Online betting chief still held in US
The chairman of online bookie Sportingbet continued to be held in the United States today after his arrest under laws covering “gambling by computer”.
Peter Dicks, who is 64, was taken into custody at JFK Airport, New York, early yesterday and later appeared in court in relation to a warrant from the Louisiana State Police gaming enforcement division. A further hearing is expected next week, ahead of moves to extradite Mr Dicks to Louisiana.
Mr Dicks is the second senior company director from a UK gaming firm to be arrested on US soil, following the detention of BetonSports chief executive David Carruthers in the transit area of Dallas Airport in July.
Sportingbet, which owns the Paradise Poker brand, said today it would continue to operate as normal, adding that it had not received correspondence from any US authority regarding “this or any related matter”.
Online sports betting contravenes the 1961 Wire Act, which bans the placing of bets on sporting events via the telephone.
The indictment facing Mr Carruthers related to “illegal wagering on professional and college football and basketball”, which BetonSports offered until recently on its website.
Sportingbet generates around 70% of its profits from US punters.
A spokesman for the Louisiana State Department told the Daily Telegraph that the arrest warrant was “stemming from charges in reference to illegal internet gambling”.
He added: “Other warrants have been issued for other members of the corporation.”
Sportingbet shares were suspended yesterday, but other companies fell heavily amid ongoing fears of a wider crackdown by authorities against internet gaming. Shares in the sector steadied in early trading today, with Party Poker owner PartyGaming marginally ahead.
Sportingbet has grown rapidly since it was set up in 1998, becoming a £1.2bn (€1.8bn) turnover business with well-known brands including Paradise Poker.
It has more than 2.5 million registered customers in 200 countries, who place more than one million bets a day on casino, poker, sports and virtual games.
Mr Dicks joined the group in January 2000 as Sportingbet’s non-executive chairman. He is also the chairman of Private Equity Investor and a director of various UK and US companies, including Polar Technology Trust. As non-executive chairman, he is not involved in the day-to-day running of Sportingbet.
