Published: Friday, March 25, 2005 Online-Casinos.com
TENSION REPORTED BETWEEN PARTY POKER AND POKER NOW
A row over rake rebates
Online poker fora were full of comment this week on what looks like a clash over rake rebates to players where relative newcomer and Party Poker skin, Poker Now (they opened in October last year) are at odds.
PokerNow is thought to be unique among Party Poker skins because it offers the same multi table tournaments as Party Poker itself, to which the other skins do not have access.
Online poker expert, Pokeraddict tells us that PokerNow's marketing was apparently geared towards rake rebates, competing with other skins by paying the affiliates 25 percent of rake back at first, although it is understood that in the end some were getting more then that.
These affiliates kicked back a sizeable chunk of this reward to the players they had signed up. Unfortunately for them, Party Poker strictly forbids any marketing practice that lures their players away. Offering players receiving zero rake back 25 percent or more back through affiliates more than likely falls into this "luring" category, and as Party's parent iGlobal Media does the banking it was possible to read the substantial player to player transfers that happened after affiliate payday as an indication of what was going on.
Sources claim that Party Poker lowered the boom on Poker Now by witholding their February payments whilst the entire system was subjected to a detailed inspection. This left Poker Now in an invidious position vis-a-vis payment to its affiliates and sent shock waves through the poker community, although it is believed that some affiliates paid their players the rake back rebates out of their own pockets.
Reports indicate that Eurobet, another popular rake rebate skin on Party Poker has seemingly been unaffected because it banks the players itself and Party Poker therefore does not have access to the database.
Importantly, the money in players' gambling accounts is not in danger as these funds are not held by PokerNow but by iGlobal. This money is as safe as money in any player's account on Party Poker or Empire Poker.
PokerNow has apparently had a previous affiliate dispute when one of their first affiliates skipped out on a number of payments and promises under the now notorious"SHARK" bonus code, which promised rewarding kickbacks and DVD's. There were massive sign ups and some people still remain unpaid with most never receiving the promised DVD's.
Party Now has acknowledged the dispute and makes the following comment:
"Discussions with PartyPoker are underway and within a few more weeks we will be able to clarify any ambiguities associated with acceptable marketing promotions by affiliates. During these discussions PokerNow would still request affiliates not to offer rake back deals. We are happy to let you know we are putting a plan into place to pay 100 percent of all monies owed, including February. This plan will be unveiled in approximately 3-4 weeks."
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