Amaya Gaming Online Gambling CEO Charged

Published Wednesday, March 23, 2016 -
Amaya Gaming Online Gambling CEO Charged

The news today that the CEO of the Montreal based online gambling firm Amaya Gaming has been charged with stock manipulation comes as shock to stock holders involved in the industry. Amaya’s CEO David Baazov is facing five charges of insider trading, and communicating privileged information. The executive is not the only individual involved with this issue. Benjamin Ahdoot is also facing four charges of insider trading and manipulating stock prices. Yoel Altman has six charges of insider trading and manipulating stock prices against him. Diocles Capital Inc has five charges of insider trading as well as Sababa Consulting Inc and a numbered company in Ontario has three charges of insider trading levied against them.

Quebec's Financial Securities Regulator, the AMF has confirmed that a total of 23 charges were imposed relating to the manipulation of stock prices between December 2013 and December 2014. The agency regulator executed search warrants and obtained orders to stop stock trading against 13 extra people with connections to Amaya Gaming.

The Quebec's Financial Securities Regulator stated last December that Amaya Gaming was under investigation because of the June 2015 acquisition of Poker Stars for $4.9 billion USD. The stock price for Amaya lost 18 percent after the announcement and the trend to a lower share price has been continuing since November of 2015. Manulife Financial and investment banker Canaccord Genuity were also raided by the AMF authorities. Canaccord served as a key advisor to the Oldford Group, the parent frim of the previous owners of PokerStars.

It was announced early this year that CEO David Baazov and a number of other employees of  the firm were planning to make a formal takeover bid to acquire a controlling interest in Amaya Gaming for $21 per share. Baazov said in a statement that he is "highly confident I will be found innocent of all charges." 




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