The Unlawful Internet Gambling Act of 2006 shook up the online gambling world as the US entrenched itself against the practice. The anti online gambling laws resulted in the Black Friday poker scandal that suspended Full Tilt Poker for nearly two years, as well as charges against online gambling payment processors.
One of those processors is Neteller, an e money service that was expected to comply with the 2006 law. But Neteller admitted to operating “in the U.S. as an unlicensed money transmitting business” after the law was passed eight years ago. The firm was also forced to return $94 million to American poker players who used the e money service following the change in law.
Americans are receiving reimbursements from Full Tilt Poker to settle the final chapter of the Black Friday poker scandal. As a result, the violations of the UIGA are largely being put to bed, but Neteller may once again operate within US jurisdiction – this time as a legal entity.
According to reports, the parent company of Neteller, Optimal Payments Plc, is negotiating the e money service’s reentry under federal and state jurisdiction. Optimal is an active institution within Nevada and New Jersey, two of the three states with legalized online gambling, and intends to relaunch Neteller within these markets.
Joel Leonoff, CEO of Optimal, says Neteller has many new products that will engage with new players.
“With our US financial institution sponsor, we are leveraging Neteller’s flexible deposit and payment options and with our expertise, resources, and management are offering something truly unique in the US.”