The viability of US intrastate poker systems may hinge on preventing offshore sites such as PokerStars and Full Tilt from taking US bets, according to two leading data providers to the online poker industry.
California and Florida are currently looking at legislation to establish intrastate online poker systems and regulations as permitted by an exemp tion under the Unlawful Internet Gambling Enforcement Act (UIGEA). This explicitly declares that online intrastate wagers do not constitute “unlawful internet gambling” if expressly allowed by the laws of a state.
But according to Poker Players Research (PPR), which provides the poker industry with regular reports and analyses, with almost everyone who is playing online poker for money now doing so in online poker rooms with over a million registered money players, a US intrastate poker site or network would need to get close to this number before it could offer an equal choice of games and size of tournaments as the offshore sites.
“Any site in California [which according to PPR has around 1.5 million online money play ers, compared to New York’s one million and Florida’s 500,000] would need to get what seems to be an unrealistically high percent age of that state’s players to create a viable alternative to the established online poker rooms US players are currently using. This does not seem realistically achievable in a competitive environment,” said director Glenn Flackett.
“Unless the ability of players to play on the sites they currently choose is substantially changed, liquidity advantages of the existing rooms will outweigh any safer, more legiti mate benefits and few existing players will switch,” argued Flackett, who thinks that attracting new players will not only be difficult for intrastate sites, “they will not build liquidity levels that are high enough.”
However, Simon Holliday, director of gam bling data business H2 Gambling Capital, cites Swedish national monopoly Svenska Spel’s 2006 example of how a platform can be built on leisure-oriented players who are comfortable only playing on state-licensed sites. This was achieved in a country with a popu lation of 9.3 million, just over a quarter of California’s and half Florida’s, with nothing done regarding offshore sites.
That said, H2 has calculated its intrastate poker numbers assuming that offshore poker site activity is eradicated.
“Governments have never moved to regulate an industry without offering it some protection. Who would be willing to pay millions of dollars in licence fees and taxation while others were allowed to carry on tax-free?”, explained Holliday.
Thus H2’s baseline for the number of players needed for sustainable, regulated intrastate gambling in the US is lower than PPR’s, for example, citing the need for approximately 500,000 unique active players in Year 1 in California, rising to one million by Year 10, while for Florida, the corresponding numbers are 200,000, rising to 650,000.
But with the federal government having its own tax-raising aims for egaming, it remains to be seen just how supportive it will be in the longer term of individual states’ drive to monopolise the gaming revenues generated within their respective borders.
October 23, 2009
October 22, 2009
UEFA concerned about match-fixing in Russian football
UEFA is worried about match-fixing in the top two tiers of Russian football, local media revealed Wednesday. In a confidential letter sent to the Russian football federation (RFS), European football's ruling body expressed "serious concern" at the results of at least six first and second division matches, the Vremya Novostei newspaper reported.
"We have reason to be suspicious of these matches because of their possible links to illegal betting," the letter reportedly stated.
The games took place between June 13 and August 17 of this year. So far there has been no reaction from the RFS or the clubs but if the fears are substantiated it could have serious repercussions for Russia's bid to host the 2018 World Cup.
"We have reason to be suspicious of these matches because of their possible links to illegal betting," the letter reportedly stated.
The games took place between June 13 and August 17 of this year. So far there has been no reaction from the RFS or the clubs but if the fears are substantiated it could have serious repercussions for Russia's bid to host the 2018 World Cup.
October 21, 2009
PartyGaming stockholder and billionaire gives $350 million to charity
The world’s largest online gambling company announced Tuesday that Dikshit is preparing to sell 66% of his shares in the company for 350 million dollars. The sale will reduce his stake in the company from 28% to 9.5%.A spokesperson also stated that Anurag plans to sell the rest of his shares in the company in the near future. He wants to give all of his money from the sale of his stock to the Kusuma Trust.
The Kusuma Trust charity was founded by Anurag to provide welfare and educational services to the communities and children in Gibraltar, India and in the United Kingdom. The trust already holds about $80 million.
