Gambling boss jailed for online activities
Posted by Carl Barnett on 07 Jan 2010 at 15:01
The boss of an online gaming company has been jailed for four years as a result of an investigation by US authorities into online gambling operations.
Gary Kaplan is the founder of BetOnSports, an online company that at one point had a customer base that served close to a million regular paying bettors.
Mr Kaplan, who is 50, admitted his liability towards the charges that were laid against him, which included fraud and racketeering.
His company, based in London, England, had complex financial operations that included offshore accounts in places such as Costa Rica and Aruba.
The US authorities have been looking closely at online gambling for some time, and have focused considerable attention on BetOnSports since 2001.
Kaplan's legal team had initially offered a plea for leniency when it came to the verdict, the plea highlighting their argument that Kaplan was working to establish charitable funds and projects.
The consequence of the verdict, apart from the jail term, is a strict ban on Kaplan creating a business of any kind without consulting with and gaining permission from the probation office.
A 2004 stock exchange report saw Kaplan receive $100 million from selling shares in his firm.