Online Poker Legal Update – Ira Rubin Enters Plea Bargain and Former UB Owner Sued

Black Friday related news was among the top headlines this week in the poker world. Former online poker payment processor Ira Rubin entered a plea bargain in federal court on Tuesday and later in the day, we also found out that UB’s former company Excapsa Inc. is also facing a lawsuit, but in connection with a different issue.

On Tuesday, Ira Rubin entered a guilty plea on three charges of conspiracy stemming from the Black Friday indictments. Rubin was facing up to 55 years in prison on charges that included conspiracy to commit bank and wire fraud, running an illegal gambling business, and UIGEA violations.

As part of the plea agreement that Rubin entered into, he will face from 18 to 24 months in a federal prison. Rubin was arrested back in April in Guatemala when trying to escape to Thailand. He has remained in jail since that time. Rubin was a payment processor at one time or another for PokerStars, Full Tilt Poker, and Absolute Poker. All three sites were also indicted on April 15th.

The other big news on Tuesday centered around a civil suit filed on behalf of eight poker players against Excapa Inc, the former owners of Ultimate Bet which is now known as UB. The lawsuit is in connection with the superuser scandal that rocked the poker world in 2008.

The lawsuit contends that the company knowingly and willfully created a security flaw and then exploited it to steal more than $20 Million from players. The lawsuit names Brad Booth, Dustin Woolf, Tom Koral and five others as main defendants and they are claiming $2 Million in damages.

Charges levied against Excapsa include violations of the RICO act, fraud, negligence, conversion, conspiracy to violate the RICO act, intentional infliction of emotional distress, unfair business practices, and interference with prospective economic advantage.

The lawsuit is also seeking attorneys fees and $10 Million in punitive damages.

Popularity: 1% [?]

Related posts:

• Ira Rubin Arrested in Connection with Black Friday Online Poker Indictments Another arrest has been made in connection with the Black Friday indictments from April 15th.  Ira Rubin, a payment processor for each of the major online poker sites in the indictment, was arrested on Monday April 25th in Guatamala. Rubin...
• Ryan Lang Pleads Guilty to Black Friday Conspiracy Charges Tuesday proved a banner day in the fight for legalized online poker in the United States, but unfortunately for the wrong reason. Earlier in the day, Bodog and its founder Calvin Ayre were among those indicted by the United States...
• Black Friday Defendants Motion to Dismiss Denied by Federal Judge John Campos and Chad Elie attempted to have their Black Friday charges dismissed once again this past Monday in Federal court. Lawyers for the pair submitted their arguments related to the recent Department of Justice memo that claims that the...
• New Black Friday Online Poker Processor Uncovered by FTC Ten months after the initial Black Friday indictment, there has been yet another online payment processor officially revealed.  However, the source of the discovery was the Federal Trade Commission and not the US Department of Justice.  In a report recently...
• US Legal Developments – Mississippi and Iowa Poker Bills Fails and Full Tilt Poker Deal May Be Reached Next Week Several legal developments have occurred in the last week in relation to online poker legalization in the United States. Bills in both Mississippi and Iowa both appear to be dead and the reported deal between Full Tilt Poker and Groupe...