Anurag spends his days living a modest lifestyle in Gibraltar where he has resided for eight years with his wife. He prefers to walk and although his wife does have a car, he does not have one of his own.
Premier League concern at gambling on junior matches may lead to regulation
The Premier League has pledged to ensure football's relationship with the betting industry is properly regulated after it emerged junior matches can now be gambled on.
SBObet and 188bet, who are both licensed on the Isle of Man, offer live betting on matches at Premier League under-18 level and similar matches across Europe including the German Bundesliga under-17 league. Both betting firms have a presence in the Premier League through tie-ups with several leading clubs.
SBObet are shirt sponsors of West Ham, while 188bet sponsor Bolton and Wigan and are the official gaming partner of Chelsea and official betting partner of Aston Villa.
Betting on junior matches does not contravene any rules, however the Premier League will examine the issue. A Premier League spokesman told the Sunday Telegraph: "We are alarmed at these developments and are currently discussing this matter with our clubs and the government. What is clear is that this further highlights the need for the relationship between sport and the gambling industry to be properly regulated in order to protect the integrity of sport."
The Professional Footballers' Association chief executive Gordon Taylor said: "It is making our youngsters vulnerable, without a shadow of a doubt. Youngsters and gambling is a bad mix, and an unhealthy one."
A spokesman for 188bet said that the company is committed to protecting "betting integrity" and stressed they were unaware of any concerns from the Premier League or PFA. The spokesman said: "A key element of our betting governance includes setting lower bet limits on smaller markets, such as Premier League Academy games, to ensure that maximum individual bets and total bet volume is not of a size that would influence any sporting outcome."
SBObet and 188bet, who are both licensed on the Isle of Man, offer live betting on matches at Premier League under-18 level and similar matches across Europe including the German Bundesliga under-17 league. Both betting firms have a presence in the Premier League through tie-ups with several leading clubs.
Betting on junior matches does not contravene any rules, however the Premier League will examine the issue. A Premier League spokesman told the Sunday Telegraph: "We are alarmed at these developments and are currently discussing this matter with our clubs and the government. What is clear is that this further highlights the need for the relationship between sport and the gambling industry to be properly regulated in order to protect the integrity of sport."
The Professional Footballers' Association chief executive Gordon Taylor said: "It is making our youngsters vulnerable, without a shadow of a doubt. Youngsters and gambling is a bad mix, and an unhealthy one."
A spokesman for 188bet said that the company is committed to protecting "betting integrity" and stressed they were unaware of any concerns from the Premier League or PFA. The spokesman said: "A key element of our betting governance includes setting lower bet limits on smaller markets, such as Premier League Academy games, to ensure that maximum individual bets and total bet volume is not of a size that would influence any sporting outcome."
October 20, 2009
Betfair considering Tasmania move
British online betting exchange operator Betfair is considering abandoning its Australian base in Tasmania in favour of a mainland location after being excluded from recent state tax concessions.
Betfair was granted permission to operate from the island state jurisdiction four years ago and its current license is due to expire at end of next year. However, it was recently excluded from legislation that eliminated tax for online bookmakers operating in the jurisdiction in exchange for an annual fee of approximately $231,000.
“One of the things that the board has asked the management team to do is to explore other options,” said Andrew Twaits, Chief Executive Officer for Betfair Australia.
“As you would expect, the environment in Australia is very different now than it was four years or so ago when we were trying to get a licence here in Australia, so we'll just see how it goes. Everything is open for consideration at this stage; some jurisdictions have advantages over others.”
Twaits stated that the tax concession now being offered by Tasmania would stir considerable interest from online bookmakers from around the world.
“Most of the online gambling operators are based around Europe,” Twaits told Australian broadcaster ABC.
“Tax rates around the world are only going one way and that's down. Look at jurisdictions like Malta and Gibraltar. Tasmania becomes all of a sudden competitive with all of those jurisdictions. And one of the advantages that Tasmania has over any other jurisdiction in Australia is that, once you are licensed in Tasmania, you are able to advertise into the UK.”
Betfair currently employs 115 people at its Hobart headquarters and Michael Aird, Treasurer for Tasmania, revealed that the Government would be doing all it could to keep the UK-owned firm on the island while also attracting other corporate bookmakers.
