[Photo: Emergence Marketing]

Last night the word was — via PocketFives and 2+2 — that Absolute was ready to admit malfeasance and guilt.

That mea culpa has been released, and the AP honchos are blaming a disgruntled kid wanting to stick it to his superiors:

The cheater, whose illegitimate winnings were estimated at between $400,000 and $700,000 by one victim, was an employee of AbsolutePoker.com who hacked the system to show that it could be done, said a spokesman for the company, who spoke with msnbc.com on condition of anonymity.

“This is literally a geek trying to prove to senior management that they were wrong and he took it too far,” he said.

Hmm, So we all good and ready to deposit a bunch of money into our Absolute accounts?

Thanks Cliff and Lisa for the links!

…and the other shoe falls.

Umm, yikes.

As feces continue to fly about the fan, Absolute Poker has agreed to a third-party investigation by a supposedly independent agency, Gaming Associates.

Mark Seif, a former attorney with a stake in AP has taken on the role as spokesperson on his “blog” at Bluff, and a few days ago announced that Absolute was conducting its own audit in an attempt to reassure players that there was nothing to fear:

Specifically, Absolute Poker’s internal investigation determined that it is impossible for any person, device, program, script or other means to see hole cards.

See, right there, we know that’s not true. Because obviously the computer randomizing/dealing the cards knows … which is how they can send hand histories to each individual player. C’mon, AP … try again. While personally I may be reserving judgment until at least a little more evidence comes out, it ain’t looking pretty. The phrases being uttered (and not) by Absolute Poker remind me of the Catholic Church denying child sex abuse in the mid-’90s. Not to put online poker on par with priestly pedophilia, but as is often the case in “damage control” amid scandal, attempts to cover-up, redirect, and deny may work for a little bit, but can prove costly in the long run. As to corporate CYA, the general public has become quite adept at seeing through that sorta doublespeak, and poker players will eventually take their addiction dollars elsewhere! [/soapbox]

I wonder if anyone playing (or observing) on Absolute has had their chat privileges suspended or blocked for providing warnings to players. That would be really interesting to know.

Anthony in McKinney-ish writes in with more:

Ok, I swear I’m not an email attention whore, but the hits just keeepp ooonnnnnn coming with this Absolute thing.

http://www.pocketfives.com/06D9EA78-E38F-49D3-AFA1-2B4B128CE7E7.aspx

Not to make it all about blogging, but poker players should be proud of the “citizen journalism” at work in this case. When “former” chief operators of a company are allegedly the ones pegged as playing with “superaccounts” … that clearly can’t be a good thing. Absolute looks to have done themselves in here. Short-term greed catches up with the offenders. This page now seems like a sadly ironic case of Strong Means Weak.

So as the evidence against Absolute becomes more and more solid, it raises a lot of other questions, including:

1. Will anyone go to jail? In an unregulated environment can anyone go to jail?
2. What other sites might be engaging in similar activities?
3. How can we trust that any particular site is not?
4. Will politicians in the United States see this as an example of why online poker needs to be regulated, or will it be their case for why it needs to be more comprehensively banned?
5. Since Absolute is in bed with Ultimate Bet, what will become of that relationship? And how connected are they really?
6. Will UB pros — Phil Hellmuth and Annie Duke specifically — speak out on the matter? And/or will they leave Ultimate Bet?
7. Will major online affiliates — such as CardPlayer, PokerNews, and PokerListings, for example — stop sending players to Absolute?

Big questions for online poker. How different folks with a vested interest in the answers react to this situation will tell us a lot about what kinda players we really are dealing with in this biz.

UPDATE: PokerListings is currently refusing to send players to Absolute and Ultimate Bet:

PokerListings.com has temporarily suspended the listing of the Absolute Poker and Ultimate Bet poker rooms as a result of serious problems with both historical and current payments due PokerListings for services rendered. We are aware that our decision not to list these two brands may be an inconvenience, but as a trusted guide and resource, we do not believe it is appropriate to continue listing them.

