Canadian Indicted for Processing U.S. Web Gambling Payments

Authored by Mark Hefflinger on August 7, 2009 - 9:39am.

New York - A federal grand jury has indicted a Canadian man accused of helping process more than $350 million in payments for online gambling companies, in violation of the U.S. Unlawful Internet Gambling Enforcement Act. The indictment comes as legislation has been introduced in Congress to repeal the U.S. ban on Internet gambling, and instead license and tax such operations.

Douglas Rennick, 34, allegedly held accounts with banks including Washington Mutual and Union Bank, which he falsely represented would be used to issue rebate and refund checks, sponsorship checks, affiliate checks and payroll processing.

In fact, the Department of Justice alleges, Rennick used the accounts to receive funds from offshore Internet gambling companies, and distribute those funds to U.S. residents seeking to cash out their online gambling winnings.

If found guilty, Rennick faces up to 30 years in prison, fines of $1.75 million, and the forfeiture of over $565 million.

http://snipurl.com/pchra (Wired.com)

http://online.wsj.com/article/BT-CO-20090806-713840.html

Published in DMW Daily, August 7, 2009

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It still needs a bit of

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