Miami Heat guard Terry Rozier pleaded not guilty Monday to two federal charges that accused him of faking an injury during a game to benefit gamblers — one of two sports gambling schemes that have scandalized the NBA. 

Mr. Rozier, 31, was arraigned in Brooklyn federal court on charges of federal wire fraud and money laundering conspiracy. He was released on a $3 million bond. 

He was joined by childhood friend and co-defendant Deniro Laster, whom Mr. Rozier — then playing for the Charlotte Hornets — allegedly told in advance that he would be prematurely exiting the first quarter of a March 23, 2023, game against the New Orleans Pelicans with an injury. 

Mr. Laster, in turn, sold the information to a group of sports gamblers who placed more than $250,000 in prop bets —wagers on individual players’ statistics rather than the outcome of a game — on Mr. Rozier’s “unders.” Indeed, Mr.Rozier played just nine minutes and 36 seconds before leaving the game with a supposed foot injury, earning Mr. Laster “tens of thousands” of dollars in cash, prosecutors allege.

Mr. Laster pleaded not guilty and was released on $50,000 bond. 

A 2015 first-round pick for the Boston Celtics, Mr. Rozier has earned nearly $160 million throughout his career.

Messrs. Laster and Rozier were among 31 defendants named in a sweeping federal investigation into two illegal sports gambling operations that prosecutors say involved La Cosa Nostra and other NBA figures, including former NBA All-Star and Portland Trail Blazers head coach Chauncey Billups.

Last month, a former NBA player and unofficial LA Lakers assistant coach, Damon Jones, pleaded not guilty to charges that he tipped off sports gamblers about injuries to star players like LeBron James and Anthony Davis. 

Also last month,  Mr. Billups pleaded not guilty in a separate indictment related to a mob-run poker scheme, in which federal prosecutors say he acted as celebrity bait to lure wealthy victims into rigged games.

Mr. Billups acted as the so-called celebrity “face card” used to lure in rich players to participate in rigged games that used hidden card-reading devices like x-ray technology built into the poker table and a card-shuffling machine to gain an advantage over the victims. Mr. Billups is accused of receiving payments, including one for $50,000, funded by the proceeds of the years-long scheme, which netted the games’ organizers $7 million.

Members of the Gambino, Bonanno, and Genovese families allegedly received a cut of the profits and were used to intimidate or assault gamblers who failed to pay up.

Mr. Billups, who has been the head coach of the Portland Trail Blazers since 2021, was placed on unpaid leave following his October arrest. He won an NBA championship with the Detroit Pistons in 2004 and was named NBA Finals MVP. He was inducted into the Naismith Memorial Basketball Hall of Fame in 2024.

Both Messrs. Billups and Rozier were placed on unpaid leave from their respective teams.