In 1995, Notaro and several other employees hired by a Las Vegas telemarketing company were arrested for wire fraud and abetting a telemarketing scam[SUP][1][/SUP] operated by the business owners.[SUP][1][/SUP] The arrest resulted in Notaro being convicted with what the Las Vegas Sun described as "six federal felony counts of telemarketing fraud by wire."[SUP][10][/SUP][SUP][14][/SUP] At nineteen years old he was sentenced to serve eighteen months in jail,[SUP][10][/SUP] though the sentence was commuted and he was instead ordered to pay several thousand in restitution, fined, and ordered to perform 200 hours of community service.[SUP][14][/SUP] Asked about his involvement in the company, Notaro has stated that "it makes me sick, don’t like it at all. I got older and realized I was in a racket, a business that targeted elderly people, and at that time you don’t really look at it as targeting people like that... you’re just doing your job... and I was a good salesman cause I was an energetic kid."[SUP][1][/SUP]
As term of his release was Notaro was prohibited from any form of telemarketing, though he states, "as a young kid, I knew nothing else to do."[SUP][2][/SUP] He again took a job at a telemarketing operation in Las Vegas,[SUP][11][/SUP] with Notaro describing what he was doing as "sweepstakes telemarketing."[SUP][2][/SUP] In August 1998, the offices of Century Pacific Group in Las Vegas were raided by the FBI, and Notaro was one of several workers at the business who were arrested.[SUP][14][/SUP] At the time, he was on still on probation.[SUP][1][/SUP][SUP][14][/SUP] While Notaro was initially charged with telemarketing without registration[SUP][11][/SUP] and violating probation by working as a telemarketer without a proper license,[SUP][1][/SUP] the owner of the company was charged with obtaining money under false pretenses and failing to provide workers' compensation insurance. Notaro was released on bail to await sentencing.[SUP][11][/SUP]
According to the Las Vegas Sun, in August 1999, Notaro, then 25 years old, was sentenced to one year in jail for "a gross misdemeanor count of conspiracy to commit unregistered telemarketing." His sentence began on September 8 at the Clark County Detention Center.[SUP][14][/SUP] Notaro served a year in prison and paid around $12,000 in restitution.[SUP][1][/SUP][SUP][14][/SUP] Several months after his release in late 2000, in June 2001 he was detained in possible connection with another telemarketing sweepstakes scheme, though details were withheld from the press.[SUP][1
Lets run through his latest scam. He gives half his clients the favorite the other half the dog. That way he is GUARANTEED to give at least half of them winners. He also has them buy a hook for each side then if the game lands on the number he wins both sides. Thats why it is imperative that they get new clients all the time. for example lets say he starts with 75 "news". half will win. Take that 37 or 38 do the same thing and put the others back at the top of the pile now you have 18 or 19 half will win and so on. If he could hit 70% as he claims WHY would he need to beg for new clients. I issue a challenge. He makes 200 picks and I will take the opposite side of every game. At the end of 200 picks I will give him $10,000 for every win he has over 104. For every win under 104 all he has to give me is $1,000 per. Thats right convict all you have to do is break 52%. I wont lift a finger i will let you do all the work exposing the fraud that you are. Your father was a drug addict your mother a whore and the apple doesnt fall far from the tree.[/SUP]
In episode 54 of "As the Boiler Room Turns" Steve (the stoner) Stevens declares "When I got in this business I didn't know there were so many frauds in this business".