NEW YORK An Internet poker company that was blocked from operating in the U.S. in the spring as part of an online gambling crackdown was "not a legitimate poker company, but a global Ponzi scheme," federal prosecutors said Tuesday.
The popular Full Tilt Poker website illegally raided player accounts to fund operations and make lavish payments to its owners, Justice Department lawyers said in a revised civil lawsuit filed in New York.
Over four years, the company used $444 million in player money to pay board members, including well-known professional poker players Christopher Ferguson and Howard Lederer, investigators said.
The poker site had promised players that their accounts were protected and wouldn't be touched. But authorities say that, as of March, the company had only $60 million left in its bank accounts to cover the $390 million it owed to players. It routinely mingled player money with its own finances, and took cash from some customers to pay out winnings due to others, prosecutors said.
http://online.wsj.com/article/AP5fced34 … 0e238.html
any online poker players think they were victims of this group?
Pretty much seems to be one scandal after another with these guys. That's what happens when you don't make it legal and regulate the heck out of it.
by arindam123416 months ago
Blackjack is snatching all the crazes out from Poker
by Stacie L5 years ago
Calif. Man Used Facebook to Hack Women's E-mailsGeorge Bronk Would Use Information He Got From Facebook to Hack Into E-mail Accounts, Then Send Nude Photos to Address Book In this undated photo...
by theirishobserver.5 years ago
The founders of three of the world’s best known online poker companies, one of which has offices in Dublin, were among 11 people charged by the US in a case that seeks at least $3 billion in forfeitures and...
Copyright © 2016 HubPages Inc. and respective owners.
Other product and company names shown may be trademarks of their respective owners.
HubPages® is a registered Service Mark of HubPages, Inc.