Volume V

Issue : 8: April 19, 2007

• Pennsylvania District Court Rules Internet Clickwrap Contract Enforceable Whether or Not Read by Users
• BetonSports Founder Arrested In Dominican Republic
• US Court Adopts Narrow Approach in Internet Defamation Case
• Employer Email Monitoring May Contravene European Human Rights Laws
• High School Principal Sues Students for Defamation over Posting on MySpace
• E.U. Refrains From Imposing New RFID Regulations
• Canadian Company Develops New Technology to Fight Spam
• Indiana Court of Appeals Protects Students MySpace Comments as Free Speech

Home > Volume V > Issue 8: April 19, 2007 > BetonSports Founder Arrested In Dominican Republic

BetonSports Founder Arrested In Dominican Republic

Gary Stephen Kaplan, the BetonSports PLC founder wanted by U.S. authorities, was arrested in the Dominican Republic. Kaplan was a fugitive from a racketeering conspiracy and fraud indictment returned June 1, 2006 in the Eastern District of Missouri (St. Louis) court charging him with heading a criminal enterprise that allegedly took in over $3.5 billion in wagers since 2001. The arrest comes days after the WTO recently ruled against the U.S. ban on online gambling.

The indictment names Kaplan and 10 other individuals and four corporations. In 22 counts, the indictment alleges that the defendants engaged in racketeering, conspiracy and fraud arising out of the operation of Costa Rica-based Internet gambling businesses, including BetOnSports.com. Kaplan, age 48, is personally charged with 20 felony violations of federal laws including: the Federal Wire Act, Racketeer Influenced and Corrupt Organizations (RICO) Conspiracy, interstate transportation of gambling paraphernalia, interference with the administration of Internal Revenue laws and tax evasion.

The former director of BetonSports PLC, David Carruthers, was arrested in Dallas in 2006 and remains under house arrest in St. Louis. Other defendants, including co-owners Norman Steinberg and Peter Wilson, are still at large.

For the official press release, visit:

http://www.state.gov/m/ds/rls/82514.htm