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Online gambling world watches U.S. case

Online GamblingOnline Gambling: Online gambling world watches U.S. case

BetOnSports indictment may show limits of American authorities' control

When prosecutor Marty Woelfle went before a federal judge this week to lay out her case against an online gambling firm, she faced a daunting legal challenge from the company she was prosecuting: No one bothered to show up.

There would seem to be good reason for BetOnSports PLC to hire attorneys. The firm is facing a 22-count indictment on fraud and racketeering charges filed in the U.S. District Court in St. Louis. The chief executive officer is in jail, and the company faces a restraining order barring it from operating in the United States.

But with headquarters in Costa Rica and other offices on the island of Antigua, BetOnSports was advised it didn't have to respond to charges filed in a U.S. court, Woelfle told U.S. District Judge Carol Jackson.

Just because BetOnSports was a no-show doesn't mean no one is paying attention to the case. Industry executives and legal experts are closely watching the prosecution in St. Louis as a key test case in the U.S. government's ongoing effort to crackdown on Internet gambling, which collects roughly $6 billion domestically every year.

"This may very well signal that the Justice Department is going to allow the U.S. attorneys to take this issue much more seriously than they have in the past," said William Eadington, director of the Institute for the Study of Gambling and Commercial Gaming at the University of Nevada, Reno.

If the BetOnSports prosecution is successful, it could change the industry landscape, he said.

"You basically have a very chilling effect on the entire U.S. segment of the market," Eadington said.

There's an enormous jackpot to be won or lost for Internet gambling firms. Online betting in the United States accounts for about half the global market of $10 to $12 billion annually, Eadington said.

U.S. Attorney Catherine Hanaway said that's one big reason why she is pursuing the case against BetOnSports and other companies associated with online gambling.

All those billions of dollars flowing out of United States escape excise taxes, she said. Not only does that rob the U.S. Treasury, she said, but it could foster other illegal activity.

"Because the industry is illegal and unregulated and very large amounts of cash are transferred, it has the potential to create other problems," Hanaway said.

The flow of online gambling cash has been growing with relatively little fanfare over the last few years, Eadington said. But in June, the U.S. House of Representatives passed a bill that would ban credit card companies from processing online gambling transactions. The bill awaits Senate approval.

In light of the House bill, the St. Louis indictment is akin to the other shoe dropping. Eadington said it shows just how hard U.S. law enforcement authorities are willing to crackdown on Internet gambling companies.

David Carruthers, CEO of BetOnSports, was arrested during a layover in Texas as he flew from London to Costa Rica. He appeared at a hearing Monday in St. Louis, handcuffed and in shackles. He remains in custody awaiting terms of his bail.

Besides Carruthers' arrest, online gambling executives around the world are paying particular attention to the temporary restraining order the U.S. Justice Department won against BetOnSports, said Sue Schneider, president of the River City Group, which publishes an online gambling trade magazine.

The restraining order bars BetOnSports from taking U.S.-based bets, and the company appears to be complying, according to Schneider and others.

"This is the first time that I have every seen that," Schneider said.

She has received calls from Internet gambling executives as far away as Germany, England and Asia, all looking for an update on the BetOnSports case. They worry about more restraining orders and are not likely to make any layovers on U.S. soil, Schneider said.

But this week's events in St. Louis also highlight some obstacles in tackling online gambling.

Woelfle, of the Justice Department's organized crime and racketeering section, told Judge Jackson on Monday that the government wants to make its restraining order against BetOnSports permanent. But Jackson suggested that couldn't happen until the company received proper "service," meaning it received legal filings in a fashion that satisfies U.S. requirements.

Woelfle sounded frustrated. She said BetOnSports fired Carruthers immediately after he was arrested, clouding the issue of whether it was properly served. She said the government would try and serve BetOnSports in its London office, a process that involves complicated international treaties.

Jackson extended the temporary restraining order until Aug. 14.