“We have to ensure that we provide opportunities for people to be employed,” said Aird.
“These corporate bookmakers, if they decide to relocate to Tasmania or be established in Tasmania, would be bringing with them very large teams of people and in terms of employment opportunities could start another industry in Tasmania.”
Betfair was granted permission to operate from the island state jurisdiction four years ago and its current license is due to expire at end of next year. However, it was recently excluded from legislation that eliminated tax for online bookmakers operating in the jurisdiction in exchange for an annual fee of approximately $231,000.
“One of the things that the board has asked the management team to do is to explore other options,” said Andrew Twaits, Chief Executive Officer for Betfair Australia.
“As you would expect, the environment in Australia is very different now than it was four years or so ago when we were trying to get a licence here in Australia, so we'll just see how it goes. Everything is open for consideration at this stage; some jurisdictions have advantages over others.”
Twaits stated that the tax concession now being offered by Tasmania would stir considerable interest from online bookmakers from around the world.
“Most of the online gambling operators are based around Europe,” Twaits told Australian broadcaster ABC.
“Tax rates around the world are only going one way and that's down. Look at jurisdictions like Malta and Gibraltar. Tasmania becomes all of a sudden competitive with all of those jurisdictions. And one of the advantages that Tasmania has over any other jurisdiction in Australia is that, once you are licensed in Tasmania, you are able to advertise into the UK.”
Betfair currently employs 115 people at its Hobart headquarters and Michael Aird, Treasurer for Tasmania, revealed that the Government would be doing all it could to keep the UK-owned firm on the island while also attracting other corporate bookmakers.
“We have to ensure that we provide opportunities for people to be employed,” said Aird.
“These corporate bookmakers, if they decide to relocate to Tasmania or be established in Tasmania, would be bringing with them very large teams of people and in terms of employment opportunities could start another industry in Tasmania.”
Ladbrokes to buy Tote?
Despite Ladbrokes being reported as struggling on the London Stock Exchange in recent weeks, there is hope on the horizon for worried investors. The bookmakers are reportedly looking into buying the Government owned bookmakers, Tote.
There have been many previous attempts to sell the tote in the past, however further attempts to sell the business were put on the back burner in October 2008 due to the declining economic environment.
Recently talks of selling the tote have rekindled once again with Ladbrokes being just one of the big named gambling companies looking into buying the currently nationalized company.
William Hill who has regained their stock price lead above Ladbrokes is another company looking into a deal. William Hill has already moved their online operations out of the UK along with Ladbrokes. More companies looking into buying tote include Paddy Power and the Gala Coral group.
The consolidation of the online gaming industry has been a priority in the last few months for some companies as many of the larger players are buying out smaller competitors.
There have been many previous attempts to sell the tote in the past, however further attempts to sell the business were put on the back burner in October 2008 due to the declining economic environment.
Recently talks of selling the tote have rekindled once again with Ladbrokes being just one of the big named gambling companies looking into buying the currently nationalized company.
William Hill who has regained their stock price lead above Ladbrokes is another company looking into a deal. William Hill has already moved their online operations out of the UK along with Ladbrokes. More companies looking into buying tote include Paddy Power and the Gala Coral group.
The consolidation of the online gaming industry has been a priority in the last few months for some companies as many of the larger players are buying out smaller competitors.
German gambling ban could be overturned
Germany’s online gambling ban could be under threat after one of the German states which originally approved the treaty demanded a cancellation over the weekend.
The agreement between the current ruling coalition Christian-Democratic Party (CDU) and the Liberal Party (FDP) in Schleswig-Holstein was published last Saturday; it called for an end to the interstate gambling treaty and asked for a new regulation to replace it.
The FDP and coalition in Schleswig-Holstein leader, Jürgen Koppelin, said that if German states fail to agree on a new regulation to replace the treaty, the coalition would introduce an intrastate licensing system.
