This just in … the case got a continuance, allowing all sides to do a little more research. In the meantime, Howard Lederer and friends get to legally keep control of FullTiltPoker.com. Likewise for other sites.
Interesting to me because one of the big issues being raised by online poker opponents is whether or not we can protect children from calling an all-in with just a gutshot and daddy’s credit card worth of rebuys. It really isn’t that different from the unstudied trying to day-trade for dollars … and yet that industry can comfortably run ads like this:
A little perspective as we discuss all these big-time online poker money exchanges currently being considered in courts and Congress …
Wow friggin’ wow … sorry, trying to reign in the visceral reaction, but that’s all I can say the more I learn about what’s going on in Kentucky, and Gov. Steve Beshear’s intent on taking unprecedented legal action against online poker (and other online gambling) companies. Don’t think he’s serious — that this is an effort on which he’s willing to stake his political career? The state is already claiming to have seized legal control over FullTiltPoker.com and 140 other sites … and we all remember what happened to Bodog.com the last time American courts got into it with ICANN over issues of not-so-eminent domain.
Have a listen to Beshear’s declaration of war against an industry near and dear to so many of our hearts, and decide for yourself if you think he’s bluffing:
Steve Beshear vs. Online Poker (right-click to save/download)
Kentucky governor on the need for hostile domain takeover Sep 22, 2008
(5 min 29 sec)
Prediction: If this case makes it into court in any non-frivolous way, it will end up in the Supreme Court. With or without online poker as a defendant, Kentucky is challenging what government can and can’t do in terms of policing/taxing the internet, issues of states rights vs. federal law, and matters of international treaty and internet jurisdiction to boot.
Why was Party Gaming named in a US Lawsuit this week? What’s the deal with Bodog? Where are we with Gambling Wages? All the answers and online gambling news from APCW.org.
Just found this vid. There seems to be some sympathy for the fire dept., which has no desire to turn over their remaining $32k in poker gains to the cops — they’ve got an engine to pay for, after all!
I gotta think they’re gonna win their battle … because if they do have to turn it over and then for some reason something burns down that shouldn’t … well there would be hell to pay, you can be sure. We’ll see if I’m right. At a minimum, the poker case(s) against proprietors of the Seward VFD game seem to be the ones bringing the concept of poker revenues paying for civil services to light:
Here’s the story from the McAllen Monitor about the assistant principal who got busted running weekly 5-table tourneys in his house.(Thanks, Carlos, for the link!) Man, naturally I’d be inclined to defend the likes of Jose Luis Esquivel like all get out … but really, the ridiculous neighborhood parking situation, and the two small bags of cocaine … just makes matters worse. Kinda takes away the educator’s argument that poker might be good for kids. And makes me wonder if this was less a case of a good poker room bumpin’ uglies with the overzealous law and more a matter of man who doesn’t really know much about running a poker room and living off a public high-school salary getting addicted to a growing rake.
Would have to see Esquivel’s blind structure, however, before we can really pass judgment on him.
You can see why raiding a poker room seems like such a win-win for the po-po. It’s such a low-risk operation, the busted citizens have little to complain about when they get to settle for an eensy-weensy ticket, and — thanks to asset forfeiture laws — the cops are virtually guaranteed to walk away with some cash for PD coffers.
But a case moving through the system in Seward, Pennsylvania (a rural community outside of Pittsburgh) is challenging this legal MO (which, personally, I think could sell very well on an infomercial: “For three payments of $79.95, I’ll share with you the ‘Dallas Poker Raid Secrets’ that are helping police department vice units all across the country increase usable revenue by tens of thousands, even hundreds of thousands a year!”).
In this week’s episode: The Washington State Gambling Ban heads to court! See the only first hand coverage on the web! Plus the Rally for the Poker Players Alliance and other industry news!
Not super-related to poker … but as Houston poker-raid cases make their way through the notably harsh Harris County court system, I couldn’t help but think about how in Texas, playing underground poker is basically the same crime as decapitating a corpse and smoking pot out of the skull, which some kids not playing poker did there recently. [via Iggy]
Sorry for the lack of personal postage last week and presumably this one … I have gotten caught up in the housing crisis and am moving again over the next couple days … even though I don’t know where yet. Seriously, housing crisis is very real here — our friends at The Poker Atlas were forced to relocate due to the house they were renting going into foreclosure; Rounder Club West got evicted from their digs a couple weeks ago because their landlord decided to desperately sell. When this sorta thing happens to three homes in an isolated niche, it can’t just be coincidental.
