Bwin.party Online Gambling Pinched in New Jersey

Published Monday, October 26, 2015 - Online-Casinos.com
Bwin.party Online Gambling Pinched in New Jersey

The trail to riches in New Jersey’s online gambling market is not an easy one to navigate. The introduction of online betting in the Garden State has seen many ups and downs. The operators who have been granted access to the lucrative US online gambling market have been selected because of their impeccable reputation. Bwin.Party Digital Entertainment is one of the firms that has recently been doing business in New Jersey.

The company promised never to disclose details of the application to operate an online gambling web site back in 2013. Now however the company and three terrestrial casinos have been fined for breaking that promise and “violating the terms of a Divestiture Agreement”

The New Jersey Division of Gaming Enforcement has issued a $10,000 USD fine to bwin.party  and the three other violating land based casino operators. The licensing agreement was complicated by a request from the New Jersey Division of Gaming Enforcement that two major shareholders in bwin.party digital entertainment a Mr. and Mrs. James DeLeon, be divested of their ownership in the company. They were the founders of PartyPoker, and the terms of the licensing agreement was set up to sever links with the bwin.party. The pair collected $46 million for their 6% stake in the online gambling operator after an early sell off of their shares at a discounted price.  

Details of the fine, were revealed by New Jersey Division of Gaming Enforcement  director David Rebuck who commented,  “The division filed a complaint against bwin.party alleging a violation of the terms of the divestiture agreement for failing to provide notification to the division, which could increase the duration of the disposal period and have the unintended consequences of affecting the independence of the trustees in the performance of their duties.”

This is an example of how complex and difficult operations remain in New Jersey’s online gambling market.

 

Related news

Return to Latest News