Martin Arendts of Arendts Anwalte, a German gaming lawyer said, “The argument that only a monopoly can protect customers, prevent problem gambling and guard against fraud would not hold any more,”
The coalition is only reported to have spoken about the potential impacts of such a move, such as privatizing state owned casinos. Arendts continued that any new licensing system could apply to online gaming and betting as currently all forms of online gambling except horse racing is banned.
EGBA has consistently argued that the protectionist monopoly position of the German Interstate treaty on gambling violates EU law under article 49 of the treaty of Rome as it restricts the rights of its members to provide online gaming services.
Arendts continued to highlight that Schleswig-Holstein only approved the treaty in December 2007 for fiscal reasons as it had previously favoured a different interstate treaty on sports betting which would result in providing licenses for private bookmakers.
If all of the German states fail to ratify a new regulation by 2012 when the current treaty expires it would make the current state gambling monopoly unenforceable.
The agreement between the current ruling coalition Christian-Democratic Party (CDU) and the Liberal Party (FDP) in Schleswig-Holstein was published last Saturday; it called for an end to the interstate gambling treaty and asked for a new regulation to replace it.
The FDP and coalition in Schleswig-Holstein leader, Jürgen Koppelin, said that if German states fail to agree on a new regulation to replace the treaty, the coalition would introduce an intrastate licensing system.
Martin Arendts of Arendts Anwalte, a German gaming lawyer said, “The argument that only a monopoly can protect customers, prevent problem gambling and guard against fraud would not hold any more,”
The coalition is only reported to have spoken about the potential impacts of such a move, such as privatizing state owned casinos. Arendts continued that any new licensing system could apply to online gaming and betting as currently all forms of online gambling except horse racing is banned.
EGBA has consistently argued that the protectionist monopoly position of the German Interstate treaty on gambling violates EU law under article 49 of the treaty of Rome as it restricts the rights of its members to provide online gaming services.
Arendts continued to highlight that Schleswig-Holstein only approved the treaty in December 2007 for fiscal reasons as it had previously favoured a different interstate treaty on sports betting which would result in providing licenses for private bookmakers.
If all of the German states fail to ratify a new regulation by 2012 when the current treaty expires it would make the current state gambling monopoly unenforceable.
Gaming founder Dikshit to sell two-thirds of stake
Anurag Dikshit is to sell two thirds of his 28% stake in the company.
The egaming billionaire will sell 75 million shares through his vehicle Crystal Holdings, cutting his stake to 39 million shares, or 9.5% of the issued share capital in the company.
The shares will be sold by Goldman Sachs through an accelerated offering to institutional investors.
The sale price is yet to be announced, but the shares would be worth circa £213m based on yesterday’s closing price of 284.5p.
Dikshit’s spokesman Shimon Cohen told Bloomberg: “He wants to move on with his life, sell his shares, endow them in his charitable foundation, and move away from the whole issue and industry of PartyGaming.”
Cohen added that Dikshit may go on to sell his entire stake.
Dikshit pleaded guilty to illegal internet gambling last December and agreed to forfeit US$300m to US authorities for his role in the company’s activities in the US prior to the passage of America’s Unlawful Internet Gambling Enforcement Act (UIGEA) in 2006.
In April, PartyGaming settled with the US authorities for its pre-UIGEA activities for $105m, becoming the only major online gambling business to do so. With Dikshit having pleaded guilty to internet gambling charges under the Wire Act, the reduction of his shareholding below the 15% threshold required to nominate to the board is likely to improve the company’s potential for receiving a licence in the US should America legalise online gambling.
However Dikshit’s fellow founders and principal shareholders Russ DeLeon and Ruth Parasol, who each own 58 million shares, have shown no sign of moving towards settlement.
PartyGaming shares initially fell up to 12% upon Dikshit’s announcement this morning, the biggest drop in 11 months of London trading in the equities.
However analysts predict the sale will increase the liquidity of Party’s stock, with ‘free float’ shares, i.e. those that are traded often rather than tied up with individuals, potentially rising from 177m to 290m shares, or 70%, if the entire stake is sold.
However Morgan Stanley analyst Vaughan Lewis argued that the move does not reflect on PartyGaming, but rather on Dikshit’s own desire to devote more time and money towards charitable projects.
