Full Tilt Poker Rumored to be Sold to European Investors


Posted 07/01/2011

July 1, 2011 - 12:37am By Shari Geller and Lou Krieger According to an article in the Los Angeles Time, it appears that Full Tilt Poker, which has been on the ropes since it was the subject of federal indictments unsealed on April 15, may be purchased by a group of European investors. The deal, if finalized, could result in repayment of some $150 million owed to U.S. players who have been seeking refunds of their deposits since Black Friday. Full Tilt Poker ceased serving U.S. players on April 15 when it, PokerStars and Absolute Poker, were the subject of federal indictments charging the companies’ principals and others with bank fraud, money laundering and violating gambling laws. Full Tilt continued to serve players outside of the U.S. until its entire operations were shut down by its licensing body, the Alderney Gambling Control Commission (AGCC), earlier this week. The AGCC said at the time that the suspension was required because Full Tilt was "operating contrary to Alderney legislation. The nature of the findings necessitated the taking of immediate action in the public interest." Since Black Friday, while PokerStars has returned the money that was owed to its U.S. players, Full Tilt has been unable to pay the approximately $150 million that U.S. players reportedly had in their accounts. Allegedly in response to this mishandling of player funds, Team Full Tilt member Phil Ivey sued the company and boycotted this year’s World Series of Poker. According to the LA Times report citing sources from within the negotiations, Full Tilt apparently signed an agreement Thursday with a group of investors who would put up the money both to settle the civil suit brought by the U.S. Attorney’s Office against the company and to reimburse U.S. players for their unreturned deposits. In exchange, these investors would gain a majority stake in Full Tilt's Irish parent company, Pocket Kings. As to how this deal would affect the existing lawsuit brought by Phil Ivey, his attorney David Chesnoff was quoted as saying, "Mr. Ivey intends to dismiss his lawsuit as he believes Full Tilt is taking steps to see that the players are paid." The timing of the deal is curious as Tuesday Jack Binion’s name was floated a potential suitor for Full Tilt only to have that idea shuttered on Wednesday when it was announced that Full Tilt Poker's European operations were shut down and its license to operate suspended.