SBR News and Business Wire

KGC’s Press Release Regarding Cheating at Absolute Poker and Ultimate Bet

07/24/2008 12:58 PM

7/24/2008 12:58:19 PM -

This is an analysis of the Kahnawake Gaming Commission’s latest press release for those uninterested in reading it. The first paragraph is self-serving and self-congratulatory. The second paragraph passes the buck by stating fraud happens in other industries. The third paragraph is the funniest—it states cheating was discovered and brought to the attention of the licensees (Absolute Poker and Ultimate Bet) by the affected players, as if AP and UB were totally unaware cheating was going on. It does not say how KGC had to be beaten over the head consistently and repeatedly with evidence gathered solely by the online poker community at large before they would even say a word about the blatant cheating that had been going on. Then, once it became apparent the cat was definitely out of the bag, they had the balls to try to take credit for discovering the whole thing.

The next paragraph outlines the Absolute poker case and the actions taken against AP, which came down to a large fine levied against AP, basically benefiting the KGC. Then it mentions becoming aware of the UB allegations, and refers to their diligent efforts investigating the scandal, and how, despite the public’s perception to the contrary, they are not “doing nothing” but in fact have, um, uncovered stuff that they will tell everyone about in the very near future. You can read the entire piece of self-serving garbage here.

Kahnawake Gaming Commission's Press Release on Absolute Poker and Ultimate Bet

07/24/2008 12:49 PM

7/24/2008 12:49:38 PM -

KAHNAWAKE GAMING COMMISSION

Mohawk Territory of Kahnawake

July 23, 2008

Kahnawake Gaming Commission (the “KGC”) has been continuously regulating
online gaming for over 9 years – longer than most, if not all, other jurisdictions. During that period of time, the KGC has proven to be a world leader with regulations and methodologies that have established a regulatory environment in which online gaming can be conducted fairly and securely. The KGC’s success as a regulator is evidenced by the fact that a significant percentage of the online gaming industry has chosen to locate and operate within Kahnawake. Given the length of time that it has regulated this new industry and the significant number of licensees under its control, the KGC’s record has been exemplary.

As commentators have correctly noted, even the most well regulated industries are not immune from abuse. Examples can be found in the banking, securities and land-based gaming industries. The fact that the online gaming industry is new and is technologically driven creates additional regulatory challenges. Throughout its history, the KGC has met these challenges and its regulations have been emulated in a number of other jurisdictions around the world.

Over the past several months, it was discovered that individuals within two of the KGC’s licensees – Absolute Poker and Ultimate Bet – had created and carried out a scheme to cheat players. In both cases, the improper conduct of these individuals was brought to the attention of the licensees, and the KGC, by affected players. The KGC acknowledges the diligence and sophistication displayed by these players and the role they played in bringing these matters to light.

The first case involved Absolute Poker. After a thorough investigation carried out by the KGC and its agents, Gaming Associates, the KGC rendered its decision in this matter on January 11, 2008. This decision concluded that the cheating that took place was not initiated, nor did it benefit, Absolute Poker as a corporate entity, or its directors or principal ownership. The decision imposed a number of sanctions and conditions on Absolute Poker, including twenty-four specific directions for changes to its management and systems. The KGC was provided evidence that all players affected by the cheating that took place were fully reimbursed for their losses.

Shortly after its decision was rendered in the Absolute Poker matter, the KGC
first became aware of similar allegations of cheating involving individuals within Absolute Poker’s sister company: Ultimate Bet.

Over the past several months, the KGC has been closely involved in an in-depth investigation of the Ultimate Bet cheating allegations. Significant efforts have been expended to identify and correct the flaws in Ultimate Bet’s system that permitted the cheating to take place; to identify the individuals that were responsible for the cheating and to ensure that all affected players were fully reimbursed. Unfortunately, the KGC’s actions were not well communicated to the poker industry or public at large, creating an incorrect perception that the KGC was ‘doing nothing’.

The KGC’s investigation into the Ultimate Bet matter has yielded a number of key findings which, within the next several days, will enable the KGC to issue its decision on the appropriate steps to be taken.