Lewis said: “We do not think this reflects any ‘edge’ Dikshit might have on regulatory, trading or other developments, as he is not involved in these areas - he is not on the board – [he is] devoting his time and money to philanthropy.”
The egaming billionaire will sell 75 million shares through his vehicle Crystal Holdings, cutting his stake to 39 million shares, or 9.5% of the issued share capital in the company.
The shares will be sold by Goldman Sachs through an accelerated offering to institutional investors.
The sale price is yet to be announced, but the shares would be worth circa £213m based on yesterday’s closing price of 284.5p.
Dikshit’s spokesman Shimon Cohen told Bloomberg: “He wants to move on with his life, sell his shares, endow them in his charitable foundation, and move away from the whole issue and industry of PartyGaming.”
Cohen added that Dikshit may go on to sell his entire stake.
Dikshit pleaded guilty to illegal internet gambling last December and agreed to forfeit US$300m to US authorities for his role in the company’s activities in the US prior to the passage of America’s Unlawful Internet Gambling Enforcement Act (UIGEA) in 2006.
In April, PartyGaming settled with the US authorities for its pre-UIGEA activities for $105m, becoming the only major online gambling business to do so. With Dikshit having pleaded guilty to internet gambling charges under the Wire Act, the reduction of his shareholding below the 15% threshold required to nominate to the board is likely to improve the company’s potential for receiving a licence in the US should America legalise online gambling.
However Dikshit’s fellow founders and principal shareholders Russ DeLeon and Ruth Parasol, who each own 58 million shares, have shown no sign of moving towards settlement.
PartyGaming shares initially fell up to 12% upon Dikshit’s announcement this morning, the biggest drop in 11 months of London trading in the equities.
However analysts predict the sale will increase the liquidity of Party’s stock, with ‘free float’ shares, i.e. those that are traded often rather than tied up with individuals, potentially rising from 177m to 290m shares, or 70%, if the entire stake is sold.
However Morgan Stanley analyst Vaughan Lewis argued that the move does not reflect on PartyGaming, but rather on Dikshit’s own desire to devote more time and money towards charitable projects.
Lewis said: “We do not think this reflects any ‘edge’ Dikshit might have on regulatory, trading or other developments, as he is not involved in these areas - he is not on the board – [he is] devoting his time and money to philanthropy.”
October 17, 2009
Mike Sexton Only Pro to be inducted to the Hall of Fame for 2009
Harrah’s and the World Series of Poker announced this morning that Mike Sexton will be the one and only person inducted into this year’s Poker Hall of Fame. Sexton will become the 38th member of the Poker Hall of Fame and will be inducted this November.
Sexton’s poker career spans almost thirty years and he has earned more than $3.7 million in career poker winnings. Sexton is one of the most recognizable figures in poker and is known by many as the Ambassador of Poker.
Sexton is the main figure for the televised events for the World Poker Tour and he also serves as a consultant and host of Party Poker, the online poker room. Sexton also has his hand in charity work. He has formed the PokerGives organization which provides the poker community a way to give back to charitable causes. Sexton also donated half of this 2006 WSOP Tournament of Champions prize, which amounted to $500,000 to several charities.
Sexton will be inducted officially into the Poker Hall of Fame on November 7th. The Rio All-Suites Hotel & Casino in Las Vegas will be the site of the 2009 World Series of Poker Main Event Final Table and Sexton will be inducted during a break in the competition.
Poker pros have been sending their congratulations to Mike Sexton and some have taken to their Twitter pages to comment. Annie Duke tweeted: “Congratulations on the HALL OF FAME Induction Mr. Sexton!” and Joe Sebok tweeted: “congrats Mike Sexton…going into the poker hall of fame. Well deserved, sir…”.
Sexton’s poker career spans almost thirty years and he has earned more than $3.7 million in career poker winnings. Sexton is one of the most recognizable figures in poker and is known by many as the Ambassador of Poker.
Sexton is the main figure for the televised events for the World Poker Tour and he also serves as a consultant and host of Party Poker, the online poker room. Sexton also has his hand in charity work. He has formed the PokerGives organization which provides the poker community a way to give back to charitable causes. Sexton also donated half of this 2006 WSOP Tournament of Champions prize, which amounted to $500,000 to several charities.
