Criminal charges have been laid against three corporations and 27 individuals in New York, New Jersey, Florida and Nevada, including professional poker player James Giordano and Frank Falzarano, a scout for the Washington Nationals, in connection with the operation of an online gambling enterprise that operated in the United States and elsewhere that allegedly took more than $3.3 billion (USD) in bets from tens of thousands of bettors over a 28-month period, according to a 33-count indictment filed in Queen's County Supreme Court today.
According to the AG's office, the indictment represents the first time charges have been brought against anyone under the Unlawful Internet Gambling Enforcement Act, although none of the counts in the indictment specifically refer to any offenses committed, or charges laid, pursuant to the Unlawful Internet Gambling Enforcement Act. It also marks the first time a web designer and an offshore based Internet company have been charged in connection with an alleged online illegal gambling enterprise. One of the corporations, Primary Development, Inc., was charged in connection with the development of a sports betting website (playwithal.com) apparently used for the gambling enterprise. Prolexic Technologies, Inc. was charged in connection with allegedly providing website security and Digital Solutions, S.A. was charged in connection with allegedly providing Internet servers, data and software to the enterprise.
A number of search warrants were executed and hundreds of millions of dollars in real and personal property, including four Manhattan condominiums, millions of dollars in cash, tens of thousands of dollars in casino chips from the Bellagio, rare art, gold coins and jewelery, was seized from several of the defendants named in the indictment.
Twenty of the defendants are also being sued civilly and have been named as respondents in a $500 million civil forfeiture action. You can read more here.
