Robert Alexander has had quite an entrepreneurial life. But soon, he may well be adding the less than sought-after title of federal prisoner to his CV. He was charged with wire and securities fraud in 2019 and was convicted in 2020, but his January 14, 2025, sentencing date was only set this week.
Alexander’s court proceedings were delayed by medical issues, including a cornea operation and repeatedly catching COVID. At one point, his lawyer claimed he could not make an appointment, as he was in a medically induced coma.
Alexander, who now uses a mobility scooter, is finally compelled to face the music. He will appear for sentencing in January 2025 before a judge from the U.S District Court of Southern New York. He could face 27 months in prison under federal guidelines, although his ill-health may be taken into account.
Anderson was a former board member of hit video game developer Take Two Interactive, makers of the hugely popular Grand Theft Auto and Red Dead video game series. He then went on to found a Nevada-based sweepstakes gambling firm that raised $9 million in investments.
The riches were accompanied by the lifestyle. That included restaurant trips and parties with Sports Illustrated models and famous athletes, driving his luxury cars to high-stakes gambling sessions, and playing hundreds of thousands of dollars a night in Las Vegas.
But that all came crashing down when he was arrested in 2019. Alexander was charged with stealing millions from his gambling company, Kizzang, including $450,000 spent on his personal casino gambling habits.
Five years later — four years after he was convicted of wire and securities fraud — he finally has a date for his sentencing. Alexander, who is in ill-health and was at one point in a coma, will be sentenced on January 14 in a Nevada court.
The Riches
The New York native first found credibility in the business world after his gaming distribution studio, Jack of All Games, was bought out by Take Two Interactive. That netted him $30 million, and he later joined their board.
This was shortly before Take Two’s then-recently acquired Rockstar Games put out Grand Theft Auto III, which kick-started one of the best-selling video game franchises of all-time.
Take Two later cut him from the company board. But he sued them and received an undisclosed multimillion settlement fee for unfair dismissal.
That could have been the end of the drama in Alexander’s life. But he went on to become a large high roller at Las Vegas casinos, and a losing one at that.
Eventually, his losses added up, so he started a new company to try to make back his fortune. That company was Nevada-based Kizzang, which he started in 2013.
The social sweepstakes online casino attracted $9 million in investment, including a $1 million marketing partnership with Sports Illustrated. Other investors came from among Alexander’s newly rich and famous friends and associates.
High-stakes poker player Patrick Antonius said he once lent Alexander $700,000, according to the New York Post. Professional boxer Keith Therman also invested $100,000 in Kizzang, case insiders said.
The Crimes
However, all the while Kizzang was receiving millions, Alexander’s gambling continued. He spent $450,000 of fraudulently obtained company money gambling at various Las Vegas casinos between 2013 and 2017.
In 2017, as the company wrapped up and its insolvent finances became clear, Sports Illustrated sued Alexander for the default on its $1 million contract.
Company insiders began to speak to lawyers and indebted parties. They painted a picture of Alexander’s lavish lifestyle of luxury cars, fine dining, and expensive presents for his family – all paid for from company investors’ money.
Employees said that even if Kizzang started as a legitimate business idea, the operation had no real plan for making consistent income from its sweepstakes casino model.
The Consequences
Eventually, the law caught up with Alexander. In 2019, he was arrested in Long Island in New York on wire fraud charges. Securities and Exchange Commission investigators determined he had stolen at least $1.3 million directly from Kizzang investors, and possibly much more in personal loans from associates.
They also found Alexander had wildly overstated his role in the production of Grand Theft Auto. He told investors he was a key player in the development process, even though his role was in distribution after the game was made.
But he had blown most of his money gambling, and was not entitled to any further money made by the wildly successful series.
David is an online casino expert who specializes in online slots and boasts over 10 years experience writing about iGaming. He has written for a wide range of notable publications, including eSports Insider and WordPlay Magazine.
David graduated Derby University with a BA Degree in English Literature and Creative Writing.
