[x]

See Where You Rank in Virginia

PokerStars Pays $225 Million to DOJ, Full Tilt Asset Transfer Consummated[ return to main articles page ]

By: Dan Cypra    [See all articles by Dan Cypra]
Published on Aug 9th, 2012
In breaking news, PocketFives can independently confirm that PokerStars has paid $225 million to the U.S. Department of Justice, consummating the asset transfer of the now-defunct Full Tilt Poker. An e-mail PocketFives received on Thursday morning from Full Tilt Poker legal counsel Cozen O'Connor broke the news, saying, "The asset transfer to PokerStars was consummated immediately following the United States Government's receipt of PokerStars' first payment of $225 million due under PokerStars' settlement agreement with the U.S. DOJ, which payment was confirmed this morning, August 9, 2012."

PokerStars forfeited $547 million to the U.S. Department of Justice as part of its purchase of the assets of Full Tilt Poker. In addition, it is charged with refunding non-U.S. players, a process that is expected to occur within 90 days. PokerStars had six business days to cough up the $225 million.

Speaking to the timeline for non-U.S. players to have access to their Full Tilt Poker bankrolls, which were frozen in June 2011 when the Alderney Gambling Control Commission suspended Full Tilt Poker's operating license, a PokerStars spokesperson posted on Two Plus Two, "Now that the transaction is complete, we will definitely re-launch [Full Tilt] within the next 90 days, but we're probably looking at late October or early November."

A PokerStars spokesperson told PocketFives on Thursday, "The transaction formally closed today and we are committed to paying back Full Tilt Poker players outside of the U.S. and re-launching the Full Tilt Poker site within 90 days by November 6. "

Cozen O'Connor attorney Anne Madonia told PocketFives on Tuesday that the Full Tilt Poker brand name still carries value: "The future of Full Tilt Poker is in the hands of PokerStars. For the last 16 months, Full Tilt Poker's directors and managers undertook enormous efforts in a very difficult situation to maintain the value of Full Tilt Poker and its assets, including the employees, to accomplish this asset transfer. The Full Tilt Poker brand continues to have value today because of these efforts."

On whether players will be loyal to a new Full Tilt Poker or if the brand's legal woes over the last 16 months have rendered it tarnished, Madonia speculated, "Non-U.S. players will be repaid within 90 days, and that's a positive. PokerStars is respected in the poker community and someone else will own Full Tilt Poker; the brand still has a lot of value."

Meanwhile, U.S. players will be required to submit claims with the U.S. Government in order to be repaid. The process to do so has not yet been announced nor has whether U.S. players will receive their entire account balances or just deposits.

Speaking to Full Tilt Points, Iron Man medals, and loyalty rewards for U.S. players, the same Full Tilt representative posted, "U.S. players should only have cash and points in their accounts at this point (Iron Man medals were already converted to FTPs). As we now know, they will have to go through the remission process to claim the cash. I don't have an answer for what will happen to the FTPs."

Stay tuned to PocketFives for the latest. You can discuss this story by leaving a comment here or posting in this PocketFives thread.

Comments

  1. If you had a big bankroll on FTP better leave the country and get a cash out, or take the risk of just getting your deposits back according to our wack job congress ppl, now that's some bs 1 outer stuff right there!!!
  2.  
    Originally Posted by Daegon View Post

    If you had a big bankroll on FTP better leave the country and get a cash out, or take the risk of just getting your deposits back according to our wack job congress ppl, now that's some bs 1 outer stuff right there!!!

    Your US or non-US status status will be determined by your location on June 29, 2011, which is when Full Tilt's operating license was suspended.
     
    Thread Starter
  3. Not saying it's the right move but if they pay back deposits I wonder how far back they will go......
     
  4. weee deal completed today ... by october a better software will be available... ..
    not sure of prize structure ....pokerstars have very bad prize structure...if both ftp and PS run on same network....prize structure will be same as pokerstars :(......rush poker tourneys will be nice...anyways poker economy will improve with FTP money thats sure...
  5. Hmmm...so can the people with no money on there who deposited get the deposits back too? What an awful solution, just pay people their money!
  6.  
    Originally Posted by PocketPower View Post

    Hmmm...so can the people with no money on there who deposited get the deposits back too? What an awful solution, just pay people their money!

    Yeah, you can see some of the issues involved with paying people back just their deposits. I've also interviewed quite a few very successful players on PocketFives who have boasted that they've never made a deposit, so they'd be in a less-than-stellar situation.
     
    Thread Starter
  7. Fcuk this country sucks, i dont think this going to end well for the majority of american players. Its awesome that taxes dollars were spent to stop us from playing online as of course thats the most important issue the government should of been focusing on, these ass holes been paid with our taxes to shit around for over a year to deal with this shit. I guess this will fix the economy, health care, unemployment, etc...................... Well done someone should send them a cookie they did a swell job.
  8. This whole thing is screwy. After BF, Stars was able to pay US players. Now that Stars has forked over the money to purchase FT it seems the govt. is trying to figure out a way "legally" to keep US players money. I mean, how difficult is it for the govt. to come out and say US players will or wont get their account balances?
  9. the amount in deposits has to be significantly greater than the account balances, not to mention pokerstars paid the us govt according to us player balances, not deposits. idk why anyone thinks the us govt is gonna take a bath by repaying the us players an amount greater than ps paid them. seems like not getting paid at all is more likely than them paying back deposits.
     1
  10. Wouldnt there be a chance that US deposits > US accounts?Seems like it would cost more and take more time to only do deposits. But then again, thats pretty much how our government likes to do things.
  11. Its about time...well done Pokerstars WELL DONE!
  12.  
    Originally Posted by sirswish6 View Post

    the amount in deposits has to be significantly greater than the account balances, not to mention pokerstars paid the us govt according to us player balances, not deposits. idk why anyone thinks the us govt is gonna take a bath by repaying the us players an amount greater than ps paid them. seems like not getting paid at all is more likely than them paying back deposits.