It should be stressed that the KGC’s primary concern throughout both matters was to ensure that affected players were fully reimbursed and that corrective measures were implemented to prevent against any further incidents of cheating. Both of these objectives have been accomplished – as evidenced by the fact that the recent concerns that have been raised about the Absolute Poker and Ultimate Bet matters are not being driven by affected players.

For further information contact

Murray Marshall

Senior Advisor

Kahnawáke Gaming Commission

murray.marshall@mck.ca

Statement of PPA Chairman Senator Alfonse D’Amato in Response to Online Poker Cheating Scandals

07/22/2008 12:17 PM

7/22/2008 12:17:21 PM -

“The Poker Players Alliance (PPA) is the political and public policy voice for poker players in America. Central to our mission are advocacy efforts in Washington D.C. and around the country to protect poker players from misguided and vague laws and to establish licensed and regulated Internet poker in the U.S. To be clear, the PPA is not a regulatory body for poker players or the poker industry, nor do we seek to be. We are, however, compelled to speak out when our public policy mission is potentially undermined by actions which present Internet poker in a negative light.

“Trust is paramount in poker. Sadly, this foundation has been undercut by admissions from two well-known online poker companies, Absolute Poker and Ultimate Bet, that cheating has occurred on their poker sites. The Poker Players Alliance condemns any and all cheating in poker no matter the forum in which it is played. Because of the current legal uncertainties and the lack of federal regulation and oversight, it is especially troubling when cheating occurs in online poker. This has created an untenable atmosphere and has denied the proper means to investigate allegations, administer due process and then apply appropriate penalties for the wrongdoers. We urge these companies and their regulating authority, the Kahnawake Gaming Commission, to provide a full and transparent accounting of these breaches of the public trust to help lift the black cloud that has been placed over the industry.

“The recent cheating scandals underscore the need for U.S. licensing and regulation of online poker to help protect consumers. While even the most highly regulated industries are susceptible to fraud and abuse, regulation does provide assurances that when consumers are harmed they have recourse. Further, it is abundantly clear that regulation will also address other consumer concerns by successfully providing ways to bar access by children to gambling Web sites and providing the necessary services for problem gamblers.

“The federal government cannot continue to abdicate this basic responsibility to millions of its citizens who choose to play poker on the Internet. The attempt to enforce an outright prohibition of online poker is deeply flawed and unworkable, not to mention it invades upon the personal freedoms of law-abiding adults who wish to engage in a game of skill.

“Remaining consistent with our organization’s mission, we will continue our efforts on Capitol Hill to ensure lawmakers are well educated about the benefits of regulation to protect consumers and enable the rights of poker playing adults. These scandals will not and should not be the demise of a responsible government approach to Internet poker. Instead, this can be the pathway to understanding that regulation is the key to protecting citizens and the future of America’s card game.”

Professor Assails Inaccurate UIGEA Claim by Congressman Bachus

07/21/2008 03:16 PM

7/21/2008 3:16:34 PM -

WASHINGTON— Dr. Jeffrey L. Derevensky, a leading professor at McGill University, contends that Rep. Spencer Bachus (R-Ala.) incorrectly cited the university’s research on gambling addiction in arguing for the continued prohibition on Internet gambling. Derevensky in fact believes that the regulation of online gambling is an opportunity to put in place safeguards to combat problem and underage gambling.

In a mark up of the Payments System Protection Act (H.R. 5767) in the House Committee on Financial Services on June 25, 2008, Rep. Bachus, citing research at McGill, claimed that one-third of college students who gambled online attempted suicide.

“This assertion, which is reportedly based upon our empirical research, is not predicated upon any factual evidence,” responded Derevensky in an interview with the Safe and Secure Internet Gambling Initiative.

