Archive for the ‘Gambling’ Category

Senior Citizen Gets Robbed of Lotto Winnings in Texas

Friday, November 6th, 2009

Sixty-seven-year-old, Mr. Willis, resident of Texas, won a $1 million lottery jackpot recently. One would think that this unemployed senior citizen would be just as deserving as the next guy to win a big prize like this one, which would likely make his life a little easier and perhaps more fulfilling. However, as fortunate as Willis was to win, it was just as unfortunate that the dishonest store clerk who took his ticket to cash him out, took Willlis’s money and skipped town. After taxes it would have been worth about $750,000.

The accused store clerk, Pankaj Joshi, was employed at the convenience store where Willis purchased his winning ticket and multiple other previously purchased lotto tickets. Joshi supposedly told Willis his ticket that was actually worth millions was only worth $2, which Joshi proceeded to pay to Willis. Joshi now faces criminal charges that include lottery fraud. It is presumed that Joshi likely took the stolen money and fled to Nepal, his homeland.

Just like anyone would feel, Willis was enraged and is demanding that his winnings be repaid to him by the Texas Lottery Commission in spite of the fraudulent payout that had already been made.

On a lighter note, just about half of the money Joshi stole has already been reclaimed by banks in the US. In order to reclaim his winnings, though, Willis may face civil trial, as the lottery commission is not responsible or held liable for the clerks who operate the lottery via the licensees.

Willis has hired an attorney and is expressing a desire to avoid trial. He does, however, want his winnings to be paid to him in full, so his daughter will have her college education secured in spite of his failing health. Willis`s attorney has suggested there should be no need for a trial, as the lottery commission should fix this problem in good faith of business practices.

Willis will continue to play the lotto; however, he will not be returning to the same retailer to purchase tickets in the future, and it is likely he will be much more careful about who he trusts with his winning tickets. This should be a lesson to all—always check your numbers, scratch offs, etc. and know what you are owed before you hand your ticket to the cashier saying, “Is this a winner?”

Land-Based Casinos Find Hope in Bankruptcy

Wednesday, November 4th, 2009

The Centaur Company, which was planning to build a new racetrack and casino just outside of New Castle has filed for bankruptcy protection this Wednesday. The Indiana Company claims this move towards bankruptcy would leave their company and their plans for the
future casino in better shape than it is now.

After Centaur failed to make their interest payments for two other casinos they operate in Colorado and Indiana, the Indianapolis-based Centaur Gaming had to file for Chapter 11 protection in Delaware. Two affiliated companies directly related to the development of casinos and harness racing tracks were also forced to file Chapter 11 protection on Wednesday.

According to Centaur officials, even local firms had to be included in the Chapter 11 filings because they needed to hold on to their harness racing licenses, and the application for a casino license that’s currently on hold. State gaming officials say that Centaur has to have financing for the race track and casino first before they will issue Centaur the license.
Centaur’s chief financial officer, Kurt Wilson, said, “This step in Pennsylvania demonstrates how serious we are in clearing the way to get the Valley View Downs project built and operating. It allows the application process to continue and reflects our deep commitment to the project.”

More than a year ago the Credit Suisse Bank took back a $995 million line of credit from the Centaur Company. With no money, Centuar officials are hunting for a new finance options and investors.

Susan Kilkenny, a Centaur spokeswoman, thinks the big break for the company could come sooner than we think.
“There is genuine and active interest from multiple parties to fund this project, and market conditions are improving,” Kilkenny said in an e-mail.

Lawrence County Commissioner Dan Vogler said he heard the same thing from company officials on a conference call earlier this week. Vogler said he heard optimism from Centaur, even as they discussed the impending bankruptcy.

Lawrence County Commissioner Dan Vogler said, “Based on what they told us, I feel pretty good about getting Valley View up and running. Their efforts are moving in a positive direction, and I agree with that outlook.”

State Rep. Chris Sainato commented, “You never want to say Chapter 11 is a good thing, but it will give them a little breathing room, and they won’t have to worry about the status of the license and the application while they restructure their business.”

