Posts Tagged ‘us gambling’

Douglas Rennick Pleas Guilty of Processing Illegal Payments

Canadian citizen Douglas Rennick was recently accused of processing betting payments for US residents who were playing at online casinos. Today, he pleaded guilty to the charge and by accepting the plea he avoided conspiracy and bank fraud charges.

Rennick admitted that he owned a company that spent two years transferring funds from a Cyprus bank to US acounts to pay off gaming losses. In a statement released by the federal authorities they said that Rennick had provided false statements to US financial institutions about the nature of the business he was conducting.

The US authorities seemed pleased when Rennick accepted the charge of processing payment for Internet poker rooms and online casinos. Prosecutors convinced Rennick to plea to a lesser crime of uncertain nature establishing a beachhead of sorts to anchor their contention Internet casino gambling and poker are illegal. Various US courts expressed their disagreement with the Justice Department, saying the Wire Act applies only to sports betting and leaves the question of online casinos unaddressed by federal law.

I can only say that things like this just make me angry, Rennick is facing a 6 to 12 months sentence for taking the deal. Much less than Mr. Phuong Quoc Truong who got condemned to 70 months in prison for a Huge Casino Gambling Scam.

In the process, however, Rennick has strengthen US prosecutors’ cases against the legalization and regulation of online gambling. His lawyers said that if he had stood trial and been convicted he could have faced a 40 years or more sentence.

We will keep you updated on how this turns out. In the meantime feel free to enjoy our great games at The Virtual Casino.