Online payment seizure exposes hypocrisy of US gambling ban

New revelations regarding a historical online gambling payment processing seizure further illustrate the hypocrisy behind US authorities’ claims to be looking out for the nation’s online gamblers.

On Sunday, the Seattle Post-Intelligencer reported that a Seattle-based Secret Service taskforce had seized $3.4m from Thames Point Management, an intermediary between payment processors working with internationally licensed online gambling sites and their customers. The seizure resulted from a 2011 investigation into gambling sites serving Washington state punters.

The investigation involved Seattle Police Department detectives opening accounts with a number of sports betting sites, including Bodog.com and BetUs.com. The investigation, which also involved the US Attorney’s Office for Western Washington, tracked the movement of money within the nexus of gambling sites, payment processors and bettors.

Investigators confronted seven Seattle-area gamblers who’d received winnings from Bodog and BetUS. The gamblers confirmed having received their winnings via Thames Point. Investigators are now seeking court permission to keep another major cache of cash seized from a separate but related processing firm, Axia FX. Neither Thames Point nor Axia is facing criminal charges.