Anyhow, so yes, content … sorry for the lack thereof and sorry for the blog-cliche post about being sorry. There’s still plenty going on out there that the poker-minded populace shouldmaybe care about, regardless of my personal battle against homelessness.
As we know, the US is currently trying to figure out how to enforce the UIGEA — the AMERICAN BANKS say they can’t really do it — so now, instead of rewriting our own bad laws, we are pressuring the UK to change theirs.
If this case stands, then it could effectively rewrite tax law and make it easier for gamblers to report losses and more difficult for the IRS to go after gamblers.
DALLAS–Man, I thought we were done with the legal proceedings from the first big poker raid in Dallas (June 2006) … and almost done with the trials stemming from the subsequent triple-raid (November 2006). But learned that charges against another dealer from Aces were thrown out just last week — as they should be … but are we done yet?
Now I know what you’re thinking … wait, don’t they have Indian casinos in AZ? And indeed they do … but he’s got a problem with that, too, claiming it to be an illegal state-granted monopoly. Interesting way to look at it. You can read more about Judge Lee’s Arizona Card Room in Sierra Vista and his poker manifesto here.
The commenters (and the raters of the commenters) overwhelmingly support the crazy-ole judge. And apparently the entire city of Tombstone is behind him and wants to follow suit. (Watch the news vid.) Despite what the state has to say … the city has looked through it’s law books and can’t find anything that says poker is illegal and they’re good with that.
There are some in the European Union who are not at all happy with last week’s announcement of a deal to compensation over the online gambling ban. In fact, it looks like the US may have even mislead the EU on what the deal was about
This could help our industry stay on life support a bit longer… and we’re not dead yet!
Antigua gets $21 Million and Piracy Rights…
The World Trade Organization has decided to allow Antigua to recover $21 million in damages by violating US copyrighted products, just like the APCW predicted in November of 2006!
Antigua was asking for $3.4 billion, and the award is well below that. So can a measly $21 million make a difference at all? Maybe…
Germans Give EU the Finger…
Germany has decided to ban internet gambling as of January 1st, 2008. They say that they have to protect their monopoly, and they expect the EU Court of Justice to come after them… and they don’t care.
You may recall the raid on the Audie Murphy VFW. Comedian Drew Carey thinks it’s a not-so-funny indication of disturbing trends in the nation’s approach to policing as a whole.
The NPC peeps arrested still contend their rake-free model — players payed $100/month to be “tracked” — is legal, and plan to fight it in court (just like they said they would).
Could this be the battle some sicko, poli-minded action junkies have been jonesing waiting for — a fight that forces at least one state to deal with outdated laws being applied to a game they didn’t really conceive of way-back-when? If so, this bust seems to be part of the plan. The NPC has/had clubs in Little Rock, Portland, and Memphis, where the company is headquartered. When it comes to poker penalties and the statutes behind them, the game in Arkansas might be softer than just about anywhere else.
The district attorneys office has now charged 14 of those arrested with engaging in organized crime, which is a felony offense. Those charged were allegedly dealers, game runners and waiters or waitresses at the club where the bust took place.
The state wants to confiscate the money found at his house — about as much as he won in the 2006 WSOP — and other assets for good. Arraignment on charges of running an illegal bookmaking operation (based in Costa Rica) is scheduled for November 7th.
Yet another fascinating poker-related shakedown legal case that could be rough on the defendant(s). But considering “The Chinaman’s” connection to the mayor of San Antonio and other prominent figures — and the questionable strength of the laws he’s accused of violating — we’ll have to see how hard they are willing to press.
This is not a stock photo. It is recent KHOU footage of poker players being rounded up so they can plea down to a traffic ticket and receive deferred adjudication.