Hanaway acknowledged it isn't easy to control a business that shuttles money from private computers to offshore bank accounts. But she pointed out the government has a long history of tracking down international drug networks and catching international fugitives.

"What has made it difficult is that these businesses have been structured to avoid prosecution," she said.

AP

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9 comments. Last comment 10 years ago by LOTTOMIKE.
Page 1 of 1

United States
Member #3676
February 10, 2004
425 Posts
Offline
Posted: August 3, 2006, 10:27 pm - IP Logged

What a waste of taxpayers dollars. Instead of legalizing it here in America and reaping the rewards the American gov't again is just clueless.

    Avatar
    detroit/michigan/usa
    United States
    Member #12322
    March 11, 2005
    36 Posts
    Offline
    Posted: August 4, 2006, 7:24 am - IP Logged

    What perplexes me is how the U.S. feels that they must protect the world, by regulating a intentity that is definitely  victimless.  If I choose to gamble online, who have I hurt?  The U.S. continues to meddle in other folks business and this has to stop!!!

      Avatar

      United States
      Member #33085
      February 18, 2006
      743 Posts
      Offline
      Posted: August 4, 2006, 7:33 am - IP Logged

      Will all of these proceedings affect betslips?

        RJOh's avatar - chipmunk
        mid-Ohio
        United States
        Member #9
        March 24, 2001
        19816 Posts
        Offline
        Posted: August 4, 2006, 12:19 pm - IP Logged

        Funny, when China limited Internet contents and services for its citizens, a lot of people in our government said it was wrong.  I guess whether something looks right or wrong depends on which side of right and wrong you'll looking from.

         * you don't need to buy more tickets, just buy a winning ticket * 
           
                     Evil Looking       

          Jimiam's avatar - ICONATOR 4af8c649273bc68ca3f95ed9dd755e65.jpg

          United States
          Member #39406
          May 15, 2006
          287 Posts
          Offline
          Posted: August 8, 2006, 6:52 pm - IP Logged

          Wake Up America, 

          If this sounds too preposterous for you, check it out. This is just a summary. The evidence is available. Only when you are ready to wake up will you see what has been obvious for a long time. Then you can begin to understand WHO your are in contrast to what you are. But most people are content to not look. One could describe them as cows in the pasture with no interest in anything other than the next mouthful of grass or a sweet bale of hay with oats as a side dish. And that's OK. I like cows, too. However, from our level of awareness, I would NOT wish to change places. Let me know if you find additional information and references, and, if you find any errors, please let me know. Truth as we know it is a provisional phenomenon.

          1.) The IRS is not a U.S. government agency. It is an agency of the IMF. (Diversified Metal Products v. IRS et al. CV-93-405E-EJE U.S.D.C.D.I., Public Law 94-564, Senate Report 94-1148 pg. 5967, Reorganization Plan No. 26, Public Law 102-391.)

          2.) The IMF is an agency of the UN. (Blacks Law Dictionary 6th Ed. Pg. 816)

          3.) The U.S. has not had a treasury since 1921. (41 Stat. Ch.214 pg. 654)

          4.) The U.S. Treasury is now the IMF. (Presidential Documents Volume 29-No.4 pg. 113, 22 U.S.C. 285-288)

          5.) The United States does not have any employees because there is no longer a United States. No more reorganization. After over 200 years of operating under bankruptcy it's finally over. (Executive Order 12803) Do not personate one of the creditors or shareholders or you will go to Prison. 18 U.S.C.914

          6.) The FCC, CIA, FBI, NASA and all of the other alphabet gangs were never part of the United States government. Even though the "US Government" held shares of stock in the various agencies. (U.S. V. Strang , 254 US 491, Lewis v. US, 680 F.2d, 1239)

