The Monmouth County Prosecutor's Office says the enterprise operated in Monmouth, Somerset, Essex and Hudson counties and in New York.
Authorities say the ring used websites to track illegal bets and record profits and losses. Prosecutors also allege members sold marijuana and prescription drugs.
Anthony Benyola of Toms River is suspended with pay from his job with the township's public works department.
Authorities say 55-year-old Richard Crossan of Hillsborough and 38-year-old Anthony Gagliardi of Monmouth Beach acted as co-conspirators.
Initial court appearances for most of the suspects were held Tuesday afternoon in Freehold. Three suspects remain at-large.