More trouble for BoS

[jetset]

BETONSPORTS FACING ANTIGUA RESTRAINING ORDER

Antigua-Barbuda regulator takes legal action against licensee
The troubled online gambling group BetonSports faces another round of restraints, this time from its regulator the Financial Services Regulatory Commission (FSRC) of Antigua and Barbuda, according to media reports from the Caribbean News and other local publications.

Antiguan authorities have taken the opportunity to suggest that the United States "steps aside" and allows Antigua to deal with "the orderly dissolution" of BoS as a licensee subject to its laws and jurisdiction.

The Commission has announced that it has filed an application for a restraining order in the High Court of Justice, against BetonSports (Antigua) Ltd. Under the order, BoS is restrained from, among other things, entering into any agreement or arrangement to sell, transfer or otherwise dispose of cash and assets within or outside of Antigua and Barbuda without the consent, management and supervision of the FSRC.

The application also calls for BetonSports to account for its assets and obligations and otherwise provide such information that will assist the FSRC in ensuring that the companys consumers are protected to the maximum extent possible and that Antigua and Barbuda's Laws and Regulations are adhered to in effecting the orderly closure of BetonSports' US-facing operations in terms of an American Court order (see previous InfoPowa reports).

The application for the order comes on the heels of an announced settlement between the United States government and BoS and its affiliates pertaining to criminal and civil charges levelled against the company by United States authorities earlier this year.

Kaye McDonald, the Director of Gaming for the FSRC, observed, "While the jurisdiction of the United States government over BetonSports is questionable, by virtue of being the holder of an Interactive Gaming and Interactive Wagering license issued by the Antiguan and Barbudan authorities, BoS has acquiesced to our international jurisdiction over the company and its assets.

"It is important for the protection of consumers that whatever assets BetonSports has remaining be properly available to depositors and other creditors and not be dissipated on fines or penalties or otherwise improperly disposed."

Lebrecht Hesse, the Chairman of the FSRC, stated, "We believe that the United States should step aside and ensure that our regulators can enforce and oversee the application of the laws of Antigua and Barbuda to the orderly dissolution of BetonSports. We are disappointed that the United States efforts to prohibit cross-border competition in gambling and betting services have led to the disruption of a once-healthy and robust service provider, but we are just as adamant that our jurisdiction be respected in the interests of consumers and others."

A hearing of the application is scheduled for December 4, 2006, at which time BetonSports will have the opportunity to respond to the application for a restraining order.

In 2005, Antigua and Barbuda obtained a decision from the World Trade Organisation (WTO) in its favour, ruling that United States efforts to prohibit the provision of gambling and betting services to consumers in the United States violated American free-trade commitments under the WTO's General Agreement on Trade in Services.

Antigua and Barbuda is engaged in further tribunal proceedings with the United States at the WTO to determine whether the United States is in compliance with the ruling.

[winbig]

in ensuring that the companys consumers are protected to the maximum extent possible

I guarantee that if the US continued with its suit, anyone that's owed money by this company wouldn't get paid.

[dominique]

Lebrecht Hesse, the Chairman of the FSRC, stated, "We believe that the United States should step aside and ensure that our regulators can enforce and oversee the application of the laws of Antigua and Barbuda to the orderly dissolution of BetonSports. We are disappointed that the United States efforts to prohibit cross-border competition in gambling and betting services have led to the disruption of a once-healthy and robust service provider, but we are just as adamant that our jurisdiction be respected in the interests of consumers and others."

You go, Antigua!!!!