More Online Casino Bank Accounts in Danger Under Maryland Warrant
The use of money laundering statutes against online casinos seeking to pay their customers continues as US investigators in Maryland have filed for forfeiture of three more bank accounts owned by a payment processing company. According to the Baltimore City Paper, authorities received seizure warrants for accounts owned by HMD, Incorporated on September 4th.The warrants were filed against "“proceeds of an illegal gambling business" and stated the accounts involved handled money laundering transactions. HMD officials were not available for comment.
A US magistrate judge for Maryland had previously issued three warrants for seizure of Bank of America accounts in Anaheim, California, all owned by Electracash, Inc., on the same charges of money laundering involving the proceeds of illegal gambling. Judge James K. Bredar issued the orders on July 20th.
The affidavits filed to receive the warrants remain under seal in both the three new cases and the three filed in July. The Electracash warrants allow for the seal to be removed either by the judge or on January 20th, whichever occurs first.
These seizures are in addition to the much-publicized seizure of over $30 million by US agents in June and July, following the issuing of warrants through the Southern District of New York. The New York warrants were ordered unsealed after a court case led to a judge's ruling that no compelling reason for the sealing existed.
Interestingly, while a handful of states have laws against Internet gambling and online casinos, neither New York nor Maryland is in that group. New York allows computer wagering, and Maryland permits Internet betting as well. A recent court decision found there is no federal law against online gambling other than sports betting, but only laws to assist in enforcing state laws, raising the question as to what illegal gambling occurred to justify the warrants.