PokerStars Sunday Tournament Results (7-20-08)

07/21/2008 12:08 PM

7/21/2008 12:08:45 PM -

July 21, 2008

For the first time in a very long time, Every Sunday major on PokerStars finished without a deal. That meant the first place winners all walked away with some very big money. Take, for instance, SAM66 who won more than $200,000 for his win in the Sunday Million. More than 8,000 players signed up for this week's Sunday Million, proof that even in a regular week, the Sunday Million is the biggest weekly tournament on the planet.

Congratulations to all this week's winners. Here are the final table results for all the big Sunday tournaments.

PokerStars Sunday Million Final Table Results

1. SAM66 (Switzerland) $209,571.60
2. Shantaram (France) $141,718.50
3. MrMuck1976 (Norway) $95,337.90
4. rubenrtv (Netherlands) $77,301.00
5. pepperdiablo (United Kingdom) $60,123.00
6. my_emolument (United States) $42,945.00
7. moorten (Sweden) $30,061.50
8. Axinar (United States) $19,754.70
9. Cjh1224 (United States) $13,398.84

PokerStars Sunday Warm-Up Final Table Results

1. eisenhower1 (Sweden) $97,664.00
2. seberek (Greece) $69,760.00
3. hanji (Canada) $45,692.80
4. nukemaster1 (Canada) $34,880.00
5. AyeReady1966 (United Kingdom) $27,904.00
6. AA_Legend (United Kingdom) $20,928.00
7. bartleby666 (Germany) $14,998.40
8. ryanfitz05 (United States) $10,464.00
9. truls77 (Norway) $6,766.72

PokerStars Sunday Hundred Grand Final Table Results

1. ftb_1988 (United States) $23,826.01
2. SickLord66 (United States) $16,678.21
3. Havana03 (Germany) $11,913.01
4. MHysler (United States) $9,530.41
5. SvenOLDB (Germany) $7,147.81
6. ncav08 (United Kingdom) $4,765.21
7. NuKEr2k Russian Federation $3,573.91
8. SingleFileD (United States) $2,382.61
9. retros94 (France) $1,786.96

PokerStars $215 Weekly PL Omaha Final Table Results

1. Laph (Sweden) $5,566.00
2. PPfinest (Canada) $3,872.00
3. StarTeenGirl (Sweden) $2,940.30
4. mohamar (United States) $2,178.00
5. KrazyVoodoo Brazil $1,452.00
6. Jackal69 (United Kingdom) $1,210.00
7. MIRCEA123 Romania $968.00
8. MyNewHaircut (United States) $726.00
9. Faraday (United States) $605.00

PokerStars $215 PL Omaha Hi/Lo Final Table Results

1. pstarfish (United States) $6,164.00
2. topset1 (United States) $4,288.00
3. draajcito (Colombia) $3,256.20
4. awobball44 (United States) $2,412.00
5. thedonator (United States) $1,608.00
6. doublerubble (United States) $1,340.00
7. takitdown (United States) $1,072.00
8. Miklan300 (United States) $804.00
9. Yackem012 (United States) $670.00

PokerStars $215 FL Omaha Hi/Lo Final Table Results

1. 7CardRyon (United States) $7,182.50
2. t soprano (United States) $5,239.00
3. gaffel (Norway) $3,971.50
4. MissHerpes (United States) $3,042.00
5. schaddy (United States) $2,028.00
6. omahaking_13 (Canada) $1,690.00
7. Entropy xx (United States) $1,352.00
8. SamENole (United States) $1,014.00
9. simmsux (United States) $676.00

PokerStars $215 Weekly FL Hold'em Final Table Results

1. ozenc (Netherlands) $5,940.00
2. Perplexity (United States) $3,960.00
3. The Omaholic (United States) $2,376.00
4. TiltHappens (United States) $1,980.00
5. sagettarius (Hungary) $1,584.00
6. gboro780 (United States) $1,287.00
7. turataika Finland $1,089.00
8. geord918 (United Kingdom) $891.00
9. Barrbarian (United States) $693.00

PokerStars $215 Weekly Stud Hi/Lo Final Table Results

1. NYC TK (United States) $3,360.00
2. The Omaholic (United States) $2,240.00
3. somebody (United States) $1,568.00
4. tiburonbig (Peru) $1,120.00
5. FishList_net (United States) $896.00
6. thedonator (United States) $784.00
7. Memphie (United States) $672.00
8. domina33 (Slovak Republic) $560.00