Sexton will be inducted officially into the Poker Hall of Fame on November 7th. The Rio All-Suites Hotel & Casino in Las Vegas will be the site of the 2009 World Series of Poker Main Event Final Table and Sexton will be inducted during a break in the competition.
Poker pros have been sending their congratulations to Mike Sexton and some have taken to their Twitter pages to comment. Annie Duke tweeted: “Congratulations on the HALL OF FAME Induction Mr. Sexton!” and Joe Sebok tweeted: “congrats Mike Sexton…going into the poker hall of fame. Well deserved, sir…”.
October 16, 2009
Full Tilt Poker Issues Statement re: Robot Case
Call it arrogance on the part of the world's second largest online poker room. Full Tilt Poker typically does not comment on any type of complaints lodged against it from lawsuits to player complaints about software upgrades to nasty public relations people who are yet to properly utilize their star player and representative at next month's World Series of Poker final table.
In an unusual - and some might say BOLD - move by the online poker company, Full Tilt has responded to a recent lawsuit alleging it uses "bots" to play against real customers.
As first reported by the TMZ.com website two weeks ago, Lary Kennedy and Greg Omotoy claim they won $80,000 and that the funds were confiscated by FTP.
Full Tilt Poker, which has among its equity partners Phil Ivey and Chris Ferguson, claims that plaintiffs used an automated play functions called "robots" instead of playing the game themselves. Since using robots violates Full Tilt's rules, the site's owners confiscated more than $80,000. Omotoy and Kennedy, in turn, claim that Full Tilt Poker also use their own bots on the website.
Full Tilt Poker issued this statement:
"Full Tilt Poker has been made aware of the recent filing of a baseless lawsuit by former Full Tilt Poker customers - Ms. Lary Kennedy and Mr. Greg Omotoy. Both of these player accounts were appropriately terminated for multiple violations of the express terms and conditions governing fair and lawful play in the Full Tilt Poker online virtual cardroom, including their own admissions of using multiple accounts.
"The usage of multiple accounts not only violates the clear terms and agreements governing fair and lawful play, it creates an unequal and unfair advantage that Full Tilt Poker does not and will not permit. We aim to protect our players at all cost, thus we terminated these two claimants' accounts.
"The claims of these former customers have no merit, their complaint is frivolous, especially given the lack of candor during extensive investigation and the unequivocal and unambiguous admissions of using multiple accounts.
"With respect to alleged use of prohibited automated systems, the claimants' false assertions will be revealed as such in due course. Full Tilt Poker has never knowingly allowed "bots" to play on its site. To the extent either of these claimants indeed used such prohibited "bots" in violation of all applicable rules, such impermissible use by the claimants was without the knowledge of Full Tilt Poker. When fraud, collusion, and cheating of any kind is uncovered, Full Tilt Poker investigates extensively, and then acts accordingly and appropriately, as was the case involving these claimants.
"As always, Full Tilt Poker remains committed to protecting their players from anything that might compromise the integrity of its games. Full Tilt Poker expects that this erroneous lawsuit and its spurious claims will be dealt with accordingly by proper courts of law and other appropriate tribunals. Full Tilt Poker expects that these claimants will be obliged to compensate the aggrieved defendants for any harm that may arise out of their false allegations, and for the wrongful institution of these bad faith legal proceedings."
This is not the first time Full Tilt Poker has been thrust into the spotlight over alleged bots playing on their website.
In September 2007, the company was forced to respond to concerns that "bots" were playing on the site.
The website at that time issued several players affected by the "online poker bot play" refunds, according to Kelli Smithgall of 4Flush.com. Smithgall went on to suggest that suspect "bot" accounts had been froze and were "under investigation".
"The bots reportedly played on Full Tilt at the Texas Hold'em Limit cash tables and possibly, however not confirmed, at some no limit style tables.
