The group said it had been unable to contact Chief Executive David Carruthers but had seen a U.S. indictment “alleging various criminal acts against multiple defendants.”
It also said it faced a civil case ordering BETonSPORTS to stop taking sports bets in the United States and to return money held by U.S. customers in their gaming accounts.
BETonSPORTS, whose shares were suspended on Tuesday from London’s junior AIM index, said a hearing in the case could be held within ten days.
David Carruthers, chief executive of online gaming group BETonSPORTS, was detained by U.S. authorities while changing planes in Dallas, the company said Monday, sending its shares down more than 15 percent.
Carruthers, who has visited the United States in the past and was mounting a campaign to regulate — and legalize — Internet gambling in the country, was in custody in Fort Worth, Texas, a company spokesman said. BETonSPORTS is reviewing the situation, spokesman Kevin Smith said.
A federal grand jury in the Eastern District of Missouri returned a 22-count indictment charging 11 individuals and four corporations, including BETonSPORTS and three companies based in Florida, on various charges of racketeering, conspiracy and fraud, the U.S. Department of Justice said in a statement.
The founder of BETonSPORTS.com, Gary Stephen Kaplan, 47, was also charged with 20 felony violations of federal laws, it said. A warrant has also been issued for the arrest of Kaplan, who resides in Costa Rica.