Gary Kaplan
Encyclopedia
Gary Kaplan was the founder
of BetonSports
.com (BoS), an online sports betting
company which between 2002 and 2004 took in wagers amounting to nearly $4 billion, 98 percent of which came from the United States
. In 2004 BoS went public on the London Stock Exchange
.
On July 17, 2006 the United States Attorney
for the Eastern District of Missouri
office, citing the Federal Wire Act
of 1961, which prohibits the use of a wire communication facility to transmit bets across state or foreign borders, issued a 22 count indictment for Gary Kaplan and eight others, including David Carruthers
. Other violations noted in the indictment included Racketeer Influenced and Corrupt Organizations Act, interstate transportation of gambling paraphernalia, interference with the administration of Internal Revenue Service laws and tax evasion. Nine months later he was arrested in the Dominican Republic
and Interpol
transferred him to U.S. custody.
In April 2009, Carruthers reached a plea bargain
with prosecutors in exchange for a reduced sentence. Carruthers has agreed to cooperate with authorities and testify against Kaplan and others still facing charges.
In August 2009, Kaplan reached a plea deal with authorities. He has been sentenced to 4 years in jail
He is married and father of two children.
Entrepreneur
An entrepreneur is an owner or manager of a business enterprise who makes money through risk and initiative.The term was originally a loanword from French and was first defined by the Irish-French economist Richard Cantillon. Entrepreneur in English is a term applied to a person who is willing to...
of BetonSports
BetonSports
BetonSports plc is a British online gambling company founded by Gary Kaplan in 1995. The company was one of the biggest players in the United States online gaming market, drawing in several billion US dollars in wagers in the early 2000s...
.com (BoS), an online sports betting
Sports betting
Sports betting is the activity of predicting sports results and placing a wager on the outcome.-United States of America:Aside from simple wagers such as betting a friend that one's favorite baseball team will win its division or buying a football "square" for the Super Bowl, sports betting is...
company which between 2002 and 2004 took in wagers amounting to nearly $4 billion, 98 percent of which came from the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
. In 2004 BoS went public on the London Stock Exchange
London Stock Exchange
The London Stock Exchange is a stock exchange located in the City of London within the United Kingdom. , the Exchange had a market capitalisation of US$3.7495 trillion, making it the fourth-largest stock exchange in the world by this measurement...
.
On July 17, 2006 the United States Attorney
United States Attorney
United States Attorneys represent the United States federal government in United States district court and United States court of appeals. There are 93 U.S. Attorneys stationed throughout the United States, Puerto Rico, the U.S. Virgin Islands, Guam, and the Northern Mariana Islands...
for the Eastern District of Missouri
United States District Court for the Eastern District of Missouri
The United States District Court for the Eastern District of Missouri is a trial level federal district court based in St. Louis, Missouri, with jurisdiction over fifty counties in the eastern half of Missouri. The court is one of ninety-four district-level courts which make up the first tier of...
office, citing the Federal Wire Act
Federal Wire Act
The Interstate Wire Act of 1961, often called the Federal Wire Act, is a United States federal law prohibiting the operation of certain types of betting businesses in the United States. It begins with the text:...
of 1961, which prohibits the use of a wire communication facility to transmit bets across state or foreign borders, issued a 22 count indictment for Gary Kaplan and eight others, including David Carruthers
David Carruthers
David Carruthers was the CEO and a board member of online gambling company BETonSPORTS plc. He served as CEO from July 2000 until July 24, 2006...
. Other violations noted in the indictment included Racketeer Influenced and Corrupt Organizations Act, interstate transportation of gambling paraphernalia, interference with the administration of Internal Revenue Service laws and tax evasion. Nine months later he was arrested in the Dominican Republic
Dominican Republic
The Dominican Republic is a nation on the island of La Hispaniola, part of the Greater Antilles archipelago in the Caribbean region. The western third of the island is occupied by the nation of Haiti, making Hispaniola one of two Caribbean islands that are shared by two countries...
and Interpol
Interpol
Interpol, whose full name is the International Criminal Police Organization – INTERPOL, is an organization facilitating international police cooperation...
transferred him to U.S. custody.
In April 2009, Carruthers reached a plea bargain
Plea bargain
A plea bargain is an agreement in a criminal case whereby the prosecutor offers the defendant the opportunity to plead guilty, usually to a lesser charge or to the original criminal charge with a recommendation of a lighter than the maximum sentence.A plea bargain allows criminal defendants to...
with prosecutors in exchange for a reduced sentence. Carruthers has agreed to cooperate with authorities and testify against Kaplan and others still facing charges.
In August 2009, Kaplan reached a plea deal with authorities. He has been sentenced to 4 years in jail
He is married and father of two children.
See also
- David CarruthersDavid CarruthersDavid Carruthers was the CEO and a board member of online gambling company BETonSPORTS plc. He served as CEO from July 2000 until July 24, 2006...
- Jay CohenJay CohenJay Cohen is the cofounder and CEO of World Sports Exchange , an online gambling company from 1996 until July 24, 2000, when he was the first United States citizen to be convicted in US Federal Court for violation of the Federal Wire Act for operating an online gambling company from a jurisdiction...
- Peter DicksPeter DicksPeter F. Dicks is a London-based investment manager and venture capitalist. He was the co-founder of Abingworth plc, one of the earlier venture capital funds in Europe. He is also the former chairman of Sportingbet PLC, one of the world's largest sportsbooks.Early in his career, Dicks was a...
- Neteller
- Nigel PayneNigel PayneNigel Payne is the former Group Chief Executive and current Executive Director of Sportingbet Plc, which operates a network of bookmaking websites, as well as the Paradise Poker online poker room....
- Safe Port ActSAFE Port ActThe Security and Accountability For Every Port Act of 2006 was an Act of Congress in the United States covering port security and to which an online gambling measure was added at the last moment...