Major Sports Betting Bust

[jetset]

This just in from Associated Press - we're trying to get further detail:

New York:

Criminal charges have been brought against more than two dozen individuals and corporations in four states in connection with a billion-dollar-a-year gambling Web site, authorities said Wednesday.

One of the corporations is an offshore Internet company with an American counterpart, said Kevin Ryan, a spokesman for Queens District Attorney Richard Brown.

Ryan said the case is "one of the first times that a Web designer corporation and the companies that maintain the Web sites have been charged."

He said the arrests by the DA's office and the New York Police Department represent the first time that Internet gambling charges have been brought since President Bush signed into law last month the Unlawful Internet Gambling Enforcement Act.
Authorities declined to name any of those charged.

Ryan said arrests had been made in four states, and "we have initiated a $500 million asset forfeiture case," one of the largest in state history.

The charges come after a two-year international investigation that focused on Internet gambling.

Brown and Police Commissioner Raymond Kelly scheduled a midday news conference, at which seized cash and assets -- including artwork, jewelry, gold coins and sports memorabilia -- were to be displayed.

[Casinomeister]

Sheesh! Right in time for the G2E. Wondering if they are doing a "round-up" in Vegas.

So any guess on who this is? A billion dollar a year gambling website?

[jetset]

Police said the arrests were made in New York, New Jersey, Florida and Nevada. The scheme involved placing sports bets through bookies via a secure Internet site sports betting.

My money would be on Sportsbook.com which was hived off from Sportingbet when the UIGEA was enacted.

[soflat]

That's odd they won't name the companies or individuals involved. Maybe they're still hunting some folks down?

I came across the news a little while ago, and have been hunting for further info, but that AP story is the only one so far.

Let us know if you get any updates.

[jetset]

Well, it wasn't Sportsbook - here's the latest:

NEW YORK (AP) -- Prosecutors brought charges against 27 people in connection with a billion-dollar-a-year Internet sports gambling ring, including men identified by authorities as a professional baseball scout and a high-stakes poker player.

The charges were brought in connection with a site called Playwithal.com, run by the poker player, James Giordano, 52, of Pine Crest, Fla., Police Commissioner Raymond Kelly and Queens District Attorney Richard Brown said Wednesday.

Also charged was Frank Falzarano, 52, of Seaford, N.Y., identified by prosecutors as a scout for the Washington Nationals and a former scout for the San Francisco Giants. His alleged role in the operation was not immediately clear.

Search warrants executed in several locations resulted in the seizure of gambling records, computers and hundreds of millions of dollars in property.

The property includes four Manhattan condominiums, millions of dollars in cash, tens of thousands of dollars worth of casino chips from the Bellagio casino in Las Vegas, art, jewelry, gold coins, and a football signed by the 1969 New York Jets following their Super Bowl victory.

The scheme involved placing sports bets through bookies via a secure Internet site. The bets were taken on all kinds of sports, including football, baseball, basketball, hockey, car racing, and golf.

The charges include enterprise corruption, money laundering and promoting gambling.

Police said arrests have been made in New York, New Jersey, Florida and Nevada.

Kevin Ryan, a spokesman for the Queens District Attorney, said the arrests by prosecutors and police in New York City represent the first time that Internet gambling charges have been brought since President Bush signed into law last month the Unlawful Internet Gambling Enforcement Act.

Ryan said "we have initiated a $500 million asset forfeiture case," one of the largest in state history.

The charges come after a two-year international investigation that focused on Internet gambling.

Brown and Kelly had scheduled a news conference, at which seized cash and assets -- including artwork, jewelry, gold coins and sports memorabilia -- were to be displayed.

[Professor]

Yep, sportsbetting again gets lumped in with "Internet Gambling" by MSNBC.

These type of news "events" have a chilling effect across the board when the main stream media makes the main focus of their reports "Internet Gambling Websites" rather then bookies taking wagers illegally.

Read the report here:

http://www.msnbc.msn.com/id/15730682/

[jetset]

Here's the charges:

http://www.queensda.org/Press%20Rele...1-15-2006b.pdf

That name Prolexic Technologies rings a bell - I seem to recall that company was involved in tracking down some Russian DDOS merchants last year.

[spearmaster]

I wish to point out that no charges have been brought under the UIGEA - the mention of it is simply to draw attention to themselves. The quote is:

..the arrests by the district attorney's office and the New York Police Department represent the first time that Internet gambling charges have been brought since President George W. Bush signed into law last month the Unlawful Internet Gambling Enforcement Act.

The actual charges are under:

felony violations of the Penal Law (Article 460 Enterprise Corruption), and(Article 225 Gambling Offenses)

And Professor - it was AP who wrote the story, not MSNBC

[Professor]

And Professor - it was AP who wrote the story, not MSNBC

I read it here:

http://www.msnbc.msn.com/id/15730682/

[Mousey]

The charges come after a two-year international investigation that focused on Internet gambling.

We had a local bookie arrested a couple of years ago. He probably had some sort of internet hook up, too.

BUT! As we all know, they're talking apples and tomatoes.