posted player ownership percentages prior to the start of that week’s NFL games.  Access to such data clearly provides an unfair edge.  This point was  driven home after the employee in question ended up winning $350,000 playing in a competing website’s contest, that being FanDuel. 

“It turns out that everyone who has played FanDuel or DraftKings has been duped and basically duped out of all their money,” Milhaven said on his talk show Tuesday morning. “These people they show (on the commercials) ‘I paid $2 and won $360,000’, where do you think that $360,000 comes from?”

Milhaven goes on to suggest FanDuel and DraftKings are in essence a pyramid scheme. 

“You need stooges for a pyramid scheme,” he said.  “The people who work at FanDuel and DraftKings have more information than you and me and not necessarily that Nick Foles is great on third down.  They have alghorythms that show who’s picked, who’s not picked, where’s it’s opening and they run it through a computer using insider information.

Watch below.

- Aaron Goldstein, Gambling911.com

- Don Shapiro, Gambling911.com