Online Casinos and the Android Phone

Monday, November 2nd, 2009

Mobile online casino players are getting excited as the mobile gaming technology and industry is about to blast off. For the past few years, the mobile gaming market was dominated by only a few products. Now Verizon and Motorola have created the new Droid online gaming mobile phone. According to those who have used the Droid, the quality surpasses the iPhone by lightyears.

The iPhone has been revered as the most powerful cell phone on the planet, yet it has its problems, problems that have now been corrected by the new Android phones. The Android is expected to hit the shelf this month.

The Droid developed in partnership with Google is the first mobile phone to feature the Android platform. The Droid has a crisp 3.7″ color HD display for rapid game play that is ideal for playing online casino games.

The Android phone will be able to run widgets, browse apps, and perform many other things that most online casinos require for mobile casino play via mobile browsers. On the iphone, players can download casino apps and play for fun, but iPhone owners can’t play for real money. The Android will solve this problem allowing players real money gambling on the go, now more than ever before.

Hopefully if everything goes well, the Andriod will be powerful, affordable, and available under many phone providers. If you are considering the cost of an Android phone, think of it as an investment, especially if you are an online casino player. This will be the newest tool for online gamblers and will redefine the industry. Instead of the PC or a laptop, the Andriod will be all you need for all-inclusive online casino action that makes online gambling available anywhere you can receive cell phone reception.

US Governments Targeting Video Bingo

Friday, October 30th, 2009

Looking over the last few months, the Alabama Bingo issue has been the center of confusion, closure, seizures, and court hearings. The question of whether or not bingo should be legal finally was answered on Monday by Circuit Judge Robert Vance. Vance concluded and ruled that operating bingo machines in Walker County is illegal. Any business operating this bingo machinery will be forced to shut these machines down.

Many bigger questions are now popping up, one of which is whether this ruling will only apply to Walker County. Earlier this month similar rulings in Madison County has many wondering if the recent judicial act is binding throughout the entire state of Alabama.

Another anti-bingo ruling came out of Jefferson County and was identical to Walker County. Apparently digital bingo was not covered in earlier constitutional amendments. These amendments predominantly made bingo legal in a charitable setting; therefore, this kind of bingo is still legal.

Bingo machines still remain legal and regulated in other counties of Alabama, though. Until now, video bingo reportedly generated over $2 billion dollars in revenue from bingo wagering on a yearly basis in Walker County, so other counties will pick up the shafted bingo market.
At least paper bingo is still legal in many areas, thus creating a positive social environment for players and charities, which allows many people to enjoy the game while bringing in some extra cash when possible. The Walker County Sheriff’s office is in compliance with the recent court’s decision and is authorized to close all video bingo operations in Walker County. So if you live in Alabama and you want to play digital bingo, your options are very slim now, and you’ll either have to go to another county or chance your luck at online gambling.

France Votes on Regulating Online Gambling

Wednesday, October 28th, 2009

France now may be moving forward towards regulating online gambling within the country. Earlier this month the French National Assembly voted to allow competition between private online gambling businesses and state-owned betting organizations in order to gain from the nation’s Internet gambling market.

However, some are skeptical that it may not be all it’s cracked up to be, as the private sector of the gambling market in France was uncertain of the outcome of such a bill being passed before the French government even brought it up. The Remote Gambling Association (RGA), predicts that France’s online market will become “wholly unattractive and in most cases completely unviable.” Once regulations are put into place and taxes imposed by this new gambling legislation are enacted on private companies, the industry will quickly become unfeasible and unpractical.

The European Gambling and Betting Association (EGBA) supported the RGA’s stance against the new laws, agreeing that they would ultimately be detrimental to the private gambling sector in France. Sigrid Liné, EGBA Secretary General, suggested that a cohesive relationship between government-owned and private gambling firms is “a long way off,” especially in terms of reasonable conditions being offered to private companies.