Sincerely,

The PokerListings.com Team

The Absolute Poker cheating scandal has been picked up by the mainstream press. That’s if you consider the New York Times mainstream. This is bad for online poker…very bad.

For those who may not get the reference — we’re sometimes a little lax on keeping you up to date on everything… there’s quite the mini-non-scandal brouhaha over at Absolute Poker. It’s a potential cheating scare that goes far beyond the typical “Online Poker Is Rigged!” conspiracy theories. In this case, there’s some respectable hand-history analysis that sets out to mathematically prove the existence of a “super account” allowing illicit avatars to see everyone’s hole cards.

Maybe it’s naivete on my part, but I’m still a believer in the amazingly powerful abilities of humankind to make the most utterly ridiculous unfathomably stupid calls. I know I’ve made a few of them myself.

At a minimum, it’s a great commercial for PokerTracker.

Here are the 2+2 threads.
And here.
Pocket 5s always has some good stuff to say.
(via Shamus)
And Justin West from PokerPages tells people not to worry.

LAS VEGAS–Just like old times … I’ve got so many super-fascinating browser tabs open I can’t keep up with them all. So please, allow me to unload:

The major tournament action underway is the LEGENDS of POKER at the BIKE in CALIFORNIA. Perhaps we’ll swing by …

MIKE MATUSOW, with his second-place finish in the main event of the BELLAGIO CUP III, is no longer broke. Apparently his $670k payday left him with 50 grand all to himself. In the real world this means he now qualifies for a loan. In the poker world it means he no longer does, unless he goes broke again.

DANIEL NEGREANU’s got a pretty good skill column this week, talking about manipulating table image to better reap the rewards of shifting gears. Hmm, something to think about?

From the Dept. of: Awesome … PHIL HELLMUTH will appear on The Surreal Life. Might an ass-kicking be inevitable, as he moves into a house with RANDY “Macho Man” SAVAGE, MISS CLEO, NANCY MCKIBBEN (who?), DABNEY COLEMAN, and the uber-pumped CARROT TOP.

BILL RINI, whom I consider an expert in matters of online cheating, has up a video that I thought was informational warning about a new form of MARKED CARDS circulating. But upon closer look, turns out to be just an ad hawking the illicit poker gear (compliments of GOOGLE).

Interesting (biased?) article here on what Google supposedly does to keep online poker seekers away from the bad poker sites.

Speaking of cheating … has anyone heard word of who might have been the high-stakes players allegedly swindled in major cheating scam at the BORGATA? Famed cheating consultant STEVE FORTE, of course, was one of the guys busted, even though he uses the journalist’s beloved excuse of “I was just working on a story!” Suddenly scary: the notion of tapping into hole-card cams.

Suddenly needed: a big-time poker security accreditation system?

Check it out … DUGGLEBOGEY is back to his old tricks sticks:

Glad to see the return of some more friendly faces.

Here’s a great article on the rise and fall of an ONLINE PRO — how you can go from $10k to $1.5 million and back down again. It coincides with a semi-related story about KaiBuxxe / RealAndyBeal — a 22-year-old Austrian and former MAGIC player who is tearing up the world of POT-LIMIT OMAHA.

And BRIAN TOWNSEND (aka “sbrugby”) — an online superstar turning to live games — is in the midst of a $3 million downswing. This according to his own blog. [via PokerKingBlog]

Dude, tell me about it … I’ve been running similarly bad:

POKER IS HARD!

Looks kinda like a PARTYGAMING stock chart, no?

SHANNON ELIZABETH was unable to play in the Victoria Poker Championships in AUSTRALIA … because she got carded at the door and didn’t have her ID. The male contingent of Pokerati has always wondered why ladies go anywhere without their license/passport/prescription.

