Bodog Says Payments Are A-OK

Filed in archive Internet Poker on August 4, 2008

image from toptexasholdem.com

Bodog recently has had some issues with their payment processors getting tagged by the Feds. Calvin Ayre the former CEO/Owner of Bodog, issued several virtual middle fingers at the DOJ to come catch him over the years, and with a recent seizure of $24 million in Bodog funds, it seems like they took him up on the challenge according to reports floating on the web.

Iggy to the rescue.

Over at Guinness and Poker, a letter from Bodog explaining there has been no issues with the payment processor and the story floating around has only parts of it correct. Here's the letter below:

Good afternoon,

An article was recently released on Forbes.com that creates several misimpression's that the Morris Mohawk Gaming Group feels compelled to clarify for our customers.

As most of our customers already know, all operators outsource payment processing functions to third parties and these payment processors are subject to regulatory constraints wherever they operate, and, occasionally in the US, are subject to legal action because of the uncertain legal environment there.

However, the seizure of funds from these US payment processors was mischaracterized in this article, which refers to two specific legal cases against US processors. Rightly or wrongly, the article does not make a clear distinction between these cases, which, as a result, paints a misleading picture.

The facts are these: the first of these cases - relating to a seizure of funds from a processor known as JBL Services - happened some time ago and has absolutely nothing to do with the current payment processing challenges being experienced in the US. The constraints being experienced by payment processors in the US are universal in that region and not specific to any particular processor or site. Also, note that not one single player failed to get paid when this processor was disrupted.

The second case refers to a payment processor known as Zippayments.com and seizure of funds from this processor's bank accounts in Nevada. The article falsely implies - but notably does not go so far as to state - that $9.9M seized from Zippayment's Nevada bank accounts were funds on account for "Bodog". This is simply false.

Processing partners with whom the Morris Mohawk Gaming Group does business are sophisticated organizations that are perfectly clear as to the actual facts of these cases and their contexts. They are unfazed by such media hype and Morris Mohawk wishes to ensure that its customers are similarly informed. Customer deposits are safe and every player has and will always be paid.

Alwyn Morris
C.E.O.
Morris Mohawk Gaming Group