The assembly vote consisted of 302 votes for private sector gambling (all from the same two political parties) and 206 against it (from most of the remaining six parties). Since the government of France operates within an eight-party system, passing by 96 votes from only two parties raises concern that once the bill reaches the Senate, it won’t be well-received.

PayPal’s Role in the Online Gambling Industry

Sunday, October 4th, 2009

Just like other companies, PayPal was scared away by the online gambling industry within the US. Ebay, parent company of the popular payment processor PayPal, ordered PayPal to stop accepting payments from online casinos in the United States in light of the UIGEA.
Now PayPal is back in action in the online gambling industry.

PayPal has recently signed an agreement to now allow merchants of Neovia Financial to provide PayPal as a payment processor option, whose primary merchants are online gambling companies in the UK.

As for US customers, PayPal still can’t process payments from US gamblers to online gambling sites, but PayPal will process payments in jurisdictions that allow Internet gambling where it is regulated. Now after the fact, PayPal may be rethinking their stance on online gambling.

“It was very clear back in the early part of this decade that PayPal made an effort to move away from online gambling altogether,” says Steve Schwartz, Gaming Analyst. “With this deal, however, it may be a signal that PayPal is reconsidering that stance and is preparing to make a full jump back into the online gambling industry.”

Lately it’s become increasingly difficult in the US for payment processors to accept transactions from online gambling industry. The difficulty is mainly coming from the US government, as they have already begun seizing more and more bank accounts related to online gambling lately.

The fact is that in the United States, online gambling is still illegal. Perhaps the proposed legislation by Representative Barney Frank which would overturn the 2006 Unlawful Internet Gambling Enforcement Act will pass. If and when the UIGEA is overturned, those businesses that ignored the ban on online gambling activity in the US will face the possibility of not being allowed to legally be a part of the industry.

Maryland Seizes Online Gambling Accounts

Friday, October 2nd, 2009

The government’s task force is putting in some overtime against online gambling companies and all those associated with them. Federal agents have seized funds from another online company this time its Forshay Enterprises, Inc. seizing six different Wachovia based bank accounts. This seizure is the fifteenth in the history of online gambling.

The enforcement of the UIGEA seems to be the theme of 2009 for federal agents. Starting in July, the feds seized the funds of Fulltilt and Pokerstars players, who lost millions to these seizures. August wasn’t a good month for the gambling world either; this time the target was casinos instead of poker rooms, with the latest seizure coming from Maryland.
The Maryland branch of the U.S. District Court’s Magistrate Judge Paul Grimm signed the latest warrant, using “money laundering” as the justification behind all of the seizures so far.

As in all of the seizures, the online gambling companies are losing the winnings that were supposed to go to winning players. Fortunately, most of these casinos will be able to recover and repay players who have lost winnings. So in the end, the government’s actions seem to be a scare tactic for gamblers. Should the government’s actions continue, the federal agencies that enforce these actions could back these casinos into a corner and ultimately out of the country for good.

Due to the current legislation that’s trying to help legalize online gambling, and with new partnerships of one of the largest United State casino operators and the world’s largest purveyors of online gambling, the legislation could push online gaming at a lightning fast rate. As of now players, can only sit and wait for their funds to be redistributed or contact their representation in Congress, in hopes it will all work out.

iMega’s Appeal Against the UIGEA Shot Down

Monday, September 7th, 2009

Last Tuesday the U.S. appeals court voted unanimously 3-0 to uphold the UIGEA (Unlawful Internet Gambling Enforcement Act). Based on the argument from iMEGA, which stated that the Unlawful Internet Gambling Enforcement Act violated certain privacy rights, was ruled too vague and not strong enough argument to hold up in the 3rd Circuit Court of Appeals. In the end, the appeal was rejected. Many legal experts who have been following and examining this case say this ruling wasn’t exactly a surprise.

Joe Kelly, Buffalo State business law professor, explains, “Anytime you challenge an act of Congress that doesn’t involve pure political speech, you’ve got an awfully large hill to climb.” He further says, “They (iMEGA) constructed the best argument they could have, but it was an extreme long shot.”