          7.) The UN through the IMF issues Social Security Numbers. The application for a Social Security Number is the SS5 form. The Department of the Treasury (IMF) issues the SS5 not the Social Security Administration. The new SS5 forms do not state who or what publishes them, the earlier SS5 forms state that they are Department of the Treasury forms. You can get a copy of the SS5 you filled out by sending form SSA-L996 to the SS Administration. (20 CFR chapter 111, subpart B 422.103 (b) (2) (2) Read the cites above)

          8.) There are no Judicial courts in America and there has not been since 1789. Judges do not enforce Statutes and Codes. Executive Administrators enforce Statutes and Codes. (FRC v. GE 281 US 464, Keller v. PE 261 US 428, 1 Stat. 138-178)

          9.) There have not been any judges in America since 1789. There have just been Administrators. (FRC v. GE 281 US 464, Keller v. PE 261 US 428 1 Stat. 138-178)

          10.) According to the GATT you must have a Social Security number. House Report (103-826)

          11.) We have One World Government, One World Law and a One World Monetary System.

          12.) The UN is a One World Super Government.

          13.) No one on this planet has ever been free!!. This planet is a slave colony. There has always been One World Government. It is just that now it is much better organized and has changed its name as of 1945 to the United Nations.

          14.) New York City is defined in the Federal Regulations as the United Nations. Rudolph Gulliani stated on C-Span that "New York City was the capital of the World" and he was correct. It was not just a smile on his face, it was a "knowing" smile. (20 CFR chapter 111, subpart B 422.103 (b) (2) (2)

          15.) Social Security is not insurance or a contract, nor is there a trust fund. (Helvering v. Davis 301 US 619, Steward Co. V. Davis 301 US 548.)

          16.) Your Social Security check comes directly from the IMF, which is an agency of the UN. (Look at it if you receive one. It should have written on the top left United States Treasury.)

          17.) You own no property, slaves can't own property. Read the Deed to the property that you think is yours. You are listed as a tenant. (Senate Document 43, 73rd Congress 1st Session)

          18.) The most powerful court in America is not the United States Supreme Court but the Supreme Court of Pennsylvania. (42 Pa.C.S.A. 502)

          19.) The Revolutionary War was a fraud. See (22, 23 and 24)

          20.) The King of England financially backed both sides of the Revolutionary war. (Treaty at Versailles July 16, 1782, Treaty of Peace 8 Stat 80)

          21.) You can not use the Constitution to defend yourself because you are not a party to it. (Padelford Fay & Co. v. The Mayor and Alderman of The City of Savannah 14 Georgia 438, 520)

          22.) America is a British Colony. (THE UNITED STATES IS A CORPORATION, NOT A LAND MASS AND IT EXISTED BEFORE THE REVOLUTIONARY WAR AND THE BRITISH TROOPS DID NOT LEAVE UNTIL 1796.) Respublica v. Sweers 1 Dallas 43, Treaty of Commerce 8 Stat 116, The Society for Propagating the Gospel, &c. V. New Haven 8 Wheat 464, Treaty of Peace 8 Stat 80, IRS Publication 6209, Articles of Association October 20, 1774.)

          23.) We are slaves and own absolutely nothing not even what we think are our children. Tillman v. Roberts 108 So. 62, Van Koten v. Van Koten 154 N.E. 146, Senate Document 43 & 73rd Congress 1st Session, Wynehammer v. People 13 N.Y. REP 378, 481)

          24.) Military Dictator George Washington divided the States (Estates) into Districts. (Messages and papers of the Presidents Vo 1, pg 99. Websters 1828 dictionary for definition of Estate.)

          25.) " The People" does not include you and me. (Barron v. Mayor & City Council of Baltimore. 32 U.S. 243)

          26.) The United States Government was not founded upon Christianity. (Treaty of Tripoli 8 Stat 154.)

          27.) It is not the duty of the police to protect you !. Their job is to protect the Corporation and arrest code breakers. Sapp v. Tallahassee, 348 So. 2nd. 363, Reiff v. City of Philadelphia, 477 F.Supp. 1262, Lynch v. N.C. Dept of Justice 376 S.E. 2nd. 247.

