Sportingbet US arrest

The heat is on for gaming executives in the US after Peter Dicks, chairman of Sportingbet, was arrested in New York after arriving on a flight from the UK.

The arrest warrant was issued by the state of Louisiana and may lead to charges of gambling by computer, which is illegal in America under the 1961 Interstate Wire Act.

Following Dicks’ detention, shares in Sportingbet, which owns Paradise Poker, were suspended on the London Stock Exchange, and when trading reopened on the shares their value took a 40% nosedive.

The move is proof that US authorites are coming down hard on internet gambling companies, and it follows the arrest of Betonsports’ chief David Carruthers, who was detained on racketeering charges at Dallas airport in July.

It is thought that Dicks was visiting the US in connection with the announcement that Sportingbet was in talks with World Gaming about a potential takeover.

It was also confirmed by US officials that other warrants have been issued in relation to the case, but it is not clear if other companies are involved.

The news has effected the share prices of all the big players, with PartyGaming and 888 also recording significant losses.

It is gloomy news for the sector, and gaming executives are being strongly advised by analysts not to travel to the US.

It has even been suggested on the PokerPlayer forum that players with Paradise accounts might want to think about getting their money out.

Sportingbet has more than 2.5 million customers signed and an annual turnover of more than $1.2bn