"A poker bot is a type of malware, since the bot player is not human, they don't express fear or shame, they also can't recognize a bluff, they play the math, playing correct poker, not emotional poker, which has both it's ups and downs. Humans on the other hand might back off against extremely aggressive players. "For example, a poker bot will raise any two cards if they think there is even the slightest advantage based on a real player's history. "Although bots have been a common theme in online gambling and poker playing for several years now, it has been almost impossible to catch them. Like slimy snakes, they seek out unassuming new poker players that are still naive about the online gambling world."
Not all "bots" are bad. For example, the Google Bot is a "good bot" that scans websites for content than lists news stories to be part of the Google listings.
In an unusual - and some might say BOLD - move by the online poker company, Full Tilt has responded to a recent lawsuit alleging it uses "bots" to play against real customers.
As first reported by the TMZ.com website two weeks ago, Lary Kennedy and Greg Omotoy claim they won $80,000 and that the funds were confiscated by FTP.
Full Tilt Poker, which has among its equity partners Phil Ivey and Chris Ferguson, claims that plaintiffs used an automated play functions called "robots" instead of playing the game themselves. Since using robots violates Full Tilt's rules, the site's owners confiscated more than $80,000. Omotoy and Kennedy, in turn, claim that Full Tilt Poker also use their own bots on the website.
Full Tilt Poker issued this statement:
"Full Tilt Poker has been made aware of the recent filing of a baseless lawsuit by former Full Tilt Poker customers - Ms. Lary Kennedy and Mr. Greg Omotoy. Both of these player accounts were appropriately terminated for multiple violations of the express terms and conditions governing fair and lawful play in the Full Tilt Poker online virtual cardroom, including their own admissions of using multiple accounts.
"The usage of multiple accounts not only violates the clear terms and agreements governing fair and lawful play, it creates an unequal and unfair advantage that Full Tilt Poker does not and will not permit. We aim to protect our players at all cost, thus we terminated these two claimants' accounts.
"The claims of these former customers have no merit, their complaint is frivolous, especially given the lack of candor during extensive investigation and the unequivocal and unambiguous admissions of using multiple accounts.
"With respect to alleged use of prohibited automated systems, the claimants' false assertions will be revealed as such in due course. Full Tilt Poker has never knowingly allowed "bots" to play on its site. To the extent either of these claimants indeed used such prohibited "bots" in violation of all applicable rules, such impermissible use by the claimants was without the knowledge of Full Tilt Poker. When fraud, collusion, and cheating of any kind is uncovered, Full Tilt Poker investigates extensively, and then acts accordingly and appropriately, as was the case involving these claimants.
"As always, Full Tilt Poker remains committed to protecting their players from anything that might compromise the integrity of its games. Full Tilt Poker expects that this erroneous lawsuit and its spurious claims will be dealt with accordingly by proper courts of law and other appropriate tribunals. Full Tilt Poker expects that these claimants will be obliged to compensate the aggrieved defendants for any harm that may arise out of their false allegations, and for the wrongful institution of these bad faith legal proceedings."
This is not the first time Full Tilt Poker has been thrust into the spotlight over alleged bots playing on their website.
In September 2007, the company was forced to respond to concerns that "bots" were playing on the site.
The website at that time issued several players affected by the "online poker bot play" refunds, according to Kelli Smithgall of 4Flush.com. Smithgall went on to suggest that suspect "bot" accounts had been froze and were "under investigation".
"The bots reportedly played on Full Tilt at the Texas Hold'em Limit cash tables and possibly, however not confirmed, at some no limit style tables.
"A poker bot is a type of malware, since the bot player is not human, they don't express fear or shame, they also can't recognize a bluff, they play the math, playing correct poker, not emotional poker, which has both it's ups and downs. Humans on the other hand might back off against extremely aggressive players. "For example, a poker bot will raise any two cards if they think there is even the slightest advantage based on a real player's history. "Although bots have been a common theme in online gambling and poker playing for several years now, it has been almost impossible to catch them. Like slimy snakes, they seek out unassuming new poker players that are still naive about the online gambling world."
Not all "bots" are bad. For example, the Google Bot is a "good bot" that scans websites for content than lists news stories to be part of the Google listings.
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