          28.) Everything in the "United States" is For Sale: roads, bridges, schools, hospitals, water, prisons airports etc. I wonder who bought Klamath Lake? Did anyone take the time to check? (Executive Order 12803)

          29.) We are Human capital. (Executive Order 13037)

          30.) The UN has financed the operations of the United States government for over 50 years and now owns every man, women and child in America. The UN also holds all of the Land in America in Fee Simple.

          31.) The good news is we don't have to fulfill "our" fictitious obligations. You can discharge a
          fictitious obligation with another's fictitious obligation.

          32.) The depression and World War II were a total farce. The United States and various other companies were making loans to others all over the World during the Depression. The building of Germany's infrastructure in the 1930's including the Railroads was financed by the United States. That way those who call themselves "Kings," "Prime Ministers," and "Fuhrers" etc. could sit back and play a game of chess using real people. Think of all of the Americans, Germans etc. who gave their lives thinking they were defending their Countries, which didn't even exist. The millions of innocent people who died for nothing. Isn't it obvious why Switzerland is never involved in these fiascoes? That is where the "Bank of
          International Settlements" is located. Wars are manufactured to keep your eye off the ball and to limit population. You have to have an enemy to keep the illusion of Government" in place.

          33.) The "United States" did not declare Independence from Great Britain or King George. And as a result we have our own King George III. But just like King John was forced to sign the Magna Carta or lose his head, so will our predacious king.

          "What you see with your eyes shut is what counts." --Lame Deer, LAKOTA

          There are a few things we can do within the law that can begin to rectify our status but the most powerful is beyond mind and imagination. Where would you wish to start? We can establish your sovereignty, erase your debts, assist you in understanding how to defend yourself in court, and show you how to adapt to the Law of Admiralty "come ashore." When would you wish to begin? Don't wait until you are in trouble financially to make your move. Do it while you still have options, some "wiggle room." There is a way out of the pasture but they've planted brambles to hide the hole in the fence. As long as the hole is there, you are not a slave but have agreed to be one by your ignorance or inaction. By presumption you are choosing to accept the status quo.

            Jimiam's avatar - ICONATOR 4af8c649273bc68ca3f95ed9dd755e65.jpg

            United States
            Member #39406
            May 15, 2006
            287 Posts
            Offline
            Posted: August 8, 2006, 7:00 pm - IP Logged

            *************************************************
            http://www.mysteriesofthemind.com/im...ash%202005.pdf

            **************************************************

              LOTTOMIKE's avatar - cash money.jpg
              Tennessee
              United States
              Member #7853
              October 15, 2004
              11338 Posts
              Offline
              Posted: August 11, 2006, 3:04 am - IP Logged

              september will be a very important month to watch as far as the bill is concerned.....

                NBey6's avatar - pyramid
                $$ Notaphilist $$

                United States
                Member #4290
                April 9, 2004
                16436 Posts
                Offline
                Posted: August 23, 2006, 4:01 pm - IP Logged

                Wake Up America, 

                If this sounds too preposterous for you, check it out. This is just a summary. The evidence is available. Only when you are ready to wake up will you see what has been obvious for a long time. Then you can begin to understand WHO your are in contrast to what you are. But most people are content to not look. One could describe them as cows in the pasture with no interest in anything other than the next mouthful of grass or a sweet bale of hay with oats as a side dish. And that's OK. I like cows, too. However, from our level of awareness, I would NOT wish to change places. Let me know if you find additional information and references, and, if you find any errors, please let me know. Truth as we know it is a provisional phenomenon.

                1.) The IRS is not a U.S. government agency. It is an agency of the IMF. (Diversified Metal Products v. IRS et al. CV-93-405E-EJE U.S.D.C.D.I., Public Law 94-564, Senate Report 94-1148 pg. 5967, Reorganization Plan No. 26, Public Law 102-391.)

