Authorities again crack down on “illegal” gambling accounts under UIGEA pretext

As the time for UIGEA to take effect is coming near and financial institutions are not authorized yet to address “illegal” gambling activities the role is successfully performed by the authorities themselves. Two weeks ago on September 4, federal prosecutors took actions against the online gambling community.

The feds seized three bank accounts on the grounds there was sufficient evidence to take the money under the UIGEA and money laundering pretext. The funds, like the seized poker accounts from over the summer months, held winnings pay outs.

Seized accounts were held: one with Citi and two with the Bank of America. According to the statement of the officials the funds were forfeitable due to the nature of the funds being associated with illegal gambling activities and money laundering transactions. The District of Maryland was responsible for the seizures, signed by the Honorable Paul W. Grimm.

An excess of $30M had been seized by the federal government in the last two months from poker winnings, citing the same reasons.