So I just took a look at the pictures from the Houston poker bust at The Palms, which really I think has to be called a “raid” any time machine guns are brought into play. Maybe I’m just getting sappy, but these photos — they look soooo familiar — actually offend me. If HPD is trying to put a scare into poker players and operations, congratulations on your short-term success.
Now if you don’t mind, could you provide the people of Houston a detailed accounting of how much Operation Drawing Dead cost?
I thought we were moving into a “sensible government” phase in this country … but apparently not. And if the HPD would allow me to call at least one of its bluffs:
HPD said SWAT was needed because the building was secure and guarded by a private security firm.
Not true. Just ask the Dallas police about this … it only causes you more trouble, and makes the prosecutors and citizenry less sympathetic to your cause. Hey, I’m just a blogger — not a law enforcement specialist — but I can tell you a better way to do your job. If you want to shut down a poker room, simply park a marked police car outside the front door. It’s that simple. Dealers won’t go to work, and players won’t go in. And it will cost you the citizens you are paid to protect a lot less money.
A temporarily anonymous reader writes in with an update on some cases against “alleged” poker dealers and room operators at the Audie Murphy VFW, which was raided (as opposed to just busted) in April:
I just thought you might want to know that all of the Gambling Promotion charges that were pending against 11 alleged dealers, and or operators have been deleted,or shall I say in the words of that wonderful attorney of mine “Dallas County has decided to throw in the towel”. Chalk up another one for the Poker Players and give my attorney a raise? NOT!!! he was expensive enough to begin with but well worth it.
Cool, awesome … good for you. I mean except for the legal fees part. But considering how much money Dallas attorneys tend to donk into a game, it’s probably a wash, right?
(Not sure “deleted” is an actual legal term, by the way. But I suspect it is still good for the defendants.)
These came, interestingly enough, just a couple weeks after the Dallas DA publicly declared his support for HB 3186, which set out to clarify the legality of raked poker games and set up standards to regulate such businesses.
This sort of coverage always reminds us how unfamiliar the non-poker-playing public is with our issues. Like really, the “game of skill” concept is foreign to them:
“Although skills such as knowledge of human psychology, bluffing, and the ability to calculate and analyze odds make it more likely for skilled players to defeat novices, novices may yet prevail with a simple run of luck,” the appeals opinion said. “No amount of skill can change a deuce into an ace.”
You can’t change a deuce into an ace? The North Carolina Appeals Court clearly doesn’t understand the power of The Hammer.
You know, if he fought his ticket, we could count on some more stories like this one as the misdemeanor case went to court. Just saying’ … Worst case scenario would be that he loses, pays the fine all the same, and still gets “the poker cause” some valuable ink. But odds say he’s very unlikely to be found guilty anyhow. Sounds like a win-win, no? Definitely a negative EV play if Gracz were to fold.
Chris Bell and WPT champion Michael Gracz were playing what appears to be a $1,000 tournament with about 70 players when police rolled in and stopped the action. Ahh, reminds me of the good-ole-days of the Dallas poker scene (which is now a shell of its old self, for better or for worse).
According to CardPlayer:
The misdemeanor gambling charge is akin to a speeding ticket, which Gracz said we would probably just pay. All of those charged were free to go home and the whole process took about four hours.
C’mon, Gracz, fight the power! Make an issue out of this you pussy! distinguished poker ambassador. Sure, it’s only chump change to you, but fighting your ticket to the fullest (like the gentleman you are) could mean a lot more to all those other players in North Carolina.
RELATED: Other poker cases moving through the system in New Jersey and Kansas. It’s kinda understandable why the cops running one of these poker rooms had to plea guilty, but the barber should be in good shape to claim otherwise.
A few click-worthy items populating browsers throughout the poker world this week:
The WSOP-Europe is kicking off right about now — with a £2,500 HORSE event. Click here to follow that action. Then comes £5,000 PLO and £10,000 No-Limit Hold’em. Remember, that’s $20,000 to US Americans.
PAULY will clearly be having a terrible time covering the three bracelet events in LONDON:
Ahh, London …
PARTYGAMING’S stock has been sinking. And upon reporting half-year earnings last week, the company that was minting more money than they knew what to do with a year ago is operating in the red.
PartyGaming also made a pretax loss of $32 million on revenue of $212.5 million, down from revenue of $662 million before the U.S. clampdown a year ago.