                2.) The IMF is an agency of the UN. (Blacks Law Dictionary 6th Ed. Pg. 816)

                3.) The U.S. has not had a treasury since 1921. (41 Stat. Ch.214 pg. 654)

                4.) The U.S. Treasury is now the IMF. (Presidential Documents Volume 29-No.4 pg. 113, 22 U.S.C. 285-288)

                5.) The United States does not have any employees because there is no longer a United States. No more reorganization. After over 200 years of operating under bankruptcy it's finally over. (Executive Order 12803) Do not personate one of the creditors or shareholders or you will go to Prison. 18 U.S.C.914

                6.) The FCC, CIA, FBI, NASA and all of the other alphabet gangs were never part of the United States government. Even though the "US Government" held shares of stock in the various agencies. (U.S. V. Strang , 254 US 491, Lewis v. US, 680 F.2d, 1239)

                7.) The UN through the IMF issues Social Security Numbers. The application for a Social Security Number is the SS5 form. The Department of the Treasury (IMF) issues the SS5 not the Social Security Administration. The new SS5 forms do not state who or what publishes them, the earlier SS5 forms state that they are Department of the Treasury forms. You can get a copy of the SS5 you filled out by sending form SSA-L996 to the SS Administration. (20 CFR chapter 111, subpart B 422.103 (b) (2) (2) Read the cites above)

                8.) There are no Judicial courts in America and there has not been since 1789. Judges do not enforce Statutes and Codes. Executive Administrators enforce Statutes and Codes. (FRC v. GE 281 US 464, Keller v. PE 261 US 428, 1 Stat. 138-178)

                9.) There have not been any judges in America since 1789. There have just been Administrators. (FRC v. GE 281 US 464, Keller v. PE 261 US 428 1 Stat. 138-178)

                10.) According to the GATT you must have a Social Security number. House Report (103-826)

                11.) We have One World Government, One World Law and a One World Monetary System.

                12.) The UN is a One World Super Government.

                13.) No one on this planet has ever been free!!. This planet is a slave colony. There has always been One World Government. It is just that now it is much better organized and has changed its name as of 1945 to the United Nations.

                14.) New York City is defined in the Federal Regulations as the United Nations. Rudolph Gulliani stated on C-Span that "New York City was the capital of the World" and he was correct. It was not just a smile on his face, it was a "knowing" smile. (20 CFR chapter 111, subpart B 422.103 (b) (2) (2)

                15.) Social Security is not insurance or a contract, nor is there a trust fund. (Helvering v. Davis 301 US 619, Steward Co. V. Davis 301 US 548.)

                16.) Your Social Security check comes directly from the IMF, which is an agency of the UN. (Look at it if you receive one. It should have written on the top left United States Treasury.)

                17.) You own no property, slaves can't own property. Read the Deed to the property that you think is yours. You are listed as a tenant. (Senate Document 43, 73rd Congress 1st Session)

                18.) The most powerful court in America is not the United States Supreme Court but the Supreme Court of Pennsylvania. (42 Pa.C.S.A. 502)

                19.) The Revolutionary War was a fraud. See (22, 23 and 24)

                20.) The King of England financially backed both sides of the Revolutionary war. (Treaty at Versailles July 16, 1782, Treaty of Peace 8 Stat 80)

                21.) You can not use the Constitution to defend yourself because you are not a party to it. (Padelford Fay & Co. v. The Mayor and Alderman of The City of Savannah 14 Georgia 438, 520)

                22.) America is a British Colony. (THE UNITED STATES IS A CORPORATION, NOT A LAND MASS AND IT EXISTED BEFORE THE REVOLUTIONARY WAR AND THE BRITISH TROOPS DID NOT LEAVE UNTIL 1796.) Respublica v. Sweers 1 Dallas 43, Treaty of Commerce 8 Stat 116, The Society for Propagating the Gospel, &c. V. New Haven 8 Wheat 464, Treaty of Peace 8 Stat 80, IRS Publication 6209, Articles of Association October 20, 1774.)

