Full Tilt Poker Clearly in the WrongPublished September 25, 2011 by OCR Editor
Embattled online poker site alleged to have stolen hundreds of millions of dollars.
As reported on the site earlier, in a fresh twist to the Black Friday saga that could potentially dampen the good name of online poker, US prosecutors have accused Full Tilt Poker of stealing hundreds of millions of dollars from players around the world in a massive Ponzi scheme.'Not a legitimate poker company'
Full Tilt Poker "defrauded players by misrepresenting that their funds on deposit in online gambling accounts were safe, secure, and available for withdrawal at any time," the US Attorney's Office for Southern Manhattan said on Tuesday.
In reality, it added, the online gambling site did not maintain sufficient funds to repay all players, and used player funds to pay board members and other owners to the tune of more than $440 million starting April 2007. Customers were allowed to keep gambling, even when only "phantom" funds remained, the prosecutors said.
Senior prosecutor Preet Bharara called Full Tilt's actions "a global Ponzi scheme," adding that it "was not a legitimate poker company."Black Friday suit revised
Full Tilt Poker was first indicted by US authorities in April, as part of the Black Friday crackdown on illegal online gambling, which also involved suits against two other online poker companies - PokerStars and Absolute Poker. The suit against FTP was refiled on Tuesday to incorporate the new allegations.
Meanwhile, efforts by federal legislators to overturn the American ban on online gambling and on poker in particular continue, in the hope that a majority of legitimate and law-abiding gambling companies can operate in the United States in a fair and responsible environment.