Maybe we just miss the good-ole-days with some good-ole-friends (half of whom no longer work for Party), but Pokerati says Party is still a BUY! (The Motley Fool agrees.) We first thought that, of course, shortly after the stock plummeted to 26. We acted on it at 36, then thought it again at 56. Currently trading at about 28.5.
The BRITS are having to come up with corporate policies these days to deal with online gambling in the workplace. Uncertain waters … but depending on how the cards fall, its theoretically possible that multitabling while on the clock could get you some paid leave.
Only difference was in DALLAS it made for good TV. (Old article, but one I just stumbled across, and found interesting in light of the Dallas SWAT poker raids.)
In MISSOURI, where what appears to be a $20 (w/ rebuys) barbershop tourney has the barber headed to an actual trial, facing felony jail time.
An editorial in NEW YORK NEWSDAY about how it’s time to regulate online poker. This viewpoint has little to do with your rights to play, but the legitimacy of the WTO if the United States doesn’t either re-legitimize online poker or ban all forms of online gambling, including what’s currently allowed under the UIGEA.
The claims against the US from the European Union and Antigua and Barbuda exceed $22 billion. Japan, Canada, Macau, Costa Rica and India will each be asking for a few billion as well. So far the US hasn’t put up much a defense beyond “not paying.”
In other legal issues, Bodog lost a PATENT INFRINGEMENT lawsuit … and their domain! Try it yourself … Bodog.com no longer exists. Now you gotta go to newbodog.com.
Apparently the HOLLYWOOD Set is still learning to love poker — as actress JESSICA BIEL found herself pulled into a game — reportedly with pros, but whom I don’t know — at the opening of the Ivy Hotel in SAN DIEGO. The girlfriend of JUSTN TIMBERLAKE is new to poker, and started out doing really well before she lost all her chips.
Did you know Jennifer Tilly is 48-years-old? Never woulda guessed it. She’s about to turn 49.
Oh, speaking of Hollywood … almost forgot to drop a name. Robert Wilonsky — the only Batface home gamer with his own Wikipedia entry — has started a new gig on national TV, filling in for Roger Ebert on Ebert & Roeper for the rest of 2007. Very cool! Congrats, Big Bob. With all his exposure to CB A-list actors, I wonder why he hasn’t learned how to pretend he doesn’t have a really big hand sometimes when he does. Click the pic for a funny-ish Robert Wilonsky highlight reel.
One year after the poker laws in this country changed … TODD BRUNSON gets on the anti-UIGEA soapbox. From his efforts to be an ambassador:
By the way, if you work for the Treasury or Justice Department, or any gaming control commission, please disregard that comment about “anyone with a brain.” I realize that it’s the politicians who are passing the laws, and you guys are just doing your jobs (and doing them well) by enforcing them. I also realize that you guys are much more powerful than a poker player, and could crush me like a bug. Please don’t hurt me.
Today’s a big day for poker in Dallas County. Sorta. Some cases from JB’s/Goodfellows are at the Dallas County Courthouse right now. I don’t have many details — perhaps some of the defendants can fill us in as their cases get postponed/settled/dismissed (or otherwise adjudicated, of course).
Perspective forthcoming …
UPDATE: All cases against players dismissed. Charges against dealers and room operators put on deferred adjudication … meaning if they can stay clear of running a poker room for 90 days, all problems will go away.
Just received a text from a concerned Pokeratizen informing us of some relatively quick dismissals of criminal poker charges in Dallas County:
Fyi. Dallas poker. Approx. 22 from the audie murphy vfw bust all hired the same atty for fifty a piece. This wk allcases were dismissed for misc reasons.
LAS VEGAS–Word spreading to the Pacific time zone is that a big batch of misdemeanor cases from the made-for-TV paramilitary poker raid on Aces have been dismissed. Can anyone verify the truth to this?
(Wonder if youwannapoker.com will even read this before they gank it.)
I had pretty much forgotten about the abundance of poker content thieves out there — was just gonna keep doing my thing and not let them bring me down. But then I read Gary Carson’s blog … and he reminded me that really, while maybe we can’t stop this practice outright, that doesn’t mean we should stand idly by as our “good friends” at Full Tilt continue to profit off the “work” of known internet thieves.
