New York DFS Bill Aims to Rescue DraftKings and FanDuel

New Yor<span id="more-7480"></span>k DFS Bill Aims to Rescue DraftKings and FanDuel

Senator Michael Ranzenhofer, whose bill aims to classify DFS being a game of skill. He accuses the state of ‘overregulation.’

A new nyc gambling bill introduced this week by Senator Michael Ranzenhofer (R-Erie County) seeks to classify fantasy that is daily as a game of skill, thus exempting the activity from the state’s prohibition of gambling.

The bill, filed on Monday, is apparently in direct reaction to the cease and desist letters sent to DFS market leaders DraftKings and FanDuel a week ago by New York AG Eric Schneiderman.

The AG has said that the 2 businesses’ operations in the continuing state constitute ‘illegal gambling.’

DraftKings and FanDuel quickly launched split lawsuits against Schneiderman seeking to protect their brand New York business.

DraftKing’s filed a ‘petition and complaint’ against the AG, which aimed to avoid him from, in accordance with the filing, ‘carrying out his threat to banish from this State a lawful industry beloved by thousands and thousands of New Yorkers.’

A brand new York judge on Monday denied DraftKings and FanDuel’s joint ask for a temporary restraining purchase that would have prevented any action being taken against them before the matter might be settled in the courts.

The AG acted swiftly as well as on filed for an injunction to shut down the two operators tuesday.

DFS Carve-out

Into this appropriate maelstrom steps Senator Ranzenhofer, who believes DFS is provided a legal carve out from New York’s gambling prohibition, just like the racetracks and new casino operators happen.

‘Time and time again, New York has stood in the way, whether by over-regulation or banning that is outright of activities which are legal and enjoyed in many states across the nation,’ complained Ranzenhofer. ‘ This bill further protects the rights of businesses and individuals who want to participate in this kind of business in the state of the latest York.’

His bill seeks to amend ny’s definition of a ‘contest of chance’ as the one that:

…shall not consist of participation in almost any dream or simulation in any fantasy or simulation sports game or educational game or contest in which (if the game or competition involves a group or teams) no dream or simulation sports team is founded on the current membership of a actual team that is an associate of an amateur or professional sports organizations…

Casino Lobby

The AG’s office dismissed the bill as little more when compared to a lobbyist’s stunt. ‘DraftKings and FanDuel have hired a fleet of lobbyists to convince the Legislature to legalize their gambling operations,’ said AG spokesman Damien LaVera. ‘ How exactly does that square with your companies’ insistence that their internet sites are presently legal?’

Nevertheless, an article in the brand new York Post implies that Schneiderman, himself, may not be resistant to the influence of lobbyists.

According to your Post, ny’s casino interests have contributed over $150,000 to his campaign funds since 2010.

The gambling enterprises themselves are unable to offer sports gambling and so are incensed that DFS companies are permitted to run into the state with, as yet, complete impunity.

Daily Fantasy Sports Players File Lawsuit Against Credit Card Industry

Daily fantasy activities will be attacked along with credit card companies in a lawsuit that is new alleges DraftKings and FanDuel operate unlawful online gambling products. (Image: wkyt.com)

The legality of daily fantasy sports (DFS) has developed into a national debate over the last half a year, numerous groups petitioning for its own individual interpretation regarding the law to be deemed correct.

Nevada’s Gaming Control Board ordered market leaders DraftKings and FanDuel to leave town, New York Attorney General Eric Schneiderman issued cease and desist letters, and a handful of other jurisdictions including federal lawmakers are mulling their steps that are next.

DFS is enflamed with controversy and litigation.

Nevertheless, the latest lawsuit isn’t inclined to the operators alone but also the credit card companies that have prepared the millions of dollars in transactions.

In a class action suit filed in a Manhattan court, attorney Hunter Shkolnik argues players ‘think they’re just sports that are playing, but it turns out become a gambling situation.’

Credit Cards Named

Several payment processors are identified with DraftKings and FanDuel in the lawsuit including Visa, MasterCard, American Express, and Capital One for facilitating and participating in what they allegedly should have known was a gambling operation that is illegal.

Shkolnik says his client Yehuda Guttman lost between $5,000 and $10,000 playing fantasy that is daily. Guttman claims he relied on credit cards to allow his DFS participation and often played on credit.

The claim seeks the restitution of monies lost by all DFS players, a goal that would theoretically put DraftKings and FanDuel on the hook for millions of dollars and likely submit them into bankruptcy.

‘Defendants knew, or should have understood, that the loans made to participants in FanDuel and DraftKings’ DFS schemes were for illegal gambling and in violation of the UIGEA (illegal Web Gambling Enforcement Act), federal and New York State laws,’ the accusation reads.

FanDuel and DraftKings of program disagree, the former saying that Schneiderman is attacking its services to ‘get himself some press coverage.’ DraftKings called it a ‘hasty decision,’ arguing the attorney general don’t just take the right time to discover why DFS competitions are skill challenges.

Tough Case to check out

Shkolnik does his best to pinpoint their belief that daily fantasy is gambling in their 45-page criminal suit.

Predominantly going off Schneiderman’s ruling that DFS isn’t protected through the UIGEA loophole that allowed for fantasy sports games with regards to was passed in 2006, Shkolnik opines that clients are unknowingly gambling when being told it’s skill-based.

The lawsuit seems to hint at keeping DFS operators and payment merchants accountable for your own lack of self-responsibility. Perhaps frivolous in nature, that does not mean Shkolnik’s costs are without merit.

