I recall this happening before with BoDog. They seem to think themselves above the law, as shown by their refusal to answer a court order in a recent patent dispute over technologies used in some of their software.
If they LIBEL you by adding an adverse report to your credit file, DESPITE having been furnished with the full particulars of your case, they can be sued (if you can find them, that is). On the other hand, there is NOTHING they can do other than post a delinquent report at the credit agencies, where you should be able to add a notice of correction denying you are liable for this amount. If they want to take you to court, they will have to surface in order to do so, and if they don't show, and you do, you should win by default.
There's a courthouse in Nevada that seems to scare away Bodog
Don't ever open a Bodog account though, or they will take back that $650 from it.
If the depositor had WON with the $650, I am sure BoDog would not have paid out anyway, as they would then realise it was a fraudulent account. Funny how they can only recognise one when a player wins, but will not find an account fraudulent when a player loses, even if they are told it is, and backed up by police and bank evidence. This seems to apply to many casinos, and shows that they are not being entirely truthful about their supposedly excellent ability to correctly differentiate between legitimate accounts, and fraudulent ones.