SACRAMENTO, Calif. – Three managers from the El Dorado Hills-based company SweepsCoach have pleaded guilty to running an illegal gambling business.
According to the U.S. Department of Justice, James Mecham, Kurt Stocks, and Heidi Edwards admitted to overseeing operations that supported unlawful gambling activities in California and Arizona.
Acting U.S. Attorney Michele Beckwith explained that the trio promoted their gaming services and partnered with internet cafés to install gaming terminals. These terminals enabled players to use credits to play slot-style games, with winnings redeemable for cash.
Such operations violated state laws in both California and Arizona. Undercover law enforcement operations confirmed the illegal setup at several internet café locations.
Between January 2012 and November 2017, the defendants deposited roughly $14 million in gaming revenue into accounts under their control. Total gross receipts from the operations in both states reached approximately $11 million.
The investigation was a joint effort involving the IRS Criminal Investigation, FBI, and California Department of Justice Bureau of Gambling Control, among other agencies. Assistant U.S. Attorney Heiko Coppola is leading the prosecution.
Sentencing is scheduled for October 21, 2025, with each defendant facing up to five years in prison and a $250,000 fine. Final sentences will depend on various factors evaluated by the court.