Feeds

AmeriDebt founder jailed in internet gambling dustup

'No longer a game,' judge says

  • alert
  • submit to reddit

Internet Security Threat Report 2014

House of Cards The case of one-time credit counseling giant AmeriDebt took a turn for the worse this week, as a federal court judge ordered its founder Andris Pukke to jail for contempt of court, the Associated Press reports.

AmeriDebt reached a settlement with the Federal Trade Commission in 2006 to pony up $35m in funds to repay customers defrauded by the company, which claimed to provide credit counseling services to deeply indebted Americans, but which in fact allegedly siphoned off an estimated $170m of customer money.

He only produced $4 mil of the $35 mil - enough for about 300,000 customers - but evidently US District Judge Peter Massitte ran out of patience with the slow pace of repayment. The Judge held Pukke in contempt of court back in March, but gave him more time to come up with the missing money. He accused Pukke of using friends and family to hide money in an internet gambling company, a Belize housing project and a Latvian bank account.

"This is no longer a game," Messitte said to Pukke before the marshals led him off in cuffs. "This is serious business when you have a court order." ®

Burke Hansen, attorney at large, heads a San Francisco law office

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
DOUBLE BONK: Testy fanbois catch Apple Pay picking pockets
Users wail as tapcash transactions are duplicated
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Google Glassholes are UNDATEABLE – HP exec
You need an emotional connection, says touchy-feely MD... We can do that
YARR! Pirates walk the plank: DMCA magnets sink in Google results
Spaffing copyrighted stuff over the web? No search ranking for you
prev story

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
New hybrid storage solutions
Tackling data challenges through emerging hybrid storage solutions that enable optimum database performance whilst managing costs and increasingly large data stores.