May 01, 2012

PurpleLounge closed

Online poker and casino website has been pulled offline by parent company Media Corp. The short-notice move by the company happened when it became, “…clear that the Purple Lounge is trading materially behind the same period of the previous financial year which will result in increased losses for the division and, as a result, the Company as a whole,” according to a trading statement issued by the company on Friday.

Media Corp, which earlier this month announced its intention to explore taking over its parent company Gaming Media Group, also said, “The directors believe that Purple Lounge has suffered as a result of negative trade press (much of which the directors consider totally unfounded) particularly surrounding the litigation brought against one of the Company’s subsidiaries by CD Limited.”

The reason for the litigation is unknown.

It has been reported that Media Corp loaned the online poker room £900,000 in the last few months; it also claimed it never received cash dividend from Purple Lounge. moved from the Microgaming poker network in January 2012 to Entraction (now International Game Technology).

Poker players with money on the site now have a nervous wait to find out what happens next.

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