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The BetonSports Debacle

It’s actually going to be somewhat of a relief now to have finally concluded the bulk of the BetonSports saga that has dragged on and on over the past three years. The US courts have been incredibly slow in prosecuting two individuals linked to an illegal online casino betting operation. Gary Kaplan’s name rang through the industry media several months ago as he accepted a plea agreement with the courts and paid out millions of dollars as part of a punishment for racketeering charges related to the operation of BetonSports throughout 2004 and beyond. David Carruthers on the other hand acted as CEO of the now defunct online casino betting group and his plea agreement did not go quite as strongly, he was just recently sentenced to 33 months in prison – and that’s in addition to the three years of house arrest that he has already served.

BetonSports went well beyond just operating as an online casino gambling and betting group aimed at US players, the company is accused on racketeering and money laundering charges as well as a litany of other illegal activities. That’s quite different than the cases that the US Department of Justice brought against companies like Party Gaming, who operated legitimate online casinos within the US market. The BetonSports saga comes to an end this month with both the founder and the CEO with sentences handed down, but the warning left by this company will last much longer than this case, and even longer than Carruthers’ three year sentence.

The United States is a powerful country and not one to be messed with – that’s a strong message. In the case the United States used the full reach of its powers to have Kaplan extradited from Dominca and brought back to the US for trial. It also investigated offshore bank accounts and handed down lengthy sentences and punishments for those individuals who played such key roles in operating the illegal online casino gambling and betting company.