Many individuals affiliated with the online gambling site BetonSports PLC, which owns several internet casinos and sportsbooks have been indicted in a Missouri courtroom. The founder Stephen Kaplan, and CEO David Carruthers have been charged with conspiracy, racketeering, and fraud.

Along with BetonSports.com, there were also three Florida-based companies: Direct Mail Expertise, DME Global Marketing and Fulfillment Inc. Four of the owners and operators associated with these firms have been indicted as well.

David Carruthers is a prominent advocate of online gambling, and he fears that the escalation of the anti-lobby will trouble markets.
Once Carruthers arrest began to circulate on the Internet this morning, shares of the publicly traded BetonSports dove almost 17 percent on the London Stock Exchange.

The Sunday Times has addressed the anxiety and fears for this may be the beginning of the end for all online gambling & online casinos by U.S law enforcement. Greg Harris, an analyst at Cannacord said: ‘It’s too early to say if this is part of a broader strategy on prevention of internet gambling in the U.S, or if it is the Department of Justice simply flexing their muscles and trying to influence legislation.’

U.S Attorney Catherine Hanaway of the Eastern District of Missouri in a press release states: ‘This indictment is but one step in a series of actions designed to punish and seize the profits of individuals who disregard federal and state laws.’

This entry was posted on Wednesday, July 19th, 2006 at 1:35 pm and is filed under Casino News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.