Probation For BetOnSports, Norman Steinberg

17 December 2010

Newspaper

Norman Steinberg, co-owner of Millenium Group, a subsidiary of BetOnSports, which was shut down by federal prosecutors in 2006, came to the U.S. this week and was sentenced to 3 years’ probation which is to be served from his home on Costa Rica, a $10,000 fine, no restitution and is unrestricted to travel anywhere in the world.

This is a far cry from what the other people who were related with BetonSports got from the U.S. prosecution. Founder Gary Kaplan who was sentenced in 2009 got 3 years in prison and forfeited $43.65 million as he was charged with multiple counts violating the Racketeer Influenced and Corrupt Organizations Act. Then CEO David Carruthers was ordered to pay $75,000 and was sent to prison for 33 months.

Why such leniency? This may partly be answered by a mysterious civil law suit that was filed under seal in Pennsylvania by Steinberg. As part of his plea agreement, this lawsuit filed against the government was dropped. No details have come out about the case but his lawyers said;

“The civil lawsuit was instrumental in our ability to resolve this matter in the fashion it was resolved in. We’re prohibited by court order from saying more.”

The U.S. prosecutors had considered Steinberg a fugitive even though he was openly living in Costa Rica knowing that extradition would be hard. Steinberg claimed he voluntarily came back to U.S. because he wanted to clear his name. He lawyer claimed,

“They gave us a deal that was worth his coming to the U.S. to accept.”

This leaves only one unresolved issue in the BetOnSports investigation and that is Gregory James Haggard who is currently regarded as a fugitive.

Related News

  • 23 June 2009

    Betonsport's Founder to face Trial

    It’s been awhile, but you should remember this situation very well, especially if you live in America. Gary Kaplan, the founder of the online sportsbook Betonsports,  and 10 other defendants were indicted 3 years ago in St. Louis for accepting sports wagers over the Internet and via phone, which was in direct violation of the age-old USA wire act which prohibits such activities.

    Read full article
  • 09 May 2011

    Costa Rica Agents Raid Absolute Poker Offices and Residents

    April 15th 2011, known as “Black Friday” in online poker circles, is when Federal indictments were handed down and the U.S. government shut down Absolute Poker, UB Poker, PokerStars and Full Tilt poker. Since then PokerStars and Full Tilt reached agreement with the U.S. to regain usage of their websites for the sole purpose of letting U.S. online poker players withdraw their money.

    Read full article
  • 17 July 2006

    CARRUTHERS, 10 OTHERS PLUS 4 CORPORATIONS INDICTED ON RACKETEERING, CONSPIRACY AND FRAUD CHARGES

    Department of Justice MONDAY, JULY 17, 2006 Eleven Individuals and Four Corporations Indicted on Racketeering, Conspiracy and Fraud Charges WASHINGTON – A federal grand jury in the Eastern District of Missouri has returned a 22-count indictment charging 11 individuals and four corporations on various charges of racketeering, conspiracy and fraud, the Department of Justice announced today. The indictment was returned on June 1, 2006, and unsealed today.

    Read full article