One of the main issues iMEGA’s appeal was centered around, the violation of privacy rights within the UIGEA, was based on two precedent cases: “Reliable Consultants Inc. v. Earle” and “Lawrence v. Texas.” The appeal presented both of these cases as examples of privacy infringement in relation to those brought on by the UIGEA.

Judge Dolores Sloviter wrote, “Interactive’s (iMEGA) reliance on those cases is misplaced. Both Lawrence and Earle involved state laws that barred certain forms of sexual conduct between consenting adults in the privacy of the home. As the Supreme Court explained in Lawrence, such laws touch upon the most private human conduct, sexual behavior, and in the most private of places, the home.”

She went on to explain, “Gambling, even in the home, simply does not involve any individual interests of the same constitutional magnitude. Accordingly, such conduct is not protected by any right to privacy under the constitution.”

Joe Brennan, Jr., who is the chairman of iMEGA, commented in a statement after Judge Sloviter’s ruling was announced, suggesting that there was in fact a silver lining to the ruling. He says, “The court made it clear – gambling on the Internet is unlawful where state law says so. But there are only a half-dozen states which have laws against Internet gambling, leaving 44 states where it is potentially lawful. It’s not perfect, but it’s a good start.”

Brennan also commented that iMEGA has not made a decision yet whether it would try to appeal the ruling.

Legilation for US Online Gambling May Be 2011

Saturday, September 5th, 2009

There are many rumors circulating that US players will have to wait until 2011 before online casinos have a possibility of being legally available for play in the US. This rumor has some truth to it due to the proposed legislation from the US congress that will essentially and eventually regulate the industry of online casinos in the United States, many issues have been brought up for the last quarter of 2009 by Congressman and other industry experts, which means it might take a little longer for them to resolve these issues.

If these problems regarding the proposed legislation aren’t resolved soon and don’t get to the floor of the senate and house by the end of the year, then the issue won’t be pushed again until 2010. Then, if the legislation passes both branches of legislature, it will be up to the President to sign it into law. Even after that it could be some time before all the measures of this legislation will fully be implemented.

So we’ll just have to sit back and be patient and wait for things to work themselves out. It’s in the hands of the government now and the minds of Congressmen and the president is focused on healthcare reform right now. This topic is very likely to take up much of the time on the Senate floor, pushing online gambling legislature even farther back. If you are waiting to gamble online under the official endorsement of the U.S. government, it might be some time before you get to. Until the government fully processes everything that needs to be addressed with healthcare reform, they could very well neglect the casino industry.

Former Party Gaming Chief, Mitch Garber, on Online Gambling Regulation

Wednesday, August 19th, 2009

Mitch Garber, former Party Gaming chief and newly appointed CEO for Harrah`s new Interactive Entertainment division, stands by his beliefs for what the future of online gambling will be like for the United States. He believes that legislation and regulation will occur and when it does, the market will be dominated by the big names and popular brands of the existing casino industry.

In a recent interview, Garber announced that Harrah’s Montreal-based Interactive Entertainment team has already been amassed and has already begun planning to introduce a business plan for the impending regulation.

Garber said, “When it comes to regulation, I’m very confident that legislators will see that this is an industry that can be properly regulated, and that the technology exists to alleviate concerns about money laundering or age verification.” He continued, “I wouldn’t talk about it in dollar terms, but you can imagine Harrah’s is involved in regulatory efforts to see regulated and taxed internet gaming in the US.”

As for European regulated operations, Garber also commented that (Harrah`s) is the largest among land-based gambling brands and is also pushing for the regulation, as it would be a great advantage for the entire industry.

Garber believes that Americans will eventually be free to gamble legally online, but he predicts that online gambling, worldwide, will be strongly dominated by “…a few strong, global operators”.

“The future of online gaming is going to be not dissimilar from the current situation with land-based gaming. There will be a few, very strong global operators that dominate, and obviously it is Harrah’s strategy to be one of those leading global operators, and to leverage our brands and the expertise of the people that I’m bringing on board to see that that happens,” boasted Garber.