In spite of orders issued by a U.S. federal court to make good on payouts, BetonSports, the besieged online gambling group, continues to issue assertions and denials regarding accusations that the company is not paying its customers what is owed them. The online gambling group has had to close its site to all US players following Department of Justice prosecutions and a restraining order from a federal court. The move has cost BetonSports nearly 80 percent of its business. The DOJ also demanded that the online gambling group pay deposits back to players, something the company is insisting would be impossible since e-cash processing outfits like Neteller have suspended their contacts with BetonSports as a result of the company’s growing legal troubles. Neteller’s vice president, however, flatly denied this accusation in an exclusive interview earlier this week with “TheOnlineWire.com”, stating that Neteller is not preventing payments from being transferred by BetonSports to its customers. In the interview, Andrew Gilchrist, the VP of Corporate Development and Communications, said: “Neteller is not holding any funds from BetonSports.com and thus has not frozen or held any reserve funds from this company." Gilchrist further added that Neteller did block all transfers to BetonSports.com after the indictments by the US Department of Justice were issued against certain related companies and individuals, but has continued to allow transfers from the company to facilitate member payouts. “Transfers to and from Easybets.com Asian-facing wallet are operating as usual" , Gilchrist said. Raising the ire of players and investors even more were reports in “Gambling911” that David Carruthers, a former CEO of BetonSports, had asked advertising venues to refund money back to BetonSports via a dormant company that he owned. Carruthers, meanwhile, has just been released on bail and is staying in DoJ approved hotel in the city of St. Louis, Missouri where he must remain until he faces pending charges under a 22-count grand jury indictment. According to the report by Gambling911, online gaming publication “The OnlineWire.com” discovered that advertising venues were asked to divert refund credits owed to BetonSports to World Answer LTFD, which is run by Carruthers. In an effort to recover funds, both “Gambling911” and “The Online Wire”, are seeking legal representation for customers and shareholders. According to “The Observer”, the British newspaper, unhappy investors are now considering what legal options they have against the BetonSports company: "Shareholders in BetonSports PLC, the British internet gaming group that has been targeted by a US crackdown on online gambling, are considering taking legal action against the company's advisors Evolution Securities and Baker Tilly. They are unhappy that the history of the company's founder Gary Kaplan was not made clear at the time the company floated two years ago." Reports began surfacing over the weekend that all previous BetonSports related phone numbers had been disconnected without notifying BetonSports players or investors of new contact addresses and channels. It was also reported that it was unlikely that the new numbers would be located the company’s traditional Costa Rica region and would more likely be in the UK where BetonSports directors continue to reside. Up until the time that the numbers were disconnected, according to Gambling911, employees of BetonSports were continuing to respond to enquiries and were, in fact, able to provide verifications of balances and estimated payment dates ranging between 30 to 90 days. Gambling911 also reported that an unidentified executive of Easybets.com, a BetonSports subsidiary, was willing, for the right price, to provide inside information on events occurring at BetonSports. Posted on: August 31, 2006
Back to August 2006's archive |
||||||||||||
|
Del.icio.us
Digg
Google
Spurl
Furl
Simpy
Y! MyWeb