PokerStars $215 Weekly HORSE Final Table Results

1. late_entry (United States) $13,300.00
2. Fovedu21 Netherlands $8,458.80
3. captaindoo (United States) $5,985.00
4. Yackem012 (United States) $4,256.00
5. grapenuts (United States) $3,298.40
6. RoyalCrusher (United States) $2,394.00
7. rockets23 (United States) $1,835.40
8. MrSmokey1 (United States) $1,330.00

PokerStars Sunday Second Chance Final Table Results

1. Taknapotin (United States) $57,766.00
2. uncledrkmeat (United States) $43,494.40
3. P0ker D0h (United States) $32,450.90
4. Rugieee (Germany) $23,786.00
5. voyager7o9 (United States) $16,990.00
6. v1nc Netherlands $13,592.00
7. Universe112 (United States) $10,194.00
8. mcatdog (United States) $6,796.00
9. Brezi26 (Czech Republic) $4,757.20

PokerStars Sunday $5,200 Freezeout

1. BrynKenney (United States) $45,000.00

PokerStars $215+R NLHE Final Table Results

1. likeitGOOD69 (United States) $58,784.00
2. FishOnTilt (United States) $40,347.20
3 . PURPLEPILS99 (Canada) $27,521.60
4. 4ofaKindBud (United States) $21,376.00
5. nathalie111 (United States) $16,032.00
6. s00tedj0kers (United States) $12,558.40
7. jclark9001 (United States) $9,619.20
8. dpeters17 (United States) $6,947.20
9. loluno123 (United States) $4,275.20

Ugly Unanswered Questions Prompt a Serious Downgrade of UB

07/18/2008 06:23 PM

7/18/2008 6:23:03 PM -

The biggest online poker cheating scandal ever exploded this week when evidence was leaked regarding even more “super accounts” at UB and implicating the former owner of Ultimate Bet, Russ Hamilton, as one of the individuals profiting from big money funneled out of these bogus accounts. The entire sad saga is outlined in this 2+2 thread entitled, “The UB Scandal Continues.” The online poker community is to be applauded for the tenacious detective work displayed throughout this episode, especially those who continue deeper into the mystery despite threats to their personal safety.

The depth and breadth of this scandal as well as the earlier one involving Absolute Poker tarnishes the image of legitimate poker sites and plays into the hands of powerful critics who characterize web poker as a festering online pit of internet vipers. As organizations, UB and AP violated the sacred trust players placed in them not just once, but multiple times over several years. It strains credibility to suggest that no one in management knew this was going on; quite simply, they had to.

Even now it is impossible to know just who exactly owns AP/UB, who profited from the scam and continues to profit from legitimate rake generated at both sites, the number of games that were played involving users who could see hole cards that went undetected, and whether or not they have other means at their disposal that they can employ to affect the outcome of games for their singular benefit.

No one can be certain after what has come out already and so, due to this lack of trust, PokerRoomReview cannot recommend either of these sites to potential players.

PokerStars Players Dominate the 2008 WSOP

07/18/2008 01:04 PM

7/18/2008 1:04:57 PM -

Of the 6,844 skilled players who entered the 2008 WSOP Main Event, only nine made it to the final table. Among those players are the so-called PokerStars Six, a tough combination of PokerStars players and qualifiers who will be part of history in November. Here is a look at the PokerStars players who will return to compete for poker's biggest prize:

Dennis Phillips (26,295,000)-- is an accountant from St. Louis, Missouri.

Ivan Demidov (24,400,000) -- is a 27-year-old online semi-pro from Moscow Russia.

Peter Eastgate -- (18,375,000) -- is a 22-year-old PokerStars player and is one of the top five online pros in Denmark.

Ylon Schwartz -- (12,525,000) -- A native New Yorker, born in Manhattan and now living in Brooklyn -- Ylon is a chess whizz and a poker player with 11 previous cashes in World Series events dating back to 2005.

