Responding to allegations from the U.S. Department of Justice that Full Tilt Poker proprietors operated a global Ponzi scheme, attorneys of the online poker emporium responded with the legal equivalent of “nu-uh!”
An attorney for the organization tells the The Wall Street Journal:
“While the government has obviously taken issue with the underlying activities of FTP, under any reasonable interpretation, the world-wide operations of the online cardroom are not a so-called Ponzi scheme.”
The company likens the nature of its financial problems to those of a poorly-managed bank rather than an investment scam. Said another attorney who represents the company in other litigation, Full Tilt is no Ponzi scheme because it doesn’t include an investment vehicle or expected rate of return. The attorney says the company’s funds were “maybe” mismanaged.
According to the government, Full Tilt Poker — whose assets have been frozen — owes American poker players $160 million.
Poker Site Fires Back at U.S. [The Wall Street Journal]