I’m being kinda serious: I think it might be time for a good-ole-fashioned lawsuit! Howard Lederer, Chris Ferguson, Clonie Gowen, Ray Bitar, Michael Craig … so many others — just dropping a few names who might take note and have a concerned interest in this matter — are you listening?
Poker bust last night at the Slick Billiards at 2344 Oates Dr.
I don’t know the details of this game — it was clearly more drunken low-stakes “home game” than sophisticated poker operation. Police arrested one person for Gambling Promotion (class A misdemeanor) and issued tickets to 11 others for Gambling (class C misdemeanor).
They also arrested three people for Public Intoxication. Cops confiscated one table, assorted “gambling paraphernalia,” and $1,437 in cash. It took an undercover operation (in response to a citizen complaint, police say) to take this game down.
Pokerati would also like to take this opportunity to remind all our pokery attorney friends that we happily accept advertising from law firms interested in representing players. It’s a great deal — should cost you less than a few billable hours — and it seems there may be a growing need for your services.
Seven individuals and four companies are the latest to have been charged by the US Department of Justice for conspiring to violate the US’s ban on internet gambling in a $150 million credit card scam.
[...]
CurrenC Ltd, a payment processing firm based in the British Virgin Islands, BetUS, a Canadian-registered sports betting site, Gateway Technologies and Hill Financial Services, both from Utah, are the companies accused on charges of racketeering conspiracy, bank fraud, violations of the wire-wager act and money laundering.
[...]
If found guilty, those accused could face up to 30 years in jail.
Meanwhile, I have found it easier than ever to deposit money on Full Tilt, with my Chase-Visa debit card … and am really torn on whether or not I should be pimping the various online sites I may or may not still play on with a Pokerati affiliate code. Either I am totally missing the boat of getting a little sumpin’-sumpin’ from Pokerati readers’ rakes, or I am making sure we’ll still be afloat when the online poker shakedown fully shakes out.
Just because our little poker bill in Texas didn’t make it over its biggest hump doesn’t mean the fun of fighting for legal poker is over. We got all sorts of federal fisticuffs on hand, and here we are talking about putting people in jail for life and the battle for control of an online economy! Woot!
Bear in mind that, prior to police entering, the place was virtually quiet. There was the sound of poker chips in the air, but not much else. The players were essentially professionals and working stiffs having fun…there were doctors, lawyers, accountants, and other professionals. There was hardly anything “dangerous†about the place at all. In fact, the cops found no weapons in the facility or on anyone there. The show of force and weaponry brought by the cops was simply outrageous and unjustified, given the circumstances, but, then again, are they enforcing the law or making a TV show?
[...]
Despite the abject mistruths in the police report, I was still confident the tapes would help me. We finally got our subpoena response. Guess what? According to Granada Entertainment, there wasn’t any videotape of the event. All of the tapes had been recorded over, and there simply wasn’t any tape available. Two camera crews and helmet cams on the SWAT guys and not one single inch of tape existed.
It’s a lengthy report, but definitely worth the read (especially if you happen to have a poker case pending) — particularly because this guy had nothing to do with poker … he was simply helping out in the kitchen because the main food lady had an injured hand. Even as a non-poker player, this guy was able to call down the Assistant District Attorney on his bluff (literally!) when he said during the plea bargain that they had video of the defendant at the tables.
All charges ended up being dropped (even the ones for possession of marijuana and a pipe, which were actually found on him) — as has been the case for all poker cases where defendants have insisted on a jury trial.
No word on whether or not any charges will be filed against the the city of Dallas or agents of Granada Entertainment (the forces behind Dallas SWAT) for destruction of evidence, or perhaps more aptly, lying about destruction of evidence.
Go Poker!
ALT HED: Why We Play (Legally Questionable) Poker, Part 2
Julian in Dallas writes in with some official information about this past weekend’s poker busts, and … perhaps like a player intentionally showing his hole cards? … informs Dallas pokerers about what the police plan to do next.
(Austin poker people may also want to take note.)
