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We have two major news stories in online gambling. The first is that former BetOnSports CEO David Carruthers has withdrawn his guilty plea in Missouri. And the second is the closing of Pitbull Poker, with rumors of criminal activity and arrests in Costa Rica. Those stories and other industry news.

According to, now former employees of Pitbull Gaming, the owners decided to tell the night shift that they were going to make maintenance to the building. The night shift crew were suspicious about this and decided to stay to see what was really going to happen. The employees saw how a truck started gathering all the office equipment. This is the moment when employees went to the police and explained the situation and went back with the police in order to stop the process. Apparently, there are some arrests and right now the employees are in court explaining the situation to the authorities, to explain them that he is in a “flight risk” situation and should not let the owners out of Costa Rica.

From LasVegasVegas:

Pitbull Poker has seemingly closed its doors for business.
Players can visit the website but are unable to login to the poker client, and sources say the owners in Costa Rica were seen moving out computers in the middle of the night.

Pitbull was originally launched under WSOP.com, a domain registered by former Binions employee Federico Schiavio … Recently Pitbull Poker had been accused of having “superuser” accounts, similar to the Absolute Poker scandal, in which one player can see everyone else’s hole cards.

WSOP.com was one of the first big post-boom poker lawsuits … with Harrah’s successfully wrangling the domain name from the old Binion’s tech guy who held onto it after Binion’s handed over the keys to the WSOP.

Costa Rica plans to officially introduce a bill this week that has been brewing for a few months to tax and regulate the many online gambling entities with operations there. The assertion is that a 2 percent tax would generate $100 million in revenue. There also was talk of a 1 percent tax on the end users, though it’s not clear if that provision is included in the legislation.

(Does anyone notice how much faster bills seem to move through Congress in Latin American countries?)

An estimated 300-some online gambling purveyors make at least one home in Costa Rica, though some might consider moves to Panama should the new tax pass. Several, such as Bodog, have already moved to Antigua, the UK, and elsewhere.

From AM Costa Rica:

Finance ministry will seek to tax virtual casinos in new bill
By the A.M. Costa Rica staff

The financial ministry is about to present to the legislature a bill to regulate virtual casino operations located in the country. Ministry officials said they hoped to get up to $100 million a year in new taxes.

The disclosure came from Jenny Phillips, the minister of Hacienda in the Comisión de Control del Ingreso y el Gasto Público. The minster pointed out that the virtual casinos are unregulated now. She did not amplify what the bill would contain nor was the scope of the types of gambling to be covered outlined.

The minister said that the bill is part of a campaign against tax fraud and reforms so that the country can take in more taxes. Virtual casinos and online gambling operations are all over Costa Rica. This country and Antigua are the two places with the highest concentration of virtual gambling, the minster said.

There was no indication what provisions would be made to keep the virtual operations, which are highly transportable, from going elsewhere if taxes are levied. Although the operations themselves are not taxed, such businesses employ many local individuals who contribute to the general economy.

More details here, too.

Hmmm, Costa Rican-based online casinos…like UltimateBet and Absolute Poker? Scandals and cheaters and Russ Hamiltons, oh my.

Since the movie is yet untitled, let’s throw out a few gems for Paramount to consider:

Titanic (ooooh, sorry)
UB and Me
Rounders 2 (or Part Deux for my French friends)
Rounderaments
What’s Eating Russ Hamilton?
Gangs of Costa Rica
The 11th Hand

Okay, I’m done. Anyone else?

In last week’s episode:

Online Gambling: US National Security Threat?
YES! Online Gambling is a threat to National Security! This according to the United States Trade Representatives office, and it’s one of the most unbelievably stupid stories of 2008… so far. You will not believe this bull stink. It’s good to know we always have American government to make us laugh and keep us on out toes.

Online Gambling Executive Shot in Costa Rica…
One of the founders of BET US was shot in his car in Costa Rica last week. Details were sketchy for a while and other, than the name of the victim and where he works, it hasn’t been cleared up much. We’ve been told he’s ok, but this is a strange story… and Costa Rica is an interesting place to live and do business.

Continuing Coverage of CAP Euro Awards…

We wrap up coverage of the event with a run down of the APCW Members and Supporters who took away awards!

Perspectives Now! Live Radio Call-in Show…
The APCW hosts Perspectives Now on Rounder’s Radio every Tuesday night ! Rounder’s Radio is dedicated to poker talk and industry news, and our show is live every Tuesday night at 10pm eastern. Listen live and call in!

Visit Rounder’s Radio!