BetonSports

BetonSports plc is a British online gambling company founded by Gary Kaplan in 1995. The company was one of the biggest players in the United States online gaming market, drawing in several billion US dollars in wagers in the early 2000s. [http://news.zdnet.com/2100-9588_22-6134433.html "U.S. permanently bans BetOnSports"] ZDNews, November 10th 2006] In June 2006 US authorities indicted the company and a number of its executives on RICO, mail fraud, and tax evasion charges arising from its supplying online betting to customers in the United States (the alleged crimes took place before the adoption of the Unlawful Internet Gambling Enforcement Act of 2006). No date for trial has been set; several of those indicted remain in US custody or on bond.

In July 2004 [http://www.casinogamblingweb.com/gambling-news/gambling-law/betonsports_plc_shareholders_may_sue_the_company.html "BetOnSports PLC Shareholders May Sue the Company"] ] the company was floated on the Alternative Investment Market of the London Stock Exchange with the ticker symbol BSS.LN. [http://online.wsj.com/quotes/main.html?type=djn&symbol=BSS.LN "Quote for BETonSPORTS PLC (BSS.LN)"] , "Wall Street Journal" online share price service, URL retrieved 31st March 2007] Although listed in London, the majority of its operations were in several Caribbean locations (principally Aruba, Antigua, and later Costa Rica [http://www.usdoj.gov/usao/moe/files/significant_cases/betonsports.html "Significant cases: BETONSPORTS PLC"] United States Attorney's Office of the Eastern District of Missouri's page on its ongoing civil and criminal prosecution of BetonSports and related parties.] ) and almost all of its customers were within the United States.

In July 2006 the United States District Court for the Eastern District of Missouri issued a sealed indictment [ [http://www.usdoj.gov/usao/moe/press%20releases/archived%20press%20releases/2006_press_releases/july/betonsports_indictment.pdf Text of the indictment] (PDF file)] of the company and a number of people related to its operations. The indictment was unsealed later that month when CEO David Carruthers was arrested in Dallas while returning to Costa Rica after attending the company's
annual general meeting in London; [http://publicaffairs.linx.net/news/?p=539 "BETonSPORTS plc CEO arrested in Dallas"] ] Carruthers is under house arrest in Missouri awaiting trial [http://news.bbc.co.uk/1/hi/business/6512699.stm "Founder of Betonsports arrested"] BBC News] - he and his co-accused have entered "not guilty" pleas. [http://www.pokerlistings.com/several-defendants-enter-notguilty-pleas-in-betonsports-plc-case-8490 "Several defendants enter not-guilty pleas in BetonSports, Plc. case"] , Sarah Polson, Pokerlistings.com, July 31 2006] Shortly after Carruthers' arrest trading in the company's stock was suspended. [http://news.bbc.co.uk/1/hi/business/5189906.stm "Gaming shares hit by US charges"] BBC News 18th July 2007] At that time BetonSports employed around 2000 workers in Costa Rica. [ [http://www.smh.com.au/news/breaking-news/employees-say-online-gambling-operator-betonsports-closing-in-costarica/2006/08/11/1154803073085.html Employees say online gambling operator BetOnSports closing in Costa Rica] ] The company later terminated Carruthers and agreed to discontinue its US business.

In March 2007 founder Gary Kaplan was arrested in the Dominican Republic and was extradited to the US.

References

External links

* [http://www.betonsports.com/ BETonSPORTS.com] , the company's former online gambling portal. The site now displays information for customers whose funds are affected by the ongoing legal action.