Two Florida bingo operators have been brought down after an eight-day trial exposed their decade-long scheme to siphon over $8 million from charity proceeds. Larry L. Masino, 67, of Gulf Breeze, and Dixie L. Masino, 65, of Pensacola, were convicted late yesterday in U.S. District Court in Pensacola on charges of wire fraud conspiracy, operating an illegal gambling business, and money laundering conspiracy. The verdict marks the end of a sprawling federal case targeting what prosecutors call a sham operation disguised as charity.
The Masinos owned and operated Racetrack Bingo Inc. in Fort Walton Beach, a business that claimed to run bingo games and funnel profits to local Okaloosa County charities. But between 2006 and 2015, they conspired to defraud those charities out of more than $8 million. Far from compliance with Florida law, the couple unlawfully paid themselves and employees, charged charities inflated lease fees, and kept profits that should have gone back to players as prizes—making the entire operation an illegal gambling enterprise.
Worse, the Masinos laundered over $5.8 million through profit distribution checks paid to themselves and their three children, who were shareholders in the business. These checks masked the theft as legitimate corporate payouts, further burying the fraud. Larry L. Masino was convicted on 18 counts of money laundering, while Dixie L. Masino faces 20 counts—each a hammer blow in a case built on financial deception and greed.
For their crimes, the Masinos now face steep penalties. The wire fraud conspiracy charge carries a maximum 20-year prison sentence. Each count of money laundering and the money laundering conspiracy brings up to 10 years, while operating an illegal gambling business alone exposes them to 5 years behind bars. Sentencing is set for May 25, 2018, at 1:00 p.m. at the Arnow Federal Building in Pensacola.
The takedown was the result of a joint investigation by the Florida Department of Law Enforcement, the Internal Revenue Service—Criminal Investigation, the Federal Bureau of Investigation, and the Okaloosa County Sheriff’s Office. Their collaboration peeled back layers of financial obfuscation, exposing how the Masinos weaponized charity for personal gain. Assistant United States Attorney Alicia H. Forbes led the prosecution, securing convictions that could land the couple in prison for decades.
The U.S. Attorney’s Office for the Northern District of Florida, led by Christopher P. Canova, emphasized that no facade—no matter how charitable—will shield criminal enterprise. The case stands as a warning to those who exploit nonprofit status for profit. Public court documents are available via the U.S. District Court for the Northern District of Florida website. For more, visit the office’s official site.
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Key Facts
- State: Florida
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes
- Source: Official Source ↗
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