Restraining Order Against BetonSports Extended By US Judge

by Mike Godfrey, Tax-News.com, Washington

28 July 2006

A United States federal judge has extended until the end of July a temporary restraining order preventing troubled online gambling firm BetonSports from taking wagers.

A hearing on the new order is scheduled for Monday in the US District Court in St. Louis. An order signed on July 17 by Judge Catherine Perry was set to expire after ten days.

The temporary order is part of a civil case brought by the US government to stop Americans betting with BetOnSports.

The Federal Bureau of Investigation has also instructed telephone companies to stop providing phone service to BetOnSports.

Meanwhile, BetonSports has inidcated that it could be allowed to reopen "within a week" following its sacking of chief executive David Carruthers, according to a report in the British media.

After being arrested at Dallas airport on July 16, Carruthers remains in custody in the US and will face a detention hearing in St. Louis, although no date has been set for the hearing. He was one of several individuals and companies indicted for allegedly breaking US gambling and tax laws.

Quoting sources close to the company, the UK's Daily Telegraph reported that the removal of Carruthers is intended to give the firm some leverage with the US Justice Department.

However, the source also told the newspaper that the company is considering reopening its internet gaming site regardless of the US action becasue it can be argued that the US authorities have no jurisdiction over the firm, which is listed in London and licensed in Antigua & Barbuda and Costa Rica.

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