Mizuhara's guilty plea could clear Ohtani of the sports betting scandal

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Since the sports betting controversy began, Los Angeles Dodgers superstar Shohei Ohtani's statement that his former interpreter Ippei Mizuhara had transferred millions of dollars without Ohtani's knowledge to place sports bets through Ohtani's bank account sparked skepticism.

How could anyone – especially someone like Ohtani, who is surrounded by business managers, agents and accountants who presumably oversee his finances – not know about unauthorized banking transactions? And why wouldn't the bank confirm these transfers to Ohtani?

It all seemed a little hard to believe. Some have wondered whether Ohtani – who insists he is not playing – approved the transfers and is using Mizuhara as a scapegoat or scapegoat.

A new development on Wednesday could change the course of the controversy.

According to the The New York TimesMizuhara is negotiating with federal authorities to plead guilty to federal crimes related to the wire transactions. The crimes are not identified, but as Sportico Possible crimes that have already been reported include wire fraud, aggravated identity theft, violations of the Computer Fraud and Abuse Act and, if other people were involved in the theft, conspiracy. Mizuhara could theoretically face decades in prison, but if he pleads guilty and accepts responsibility, he would likely receive a significantly reduced sentence.

An obvious question is why Ohtani, his advisers and the bank would not have noticed at least $4.5 million in stolen funds in multiple transactions. The Just says authorities believe Mizuhara disabled notifications on the bank account so Ohtani “would not receive notifications and confirmations of transactions.”

For prosecutors to accept a guilty plea from Mizuhara, they must be convinced that his account is truthful and that he is not making mistakes on behalf of others. Mizuhara would have to give a statement and provide all evidence, including relevant texts, emails and social media messages, as well as dates he allegedly transferred the money. Prosecutors would likely have bank officials confirm that data, including IP addresses, matched Mizuhara's retellings, and ask those officials why their systems failed to detect Mizuhara's illegal activities. Discrepancies between what Mizuhara says and the evidence that is corroborated would make prosecutors less likely to accept a plea deal.

Mizuhara also could have to agree to testify against others, including those in California, who took the bets in a state where sports betting is illegal. ESPN has reported that Mizuhara has possible ties to California bookmaker Matthew Bowyer and his betting business, which is currently under investigation.

Even if Mizuhara avoids trial by pleading guilty, Ohtani could still become a witness – and possibly have to testify – if Mizuhara's associates are prosecuted and Mizuhara is a government witness.

Still, it would be a major breakthrough for a player who signed a record-breaking $700 million contract in the offseason if Mizuhara pleaded guilty and admitted to stealing from Ohtani. It would support Ohtani's narrative that he is a victim and has not broken any laws or MLB rules.