                23.) We are slaves and own absolutely nothing not even what we think are our children. Tillman v. Roberts 108 So. 62, Van Koten v. Van Koten 154 N.E. 146, Senate Document 43 & 73rd Congress 1st Session, Wynehammer v. People 13 N.Y. REP 378, 481)

                24.) Military Dictator George Washington divided the States (Estates) into Districts. (Messages and papers of the Presidents Vo 1, pg 99. Websters 1828 dictionary for definition of Estate.)

                25.) " The People" does not include you and me. (Barron v. Mayor & City Council of Baltimore. 32 U.S. 243)

                26.) The United States Government was not founded upon Christianity. (Treaty of Tripoli 8 Stat 154.)

                27.) It is not the duty of the police to protect you !. Their job is to protect the Corporation and arrest code breakers. Sapp v. Tallahassee, 348 So. 2nd. 363, Reiff v. City of Philadelphia, 477 F.Supp. 1262, Lynch v. N.C. Dept of Justice 376 S.E. 2nd. 247.

                28.) Everything in the "United States" is For Sale: roads, bridges, schools, hospitals, water, prisons airports etc. I wonder who bought Klamath Lake? Did anyone take the time to check? (Executive Order 12803)

                29.) We are Human capital. (Executive Order 13037)

                30.) The UN has financed the operations of the United States government for over 50 years and now owns every man, women and child in America. The UN also holds all of the Land in America in Fee Simple.

                31.) The good news is we don't have to fulfill "our" fictitious obligations. You can discharge a
                fictitious obligation with another's fictitious obligation.

                32.) The depression and World War II were a total farce. The United States and various other companies were making loans to others all over the World during the Depression. The building of Germany's infrastructure in the 1930's including the Railroads was financed by the United States. That way those who call themselves "Kings," "Prime Ministers," and "Fuhrers" etc. could sit back and play a game of chess using real people. Think of all of the Americans, Germans etc. who gave their lives thinking they were defending their Countries, which didn't even exist. The millions of innocent people who died for nothing. Isn't it obvious why Switzerland is never involved in these fiascoes? That is where the "Bank of
                International Settlements" is located. Wars are manufactured to keep your eye off the ball and to limit population. You have to have an enemy to keep the illusion of Government" in place.

                33.) The "United States" did not declare Independence from Great Britain or King George. And as a result we have our own King George III. But just like King John was forced to sign the Magna Carta or lose his head, so will our predacious king.

                "What you see with your eyes shut is what counts." --Lame Deer, LAKOTA

                There are a few things we can do within the law that can begin to rectify our status but the most powerful is beyond mind and imagination. Where would you wish to start? We can establish your sovereignty, erase your debts, assist you in understanding how to defend yourself in court, and show you how to adapt to the Law of Admiralty "come ashore." When would you wish to begin? Don't wait until you are in trouble financially to make your move. Do it while you still have options, some "wiggle room." There is a way out of the pasture but they've planted brambles to hide the hole in the fence. As long as the hole is there, you are not a slave but have agreed to be one by your ignorance or inaction. By presumption you are choosing to accept the status quo.


                Thanks Jimiam. I have been wondering how long it would take for someone on LP to reveal their knowledge of what is really going on this country.

                We need to get together on some things.

                I will send you my email address through a pm......look for it okay.

                NBey6 

                I am a money magnet. 

                12062016

                 Clover Thumbs Up 


                 

                  LOTTOMIKE's avatar - cash money.jpg
                  Tennessee
                  United States
                  Member #7853
                  October 15, 2004
                  11338 Posts
                  Offline
                  Posted: August 29, 2006, 8:09 am - IP Logged

                  another thing to watch out for is if they try to modify this bill or make changes to it.basically changing things to suit whoever is placing holds on the bill.then after they make the changes to satisfy the person placing the hold on it they could then turn around and do a vote.