If you didn't know, several online poker sites that allowed US player action had their domain names seized by the IRS for various alleged offenses included cheating, money laundering and fraud.
Players at some of the sites have been able to cash out their bankrolls, while other sites have yet to send off checks. In response to a further allegations mentioned in a Wall Street Journal article this week, Full Tilt Poker attorney Ian Imrich told the Journal "under any reasonable interpretation, the world-wide operations of the online card room are not a so-called Ponzi scheme."
I suppose he bases the statement on the fact that in a Ponzi scheme there is usually some type of investment, or the "investors" think there is.
The only investment by Full Tilt Poker seems to be the $10 million per month paid to its board of directors and loans to various "professional" poker players.
So, I agree, Full Tilt Poker is not a Ponzi scheme. However, the company certainly seems to have spent most of the money they took in, since they only hold $60 million dollars of player's money in their bank accounts. That wouldn't be a problem if they didn't owe $440 million.
So, if you were playing on Full Tilt and are waiting to get that check in the mail, well, good luck. I guess all the glamor and big-name poker players didn't mean anything. So much for honor among poker players - but it's not a Ponzi scheme!
Of course if you were playing at any of the Free play-money sites with a .net address, you're probably still having fun and don't have to worry about such mundane things as actually getting paid for your hard work.
At some time in the future (and I used to think that future was about 2010) the US government will realize what utter folly it has been to restrict online poker from our huge base of poker players and we will get a very nicely run site from some major casino group like Caesars or MGM that is highly regulated, highly taxed, and highly popular, right here in the US.
Until that time, we'll all have to enjoy the free games or hit the local casinos for our poker needs.
Comments
I WAS ON POKER STARS WHEN THE SITE WAS CLOSED — THEY PAID ME PROMPTLY
Poker Stars is closed????
Poker Stars is still hoping to someday have the right to US players again. Several other players have mentioned they were paid in full by Poker Stars.
Poker Stars is still allowing free play at the .net site, but US players are not allowed to join the live cash site anymore. Bummer!
I believe the number of sites being closed are still growing, not limited to Fulltilt and Pokerstars
too bad that pokerstars don’t accept poker players from US anymore. its the only reliable poker company i know.