US Online Gambling Operator First To Be Convicted

Gambling News - February 11th, 2010 - Written By Glen

Hosting or operating an online gambling business in the United States is illegal. While players are exempt, those in charge of the business are held liable under federal law. The first conviction against an American has been enacted, without ever having to go to trial.

Michael V Badalucco, 26, was convicted for his involvement in an online sportsbook, one of the major three types of USA Online Gambling sites. His now defunct site, www.best24b.com, had been taking wagers from Americans by channeling phone calls into Costa Rica.

Badalucco had been convicted after pleading guilty.

Since Badalucco plead guilty, it is likely that he will face under 12 months in prison, as his bargain required only a maximum of 24 months in prison.

The case had been a major cause of concern for gamblers because of a judge's unscrupulous actions during the case. Several people had been jailed, though they had not broken any law - they had simply refused to testify. Some lawyers argue that the judge had unlawfully imprisoned these citizens.

Though this is the first conviction in what could be a longer chain, Badalucco has been granted immunity from having to testify against possible accomplices. Since the toll free number had been both routed through Arizona and Missouri, it is possible that more Americans had been involved.