Feeds

Internet gambling mogul surrenders $300m in guilty plea

Party's over

  • alert
  • submit to reddit

SANS - Survey on application security programs

An internet tycoon who made billions of dollars building an online gambling empire has agreed to forfeit $300m after pleading guilty to violating the US Wire Act.

Anurag Dikshit, co-founder of Gibraltar-based PartyGaming, entered the plea Tuesday in US District Court in Manhattan. A lawyer for Dikshit told US District Judge Jed Rakoff that over time his client developed "a growing awareness of the illegality" of offering online poker and other games of chance to residents of the US, according to news reports.

The company stopped accepting wagers from people based in the US after lawmakers barred US credit card companies from accepting payments for bets

But by then, the damage was already done. According to federal prosecutors, Dikshit "unlawfully, willfully and knowingly used a wire communication facility for the transmission" to take bets. A "substantial majority" of PartyGaming's customers are based in the US, according to court documents. About 85 percent of the company's 2005 revenue came from Americans.

Dikshit, 37, has already surrendered $100m to the feds. He is scheduled to make his next $100m payment in three months and his final installment is due in September.

He faces a maximum sentence of two years in prison and a fine of $250,000 at sentencing, which is scheduled for December 2010. ®

Combat fraud and increase customer satisfaction

More from The Register

next story
Parent gabfest Mumsnet hit by SSL bug: My heart bleeds, grins hacker
Natter-board tells middle-class Britain to purée its passwords
Samsung Galaxy S5 fingerprint scanner hacked in just 4 DAYS
Sammy's newbie cooked slower than iPhone, also costs more to build
Obama allows NSA to exploit 0-days: report
If the spooks say they need it, they get it
Web data BLEEDOUT: Users to feel the pain as Heartbleed bug revealed
Vendors and ISPs have work to do updating firmware - if it's possible to fix this
Snowden-inspired crypto-email service Lavaboom launches
German service pays tribute to Lavabit
One year on: diplomatic fail as Chinese APT gangs get back to work
Mandiant says past 12 months shows Beijing won't call off its hackers
Call of Duty 'fragged using OpenSSL's Heartbleed exploit'
So it begins ... or maybe not, says one analyst
prev story

Whitepapers

Designing a defence for mobile apps
In this whitepaper learn the various considerations for defending mobile applications; from the mobile application architecture itself to the myriad testing technologies needed to properly assess mobile applications risk.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Securing web applications made simple and scalable
In this whitepaper learn how automated security testing can provide a simple and scalable way to protect your web applications.