Darus Suharto -- (12,520,000) -- is an accountant from Toronto, Canada.

David “Chino” Rheem -- (10,230,000)-- is a 28-year-old from Miami, Florida, who has enjoyed a string of tournament successes recently including five WSOP cashes in the last three years.

In all, PokerStars players cashed in for more than $9 million combined in the Main Event. The PokerStars Six will have their chance at a total of another $32.6 million that's up for grabs in November.

2008 WSOP Final Table Set

07/15/2008 11:15 AM

7/15/2008 11:15:52 AM -

In the wee hours Tuesday morning, Dean Hamrick was eliminated in 10th spot and suddenly the 2008 World Series of Poker (WSOP) Main Event was put on pause. The remaining nine players will now have to wait until November 9 to return to the Rio in Las Vegas to continue chasing down the World Championship and the first place prize of $9.1 million.

The finalists are a diverse group of players that include no fewer than four countries including a Russian, a Dane, two Canadians and five Americans. There’s also a chess player, a salesmen, a college student as well the usual collection of professional poker players.

But it’s the salesman, Dennis Phillips who will carry the chip lead for 117 days until they resume play. Phillips, who plays tournaments at his local casino 3-4 nights per week, ended the night with 26,295,000 which is good enough to put him 1,895,000 ahead of Russia’s, Ivan Demidov who finished with 24,400,000.

Here are the official chip counts and seating assignments for the November event:

Seat 1: Dennis Phillips - 26,295,000
Seat 2: Craig Marquis - 10,210,000
Seat 3: Ylon Schwartz - 12,525,000
Seat 4: Scott Montgomery - 19,690,000
Seat 5: Darus Suharto - 12,520,000
Seat 6: Chino Rheem - 10,230,000
Seat 7: Ivan Demidov - 24,400,000
Seat 8: Kelly Kim - 2,620,000
Seat 9: Peter Eastgate - 18,375,000

So much for the year of the pro.

Tiffany Michelle, the obvious crowd favorite, exited the Main Event in 17th place, the deepest a woman has finished since the year 2000, earning $334,534 for her admirable efforts.

Maria Ho Passes Torch to Tiffany Michelle

07/14/2008 05:32 PM

7/14/2008 5:32:17 PM -

It is the end of an era and the dawn of a new age. Earlier today Tiffany Michelle became the "Last Woman Standing at the WSOP," meaning that Maria Ho has passed on her torch.

In a touching interview/ceremony, Tiffany and Maria reversed roles and Maria interviewed Tiffany much like Tiffany had done for Maria almost exactly a year ago. The two good friends symbolically transferred the crown and Tiffany spoke of the emotions of the moment and how she was so happy to have proven herself in the poker world as much more than a pretty face. After the interview, we spoke to Maria who told us that if she had to give up her title, then she could not have picked a better person to take it from her.

Maria finished 38th last year to cash out for about $237k. With 35 players remaining in the Main Event, Tiffany has already run deeper than Maria but with the adjusted payouts for this year's event, she hasn't out-earned her as of yet. Remaining players will walk with at least $193k and Tiffany won't reach Maria's payout level until 27th place. Nothing like a little friendly competition to spur ambition.

Phil Hellmuth Eliminated From 2008 WSOP Main Event

07/14/2008 11:52 AM

7/14/2008 11:52:11 AM -

Poker pro Phil Hellmuth busted out in 45th place when his Ah-Qh failed to make any headway against the pocket Jacks of Andrew Rosskamm, despite a series of draws after the turn. He makes $154,400 for his finish and extends his record of WSOP cashes to 68.

The current chip leader is Brandon Cantu, who has crossed the 10 million chip mark, followed closely by Albert Kim. Our favorite, Tiffany Michelle, is sitting with about 6.8 million and is in sixth place overall. Mike "The Mouth" Matusow is still as loud as ever and sitting on a stack of 3.58 million chips. Holding on as a short stack is online poker pro Garrett "GBecks" Beckman with 960k.