The Sunday Times July 30, 2006
Betting firm is linked to US Mafia kingpin
Dominic Rushe, New York
EMBATTLED online bookmaker Betonsports once shared the same address, technical support and solicitor as a company linked to New York's notorious Bonanno crime family.
The company, Safe Deposit Sports (SDS), was part of an illegal gambling ring that netted millions for the Bonannos, one of New York's five Mafia families, according to US prosecutors. SDS shared an address, technical support and a solicitor based in Leamington Spa, Warwickshire, with the British firm.
SDS was based in Costa Rica, home of Betonsports' fugitive founder, Gary Kaplan. Gambling sources believe the US authorities' investigations into SDS and other companies using Costa Rican-based firms to circumvent US laws may have triggered the prosecution of Betonsports.
In May 2005 36 people linked to SDS were indicted by the US authorities, charged with running an illegal gambling operation that netted $360m (£193m) over more than two years.
The indictment said Bonanno acting boss Anthony Urso, also known as Tony Green, allegedly received an unspecified monthly "tribute" from the gambling ring for protection.
Urso ran one of the most notorious crime gangs in America. In September last year he received a 20-year jail sentence for murder and racketeering.
Much of the money collected by SDS went through Costa Rica, home to a large number of online betting groups that target America, where online sports betting is largely
illegal.
Betonsports is quoted in London, but has its operations in Costa Rica. David Carruthers, chief executive of the British company, was arrested by the FBI earlier this month when he changed planes at Dallas on his way from the UK to Costa Rica. Kaplan faces extradition from Costa Rica and is now wanted by the FBI. Carruthers was sacked last week.
Ties between the two companies appear to have ended when Betonsports floated on the London Stock Exchange in June 2004.
On November 15, 2003 the manager of SDS, a man calling himself Barry Clark, set out his relationship with Betonsports in an online-gambling forum, Offshore Gamblers Digest. Gamblers and potential clients had been discussing links between the two companies. One gambler said he had sent money to SDS and received a confirmation e-mail from Jaguar Sports. This was the name of one of the firms associated with Betonsports mentioned in this month's indictment.
Asked by a potential client what his company's relationship with Betonsports was, Clark wrote: "As I have stated before, BOS and my companies are independently owned.
Along with space here at The Mall I get the benefit of tech support from BOS. Also, they maintain my internet capabilities, along with my website."
Both Betonsports and SDS have used the same solicitor, Leamington-based Ian Burr & Co. According to internet domain-name searches, Burr was described as "administrative contact" and "technical contact" for the sites.
Burr is the contact for Domain Choices, the company that registers Betonsports' website. Domain Choices was the registrar for SDS in 2003.
Burr said he had no recollection of ever dealing with anyone from SDS and was unaware the company had used his name or address as its registered office. "I can't explain it," he said. He said about 10 companies used his address as a legal office, including Betonsports. "I wish I'd never agreed to it," he said.
A Betonsports spokesman said current management had no knowledge of SDS. "There is no relationship between Betonsports and this company in our current situation or since going public."
Victor Chandler, head of the eponymous sports-betting company based in Gibraltar, has in recent weeks shelved plans to launch in America following the arrest of David Carruthers.
In an interview with The Sunday Times, Chandler said: "America is a frightening place. I guess you'd say we've had a lucky escape."
Betting firm is linked to US Mafia kingpin
Dominic Rushe, New York
EMBATTLED online bookmaker Betonsports once shared the same address, technical support and solicitor as a company linked to New York's notorious Bonanno crime family.
The company, Safe Deposit Sports (SDS), was part of an illegal gambling ring that netted millions for the Bonannos, one of New York's five Mafia families, according to US prosecutors. SDS shared an address, technical support and a solicitor based in Leamington Spa, Warwickshire, with the British firm.
SDS was based in Costa Rica, home of Betonsports' fugitive founder, Gary Kaplan. Gambling sources believe the US authorities' investigations into SDS and other companies using Costa Rican-based firms to circumvent US laws may have triggered the prosecution of Betonsports.
In May 2005 36 people linked to SDS were indicted by the US authorities, charged with running an illegal gambling operation that netted $360m (£193m) over more than two years.
The indictment said Bonanno acting boss Anthony Urso, also known as Tony Green, allegedly received an unspecified monthly "tribute" from the gambling ring for protection.
Urso ran one of the most notorious crime gangs in America. In September last year he received a 20-year jail sentence for murder and racketeering.
Much of the money collected by SDS went through Costa Rica, home to a large number of online betting groups that target America, where online sports betting is largely
illegal.
Betonsports is quoted in London, but has its operations in Costa Rica. David Carruthers, chief executive of the British company, was arrested by the FBI earlier this month when he changed planes at Dallas on his way from the UK to Costa Rica. Kaplan faces extradition from Costa Rica and is now wanted by the FBI. Carruthers was sacked last week.
Ties between the two companies appear to have ended when Betonsports floated on the London Stock Exchange in June 2004.
On November 15, 2003 the manager of SDS, a man calling himself Barry Clark, set out his relationship with Betonsports in an online-gambling forum, Offshore Gamblers Digest. Gamblers and potential clients had been discussing links between the two companies. One gambler said he had sent money to SDS and received a confirmation e-mail from Jaguar Sports. This was the name of one of the firms associated with Betonsports mentioned in this month's indictment.
Asked by a potential client what his company's relationship with Betonsports was, Clark wrote: "As I have stated before, BOS and my companies are independently owned.
Along with space here at The Mall I get the benefit of tech support from BOS. Also, they maintain my internet capabilities, along with my website."
Both Betonsports and SDS have used the same solicitor, Leamington-based Ian Burr & Co. According to internet domain-name searches, Burr was described as "administrative contact" and "technical contact" for the sites.
Burr is the contact for Domain Choices, the company that registers Betonsports' website. Domain Choices was the registrar for SDS in 2003.
Burr said he had no recollection of ever dealing with anyone from SDS and was unaware the company had used his name or address as its registered office. "I can't explain it," he said. He said about 10 companies used his address as a legal office, including Betonsports. "I wish I'd never agreed to it," he said.
A Betonsports spokesman said current management had no knowledge of SDS. "There is no relationship between Betonsports and this company in our current situation or since going public."
Victor Chandler, head of the eponymous sports-betting company based in Gibraltar, has in recent weeks shelved plans to launch in America following the arrest of David Carruthers.
In an interview with The Sunday Times, Chandler said: "America is a frightening place. I guess you'd say we've had a lucky escape."