In a nutshell, I think what he’s saying is stop playing poker giving citizens reason to complain about illegal gambling … or their gonna getcha, and might possibly sick the Feds on yo ass! As things stand now, 79 players were ticketed this weekend, 18 of whom are soon to be arrested … with some TABC violations to boot.
Hey, I’m just passing on info — and perhaps contemplating hosting a charity tournament freeroll for the Assist the Officers Foundation — so don’t shoot the messenger:
Dan …
Just FYI, we did not take the persons charged with M/A Keeping a Gambling Place to jail on Saturday night. Those charges have now been filed and those persons will now be picked up and placed in jail. In the future, all persons charged with M/A Keeping a Gambling Place will be placed in jail. Persons charged with M/C gambling are also subject to arrest and could be placed in jail depending on the circumstances. All persons recently charged with Gambling M/C were issued citations and released.
For the purposes of your website, I think you all should know that the Vice Unit would much rather have voluntary compliance from the businesses and citizens of the City of Dallas. Gambling investigations are in fact time consuming operations and we have other priorities that we could be working on. Let me repeat, we would rather have voluntary compliance from a group of normally law abiding citizens. If we cannot get that compliance then we will have to conduct operations that will ultimately discourage those normally law abiding citizens from engaging in such behavior.
The Dallas Police Department continues its crackdown on illegal gambling … busting a poker game at the Audie Murphy VFW Post 1837 just several hours ago. There were reportedly seven full tables running when nearly 20 police officers entered the room. It was the vice squad this time, not the SWAT team … though some undercover player-officers were donning black hoods, face masks, and sunglasses to keep their identity sealed — one of whom responded to the name “Curtis.”
No official numbers yet on tickets, arrests, and money seized … but it’s looking to be about 70 players issued gambling citations, and a dozen employees handcuffed and taken to jail[UPDATE: It appears they, too, may have just been ticketed] for “keeping a gambling place.” According to Deputy Chief (Vice and Narcotics) J.A. Bernal, most of the alleged poker criminals “appeared to be hardworking, normal citizens; average everyday working joes. That’s what we found here today.”
Tonight’s VFW bust comes after an attempted armed robbery at one Dallas room Friday night as police were reportedly raiding other poker rooms (including the Island Club and new Top Shelf). DPD tells Pokerati they also hit a couple 8-liner joints Friday … and that more gambling raids are to come.
Meanwhile, legislators in Austin are considering a bill to legalize some semblance of poker games similar to the one taking place at the VFW. Several state and local politicians support this bill ([tag]HB 3186[/tag]) … presumably as an example of sensible government … including Dallas District Attorney Craig Watkins, whose office now has at least another 100 poker-related misdemeanors added to it’s caseload.
Neteller says to Americans: Don’t worry, you’ll get your money back we’re trying to get you your money back (at least some of it).
According to yesterday’s press release, Neteller has signed agreements with the US Attorney’s Office and some forensic accountants with Navigant Consulting. The plan: To have a plan in about 75 days.
Sounds good, I suppose. But as one of many Americans (does anyone know an actual number?) whose Neteller money has been seized by the Feds, I’m not banking on much. In fact, read the Neteller FAQ … I know they’re just playing it conservatively, most likely on the advice of counsel, but really, at least a few things are a little bothersome, not just because I want my $520. First, there is no reassurance that, yes, you will definitely get all your money back. They talk about coming up with a plan to “distribute” funds … but really, what does that mean? We’re not looking for you to come up with a socialist system for spreading around a portion whatever capital you have on hand … we are looking for access to our own kizzash, yo!
Like way more … and hence the power of a net-savvy poker media willing to “upset” a poker player. Seriously, maddest props to RawVegas.tv as they continue to kick some technological, pseudojournalistic ass …
In this video, Jamie Gold finally gets real — or at least semi-real — acknowledging that he is not a “great” player, he definitely got lucky, and making himself subject to the Crispin Leyser lawsuit may have been bad form.
“I really screwed some things up,” Gold says. “There [were] several times where as the guys from Wicked Chops so aptly put it, that I basically monkey-fucked a football when it came to handling my success.”
Awesome. Jamie Gold is my new best friend. Now all he has to do is say about 1 million Hail Marys and he can go on to being a real ambassador for the game.