Nevada and this new York attorney general appear to be on along side it of the plaintiffs, and additional opinions that are forthcoming states and lawmakers could additionally help fuel the instance against FanDuel and DraftKings.

That does not mean the lawsuit won’t get its fair share of scrutiny through the public that is general. ‘Guy loses thousands gambling and it’s not their fault,’ observer Peter Flagler commented on the nyc Daily News internet site.

Poker Player Travell Thomas Charged With Operating Fraudulent $31 Million Debt Collection Racket

East Coast poker player Travell Thomas is accused to be the head of ‘the largest debt that is fraudulent scheme ever to be prosecuted.’ (Image: borgataspringpokeropen2012.blogspot.com)

Travell Thomas, a two-time WSOP Circuit ring that is gold, has been accused of running the largest fraudulent debt-collecting scheme ever prosecuted.

Borrowing and lending may be part of the tradition regarding the real time poker scene, but we are maybe not sure we’d want to borrow money from Thomas, if the allegations of US Attorney for the Southern District of nyc are true.

He stands accused of being the co-owner and president of a company that allegedly coerced more than $31 million in consumer debts from thousands of Americans by ‘making false threats and telling a host of lies,’ in accordance with a statement from the AG’s office.

Thomas himself paid himself in $750,000 in cash from the scheme, while he and their fellow director withdrew approximately $1.4 million from banks and ATMs.

Meanwhile, tens of thousands of dollars were used to pay for Thomas’ gambling expenses, because well tickets for sports games, his wedding reception and cosmetic surgery for their wife, according to the allegation.

Juicing Balances

It is alleged that the company’s MO was to claim it had been associated with town and law enforcement agencies and to suggest falsely that victims had committed acts that are criminal as cable or check fraudulence, threatening these with false warrants if they would not spend up.

It claimed that victims’ driving licenses would be revoked for failure to pay debts.

It really is further accused of inflating victims’ debt balances so that they would ultimately pay a lot more than they owed, a practice referred to by employees as ‘juicing balances.’

‘As alleged, the defendants engaged in what is believed to be the biggest debt that is fraudulent scheme ever become prosecuted, falsely threatening arrest and prosecution of countless Americans, including those who experienced disabilities,’ Attorney General Preet Bhahara, who simply takes place to be the man that brought down online poker in the usa on Black Friday.

‘The defendants charged today allegedly took ruthless advantageous asset of the desperate situation in which their victims found themselves, using threats and lies to coerce re payment and even attempting to collect more income compared to victims ever owed.’

Facing two decades

Thomas is a fixture on the East Coast poker scene since the noughties that are late.

He won his very first WSOP Circuit band in 2011, at a WSOP Circuit Caesars Atlantic City event, and his second during the same venue in 2013.

He is charged royal vegas casino live chat, along side co-owner Maurice Sessum and nine other members regarding the business, with wire fraudulence and conspiracy to commit wire fraud. If convicted he could face a sentence that is maximum of years in prison.

Sports Betting Could Soon Come Online in Nj-new Jersey

Nj Assemblyman Ralph Caputo is adamant that the survival of Atlantic City depends on sports gambling gaining legalization. (Image: meettheleaders.com)

Sports betting in brand New Jersey could have its day in court sometime in February whenever the united states of america Court of Appeals for the Third District holds a banc that is en to determine if the state has the right to authorize the industry.

The pro and Amateur Sports Protection Act of 1992 (PASPA) outlawed recreations betting nationwide except in a few of states that today is predominantly restricted to Nevada.

New Jersey opted to change that, residents voting in favor of sports gambling in 2011.

The state’s legislature passed a bill with Governor Chris Christie authorizing the law in October of 2012, but since then the measure has sat idle into the courts as the NCAA, NFL, MLB, NBA and NHL filed a collective lawsuit against the Garden State.

Two federal rulings have sided with the sports leagues, however New Jersey received a lifeline that is much-needed month whenever Third District consented to reexamine the situation.

Verdict Implications

The en banc hearing will bring the majority of the Third Circuit to listen to arguments on nj-new Jersey authorizing sports wagering. The proceedings will most likely happen in February, using the panel anticipated to release its verdict within the weeks after.

Should it returned in favor of hawaii, New Jersey Division of Gaming Enforcement Director David Rebuck states the step that is next be to create the practice online.

‘ We were advised a while back that the Third Circuit will hear the case en banc,’ Rebuck told Gambling Insider this week. ‘That is most likely the time that is first we had a small victory in our efforts to date.’

‘ If we winnings that … change the sports wagering prohibition allowing for sports wagering to be performed on the Internet,’ Rebuck said.

Providing New Jerseyans the ability to place wagers on sporting events online would certainly bring substantial new revenues to the Internet casino operators and deliver the subsequent taxation revenues to Trenton.

Saving Atlantic City

Lawmakers are banking on sports betting as Atlantic City’s saving grace. The eastern coast casino destination has been hurt by nearby states legalizing land-based gambling over the last decade leading to a long and slow death of the resort town.

‘We have been in desperate need of revolutionary tips to combat the continued downturn in New Jersey’s gaming industry in both Atlantic City and at our racetracks,’ Assemblyman Ralph Caputo (D-District 28) said this past year. ‘This can be an opportunity to kick-start this industry in a way that is unprecedented across the East Coast… Sports betting has the potential to be an economic game-changer.’

Within the meantime, local politicians in Atlantic City are looking for means to fund the town as vacant and bankrupt casinos continue to fail on paying their obligated home taxes. Casino companies are in favor of payment-in-lieu-of-taxes dancing to help them offset their properties’ continued devaluation as gaming revenues unrelentingly decline.

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