Speaking of Australia, it may have slipped under your radar that the AUSSIES, along with CANADA and MACAU, have joined the WTO dispute against the UNITED STATES over the UIGEA. The beef started by ANTIGUA and BARBUDA seems to be growing some teeth, as others fighting against the chief enemy of AL QAEDA include COSTA RICA, INDIA, and … the EUROPEAN UNION. Think this fight isn’t about the future of international online economies as much as it is about poker?

A group called IMEGA continues to challenge the controversial internet law in court, and have their fingers crossed that a federal judge in New Jersey will issue a TEMPORARY RESTRAINING ORDER in September.

Speaking of lawsuits and court actions in September, attorney and PPA representative LEE ROUSSO has a hearing set for his suit, which challenges the Constitutionality of WASHINGTON STATE’s law that makes playing online poker a felony on par with CHILD MOLESTATION.

A CARIBBEAN BUSINESS CONGLOMERATE will be entertaining a bunch of AMERICAN CONGRESSPEOPLE in November to explain Antigua’s WTO stance, among other things. In attendance will be CHARLIE RANGEL (D-NY-Taxes) and BENNIE THOMPSON (D-MS-Homeland Security),

AMERICA ONLINE wants in on online poker. Or at least online SPORTS BETTING, as AOL has entered into an internet bookmaking contract with a GERMAN company, FLUXX, which will target punters in the UK.

A good article from the BRITISH PRESS here — describing the UIGEA as a “TROJAN HORSE” given to the European gambling industry.

Meanwhile, British online gaming company WILLIAM HILL says they are having a hard time keeping poker players, because the EUROS really want to take on the AMERICANS (at Bodog, for example).

Over in the PHILLIPINES, they have (finally) opened up a bar-and-grille with amateur Texas Hold’em tourneys (scroll down near the bottom).

The nightly non-wager Hold ‘Em tournaments at the Player’s Den hope to further sharpen the skills of the Pinoys in this ultimate mind game where we can eventually excel worldwide.

Mabuhay!!! Be proud to be a Filipino.

You may notice a lot of linkage today from this PokerKing guy. He has a lot of good stuff to read, including this article on why JERRY YANG is bad for ONLINE poker. Maybe maybe not, but I tend to agree with the wisdom of LOU KRIEGER, who recognizes that poker is a long-term game, and Yang couldn’t have come at a better time.

Here’s one of the more balanced takes on the JERRY YANG FOR PRESIDENT campaign.

LAS VEGAS–In the double-bubble quadrant of the Amazon room, over the PA …

Tournament Official (in the Ladies tourney): “Attention players. No more iPods at the table. New WSOP rule. No more iPods or electronic devices now that we are in the money.”

David Williams (still alive and strong in HORSE), snarkily: “Attention players. No more cheating now that we’re in the money.”

Not sure why Ram Vaswani’s not in the vid (playing golf with Phil Ivey, perhaps?) but check it out … the Hendon Mob getting cheated in a recent televised home game:

Matt the tech-geekiest Batface sends along a Slashdot item about real-money video-game tourneys … a good example of how online poker’s current issues could have ramifications that reach far beyond just poker.

It’s a geeky corollary to online poker. Fairly similar in many regards, including the use/debate about Bots (read the comments) and of course the potential legal gray-area.

btw, FPS means ‘First Person Shooter’, in case you didn’t know. Pretty much describes any game where you kill/blow shit up.

Thanks for sending, Sommer.

Indeed, the video game industry has a major stake in the evolution of online gambling/gaming and the UIGEA. Already, you can play soccer online — the winner of the Fifa Interactive World Cup scored a $20k payday — and buy additional games on the XBox 360 for credits that you purchase at a brick-and-mortar store. (Interestingly enough, they have a Texas Hold’em game on there — and at a near-prohibitive cost of 800 credits … compared to, say, 150, for other games.) And even though video games are very arguably matters of skill, age-old concerns about cheating become a real issue. Just the other week I took on some punk from New Jersey who had a Ronaldinho with superpowers — like he could run five times as fast as any other player, and shoot missiles on-goal from anywhere on the field.

Now think about Second Life …

More…