AGCC in Talks with FTP

July 4, 2011 - 6:07 AM EDT
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The Alderney Gambling Control Commission has released a new statement concerning Full Tilt Poker, stating that it is in talks “with its licensees trading as Full Tilt Poker and a third party concerning the prospective refinancing of Full Tilt Poker.”

The statement provides little detail. It describes the negotiations as “at an early stage,” but does not provide a timeline. Though it mentions a third party, it does not even say explicitly that this third party is a prospective investor, and it does not name it. The characterization of the talks as “concerning the prospective refinancing of Full Tilt Poker” seems to confirm what Subject: Poker has been hearing: that the poker site is in talks with prospective investors.

The commission suspended Full Tilt’s licenses Wednesday.1 Afterwards, players were unable to connect to the poker site using the client software, and Full Tilt’s website reported that its system was “down for maintenance.” Nearly five days after the license was suspended, the poker site is still down. A hearing was scheduled for July 26th in London, though Full Tilt has the right to appeal the suspension and possibly get its license back faster under AGCC regulations. Though Alderney has yet to explain its actions, this latest statement seems to confirm the natural assumption that the AGCC suspended Full Tilt’s license because the poker site was failing to repay its customers.

Since Wednesday, there has been a barrage of news from the poker site: Subject: Poker reported on Thursday that Full Tilt was considering moving its operations to the Kahnawake Gaming Commission, and then on Thursday, the KGC released a statement expressing reservations about this plan. The Los Angeles Times reported Thursday that Full Tilt had been sold to “European investors,” but the Wall Street Journal said, ”the deal is still tentative and isn’t expected to be closed for at least three weeks.” On Friday, we learned that Phil Ivey had withdrawn his lawsuit against Tiltware, one of the main companies behind Full Tilt.

The AGCC and the KGC are not the only regulators that are struggling with Full Tilt’s current situation. The French regulator, Autorité de Régulation des Jeux En Ligne (which regulates FullTiltPoker.fr, the French version of Full Tilt Poker), plans to hold a meeting today to discuss the current situation.

The terse AGCC statement went on to dispel a rumor:

Contrary to current reports circulating in the media, AGCC has not authorised any statement by legal counsel in this regard and has no knowledge of the comments attributed by the editor of Gambling City.net [sic] to a Mr. Werner Bers, of whom we are otherwise unaware, and disputes the correctness of his statement.

This statement refers to an article published on GamblingCity.net in which Mr. Bers reportedly said that the AGCC revoked Full Tilt’s licenses because the poker site’s operations in the US were illegal, and not because of Full Tilt’s failure to pay players in a timely manner. Subject: Poker again cautions its readers to be skeptical of all news, including news published on this site.

Subject: Poker will of course continue following this story.

Edited on 7/4/2011 6:13 AM EDT: Many minor edits
Edited on 7/4/2011 6:22 AM EDT: Added the last sentences of the second and third paragraphs.
Edited on 7/4/2011 6:28 AM EDT: Fixed formatting.
Edited on 7/5/2011 5:35 AM EDT: Changed the erroneous statement “unable to connect to the client software” to “unable to connect to the poker site using the client software.”

Footnotes

  1. The Alderney Gaming Control Commission licensed four companies related to Full Tilt Poker: Vantage Ltd, Oxalic Ltd, Filco Ltd, and Orinic Ltd. All of their licenses were suspended.

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4 Responses to AGCC in Talks with FTP

  1. Ryan
    July 4, 2011 at 4:16 PM EDT

    Update: Arjel suspends FTP’s French License.

    SP staff, what are your personal thoughts or opinions (if any) on this?

    • Noah Stephens-Davidowitz
      July 4, 2011 at 4:37 PM EDT

      Hi Ryan,
      We just published an article about that.

  2. Rakeback Reviewer
    July 5, 2011 at 9:22 AM EDT

    “the KGC released a statement expressing reservations about this plan”

    I hope the KGC didn’t re-neg on any promises to Full Tilt, because that would make them… uh, wait, never mind.

  3. Philip Quarles
    July 5, 2011 at 1:48 PM EDT

    The coat of arms of Alderney: Vert, a lion rampant or, wearing a crown and holding a marijuana leaf.

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