US Goes After Canadian
August 10, 2009
The Unlawful Internet Gambling Enforcement Act of 26 was part of a law that was passed under the old administration that was meant to put an end to online gambling without specifically making it illegal. The law states that it is illegal to process any payment from an online gambling site to any US citizen. The government claimed that it was a way of stopping money from being laundered and it was a way to combat terrorism.
Well, they have hooked a big fish this time, and he is Canadian. A federal grand jury has indicted Douglas Rennick, a 34 year old Canadian, with “laundering” as much as $565 million over the past two years through online gambling. They say that he has used a series of online companies to do it.
They say that he told the financial institutions that they were rebate checks, refund checks, etc. – but did not tell them they were for online gambling. Instead they were used for processing payments through various online gambling sites to clients that were still playing.
Rennick could be facing a max 30 year prison sentence if he is found guilty of online gambling/money laundering. The Department of Justice has been cracking down on those participating in online gambling while legislation is being pushed through to try and make it legal again. Knowing that it is a matter of time before online gambling is going to be legal could make things easier for Rennick when it comes sentencing time.
