Terry Rozier stunned the NBA last Thursday when news of his arrest broke. The Miami Heat guard was charged by the FBI with conspiracy to commit wire fraud and money laundering, just weeks after being cleared to play. The league has since placed him on indefinite leave, prompting questions about his salary as the NBA reviews his pay status pending the outcome of the ongoing investigation.

Now, Rozier is in the final year of his four-year, $96.2 million contract with the Heat. This deal would’ve seen the 31-year-old earn roughly $26.6 million during the 2025-26 season. But NBA journalist Tim Reynolds has cleared the air around this unique situation on what happens when someone is involved in a federal investigation or similar issues.

“Terry Rozier is not going to receive his salary while on leave from the Miami Heat, sources tell AP. Details are still being worked out, but his salary will likely be held in some sort of account pending resolution of the legal case,” according to Tim. The journalist pointed out that 24 payments worth $1.1 million each that are owed to Terry Rozier, beginning from 15th November, will most likely be some sort of pending resolution account until his betting scandal case is resolved.

This suggests that NBA commissioner Adam Silver is not inclined to void Terry Rozier’s contract before the case is resolved, which appears to be the right decision for now. The league seems to be taking a cautious approach as the investigation continues. Meanwhile, Rozier’s absence has opened a 15th roster spot for the Miami Heat. The team will have two spots to fill before the February deadline, but luxury tax concerns and uncertainty surrounding Rozier’s future may delay any immediate moves.

Terry Rozier owed millions in back taxes during the same year as the disputed NBA game

Miami Heat guard Terry Rozier has already made the headlines several times this week, but it seems we keep learning something new about his case every day. Court records obtained by ESPN in Broward County, Florida, show that the Internal Revenue Service filed an $8 million income tax lien against Rozier back in November 2023.

What makes this interesting is the fact that this timeline matches exactly with the illegal betting scheme Rozier was allegedly part of. The 31-year-old has been accused of alerting gamblers and then faking an injury to make money off a prop bet related to his performance in the March 23, 2023, game between the Charlotte Hornets and New Orleans Pelicans.

Justice Department officials allege that more than $200,000 was bet on Rozier’s “under” game totals in several statistical categories. Nonetheless, despite this, Rozier’s attorney denied all these accusations, as he told AP in an email that, “There was never a debt of $8 million... Out of his total taxes owed in 2021 ($8 million), he actually owed $ 9,000. That was paid, but the now-defunct lien still needs to be pulled from the local courthouse.”

Now, even though Rozier’s attorney Jim Trusty has denied the claims, the lien is a public record, and no publicly available document shows it being removed, which Trusty claims. That leaves Rozier’s future within the league still in the air, as the FBI feels it has enough evidence to prove the Miami Heat guard guilty. The outcome of this is unknown to anyone, but we are keeping a close eye on the development.