    I just don't get it though, if Pokerstars wants back into the USA, would they strike the DOJ deal knowing that the DOJ was only going to pay USA players deposits only? And I still dont get how the DOJ allows the initial Pokerstars complete cashout (not deposits) but then comes up with this rule for Full Tilt? is it because they labeled full tilt a ponzi scheme? but wouldnt pokerstars paying the money and taking ownership then make full tilt to become 100% pokerstars? Basically wouldnt the ponzi scheme now be over if a seperate company purchases and flips the bill for past mistakes?

    idk i am confused and if the DOJ pulls this deposit payback it will be pathetic and i still dont get how this is possible
  13.  
    Originally Posted by Jaybone2315 View Post

    Wouldnt there be a chance that US deposits > US accounts?Seems like it would cost more and take more time to only do deposits. But then again, thats pretty much how our government likes to do things.

    Yes you are right. I bet the total deposits made from usa players is more than US accounts but the winning USA players would get destroyed. That isnt fair. All of the losing USA players lost their money fair and square and do not deserve to get it back. They signed up for games and lost their money in a game of poker. But since DOJ feels full tilt was a ponzi scheme then they decide that the games werent legit? i still do not understand the logic.

    But basically the successful Full Tilt players would suffer by losing all of their earnings off of full tilt. And this gets messier as some have cashed out a large amount of the winnings while others left it all on FTP. So the one's that cashed out keep the FTP winnings while the one's that had left it on will lose it all? again this just sounds soo stupid shady of the DOJ, and I hope they realize they are just hurting a select few of their own citizens. I am sure if you asked all of the losing FTP players if they lost their money legit most of them, if not all would agree the games were legit.

    so ugly, glgl to all the old FTP players with alot of funds on there. You better get it back. F$ckin DOJ
    Edited By: Lengthwise905 Aug 9th, 2012 at 07:35 PM
  14. payed by deposits....wtf does that even mean??
    2
  15.  
    Originally Posted by FLUSH634 View Post

    payed by deposits....wtf does that even mean??

    Unfortunately it means, that the winnings will be cancelled out. And everything will be set back and every player will get their deposits back.

    Example of the shadiness: Player A was a winning player who deposited 1 time for $100 and won $120,000 cash still active in their FTP account (won this money through a few years of dedicated grinding and working hard to be the best). Player B and C were both losing players that made $2,000 worth of deposits over a year or so and lost fair and square (signed up and competed in games). What the DOJ wants is Player A would get nothing but $100 back and Players B and C would get their lost $2000 back. Basically DOJ wants all losing players to get their deposits back, which would obv come straight out of the winning players rolls. Which is complete BS
    Edited By: Lengthwise905 Aug 9th, 2012 at 07:47 PM
  16. yea that can't happen....surely they are not that dumb....wait i deposited more than i have in my account ill take that deal
    2
  17.  
    Originally Posted by FLUSH634 View Post

    payed by deposits....wtf does that even mean??


    it means that every $$ FTP ever raked was deposited at one point in time and therefore the DOJ is going to pay out all the money FTP ever raked and every $$ that was ever put on the site. GIVING IT BACK TO THE PLAYERS BABY!!!

    Ya... u see how silly that sounds? JFC every news site or person that thinks this is ever a possibility has a severe case of down syndrome. Caus frankly im tired of hearing the absurdity.
  18. any ideas of how far back they will be looking at deposites??
     
  19. We haaa!! I deposited a bunch of money, a bunch of times!!!
    (of course that cant possibly be the plan)
    They'll have you fill out the tax form if its over $x amount, and you'll have to pay tax on it, thats all..
  20.  
    Originally Posted by Mattraq1 View Post

    it means that every $$ FTP ever raked was deposited at one point in time and therefore the DOJ is going to pay out all the money FTP ever raked and every $$ that was ever put on the site. GIVING IT BACK TO THE PLAYERS BABY!!!

    Ya... u see how silly that sounds? JFC every news site or person that thinks this is ever a possibility has a severe case of down syndrome. Caus frankly im tired of hearing the absurdity.

    See i dont think you are right... If they took all the rake that FTP had ever accumulated that would be the crooks salaries that owned FTP... That money is gone (spent or off seas hiding out lol). What I fear it really means is that all the money left (aka the pokerstars bailout offer and the DOJ froozen accounts) will be despersed back to USA citizens by giving all of the deposits back individually. Which would mean that losers of FTP arent losers and that they get their money back from winners? I fear this is what it means. Either way this sounds just so stupid to me. I wish someone who knows more would add on what it means to be paid back deposits only...

    And if it is that way then it only hurts the winning USA players as they would not have their earned funds which is outrageous if you think about the time they put in (which is the same as putting in work...)

    idk just sounds horrible.
 
Page 1 of 21 2

Return to Articles

Quick Navigation