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Date: 2008-08-01 Author: Maria G.
This week brings mixed news on the U.S. legislation front, more controversy around the Tokwiro Enterprises super-user scandals and a potential lawsuit against Bodog and former CEO Calvin Ayre.
- United States Congressman Pete Sessions (R-TX) introduced the Unlawful Internet Gambling Enforcement Clarification and Implementation Act (HR 6663,) with which he hopes to clarify exactly what is to be considered legal or illegal under the infamously vague UIGEA. The bill is backed by three respected Democrat sponsors and is expected to be discussed in September at the earliest.
- The much-reviled sister sites Ultimate Bet and Absolute Poker are trying to move forward from their super-user tainted past by creating their own network: Cereus. The new Cereus network will combine the player bases of both sites to become the sixth most popular cash game site and allegedly also the third largest poker network. The sites will remain independent and keep their individual features.
- To try to put an end to the Absolute Poker and Ultimate Bet scandals, the Kahnawake Commission appointed an independent investigation team to thoroughly examine Tokwiro Enterprises in regards to the controversial incidents of fraudulent behavior. However, the leader of the investigation team, Frank Catania, was involved with the Kahnawake Commission back at its inception, which raises some questions about his impartiality and about the transparency of Kahnawake’s intentions.
- Forbes magazine reported that the U.S. government had seized $12,000,000 from Bodog out of several accounts in U.S. banks, and suggested the company and its former CEO Calvin Ayre may be facing legal action from the government. Alwyn Morris of the Morris Mohawk Gaming Group (Bodog’s North America licensees) strenuously denied all accusations; to this end he issued a press release denouncing several aspects of the Forbes article as “misleading,” “mischaracterized,” “simply false” and “media hype.”
- The Internet Gambling Study Act (HR 2140) was not heard on July 30th as scheduled, due to the appearance of a more pressing issue (deciding if Karl Rove was in contempt of Congress for failure to appear.) The act may now not be discussed until next year depending on how the election season affects Congress.
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