The Sporting News Was Not Prosecuted
Published: Tuesday, March 07, 2006 Online-Casinos.com
THE SPORTING NEWS WAS NOT PROSECUTED
Publication paid fine to DoJ to pre-empt sales problems
Sports911 carried an interesting sequel report this week on the $7 million
'settlement' that US publication The Sporting News paid earlier this
year after it stopped taking advertisements from online gambling companies as
a consequence of Department of Justice intimidatory letters.
Sources close to 911 have apparently informed publisher Chris Costigan that there
was never a federal case against the Sporting News.
"What transpired is that the owner was concerned about the potential liability
that its past may have on the sale price of Sporting News," stated the source,
who wished to remain anonymous.
"So the Sporting News went to the DoJ and asked them what it would take to
remove this potential liability from their books. They asked how much. The settlement
that was reached was not a result of the DOJ pursuing the publishing group, instead
it was simply some pre-sale manoeuvering."
In the wake of the settlement the Casino City First Amendment challenge to the
DoJ was discontinued. That action sought a declaratory judgement on the actions
taken by authorities in warning US media that accepting online gambling advertisement
might be illegal.
