Miami Heat guard Terry Rozier is scheduled for arraignment at a federal courthouse in Brooklyn on Monday, December 8, following his October arrest in connection with an FBI investigation into illegal gambling, Anthony Chiang of the Miami Herald reported. Rozier remains away from the team while his legal situation develops.
Rozier, who has a $26.6 million cap hit this season, will not be paid during his leave, with withheld salary placed in an interest-bearing account pending the investigation’s outcome. The veteran guard will receive all withheld pay if cleared and allowed to return.
The arrest stems from a broader probe into sports betting linked to criminal organizations, including the Bonanno, Gambino, Genovese, and Lucchese crime families. Rozier’s case also involves Portland Trail Blazers head coach Chauncey Billups and former NBA player Damon Jones, who were arrested in the same investigation.
Rozier’s attorney, Jim Trusty, denied wrongdoing, stating, “This is an innocent guy who’s getting completely screwed. They’re latching onto a game where the NBA literally cleared him two years ago and trying to suggest he was a conspirator, as opposed to just somebody who had a hurt foot.” Trusty also said Rozier “never owed anyone $8 million” in taxes.
The Heat currently face roster and salary cap uncertainty, as Rozier still counts toward the cap. It remains unclear whether Miami can trade or waive him before his full season salary becomes guaranteed in January. Discussions with the NBA about salary cap or luxury tax relief are ongoing, with the team sitting at the tax line and unable to add another player without exceeding limits.
Rozier’s absence has left Miami adjusting its rotation during the 2025-26 season. The Heat currently sit at 14-10, with standout performances from Norman Powell, who is averaging 24.8 points and 3.6 assists over 19 games, and Bam Adebayo contributing 19.2 points and 9.0 rebounds through 18 appearances. Tyler Herro has added 23.8 points and 4.6 assists in five games.
While Rozier’s suspension affects depth at guard, the Heat’s other backcourt players, including Davion Mitchell and Dru Smith, have increased their minutes, logging 7.8 and 2.8 assists per game respectively.
Federal prosecutors allege Rozier provided insider health information to a friend, who allegedly used it for betting purposes. While the case develops, Rozier’s status with the Heat and his future in the league remain in question, with potential legal and financial implications extending into the new year.
