Massive Online Gambling Bust Nets Over 400 People in China

Written by:
Gilbert Horowitz
Published on:
Dec/13/2012
Massive Online Gambling Bust Nets Over 400 People in China

Police from China, Cambodia, Vietnam and Myanmar shut down a US$1.75 billion online gambling operation based in China’s Hubei Province on Thursday. 

Bookmaker-2500-091412A.jpg

The investigation has been ongoing for two years now and involved some 400 individuals of which 37 have been detained thus far. 

The server for the operation was based in Cambodia, with the gambling ring involving a network of 120 agents, according to preliminary reports. 

More than a dozen suspects were also rounded up in Vietnam.

In recent months, the Chinese government has begun to crackdown on the former Portuguese gambling colony of Macau.  A series of raids have occurred at various venues since the summer.  Suspicion has also been cast on gambling junkets arriving from the Mainland.  Officials claims that Junket operators often have ties to the triads, organized crime gangs in China.

Hoffman Ma, deputy chief executive officer of Macau casino, Ponte 16, said: “It's good for the reputation of the industry as a whole. Before, Macau was too reliant on the VIP sector – a relatively small pool of high-rollers involved in massive transactions. It's better to have an industry supported by more mass-market players.  I don't think Beijing wants to see an end to funds going from mainland China to Macau. Officials just don't want people to get away with taking too much out by using underground channels.”

Ben Lee, managing partner at Igamix Management, worries about the impact this crackdown will have on the world's largest gambling empire. 

 “The VIP segment, which traditionally accounts for 70% of Macau's gaming revenue has suffered in terms of growth since June, whereas the mass market has remained strong," he told the Macau Daily Times.  "The casinos are experiencing a switch from the VIP to the premium mass…We have been told that the mass market is growing and in particular premium mass.”

- Gilbert Horowitz, Gambling911.com

Gambling News

Fight Over Gambling Led Man to Run Over Wife Four Times

Prosecutors in Massachusetts say a man drove over his ex-wife four times in the driveway of their Quincy home, killing her, after they fought over his alleged gambling last year.

William Hill, Bet365, Other Online Gambling Sites Exit Poland: Where to Still Play

William Hill, Bet365, Other Online Gambling Sites Exit Poland: Where to Still Play

A mass exodus of online bookmakers from Poland was announced this week following the introduction of a 12 percent tax on wagering turnover. 

Online Sportsbook Complaints – Slow Pay, No Pay Warnings and More

Online Sportsbook Complaints – Slow Pay, No Pay Warnings and More

Gambling911.com has your updated Online Sportsbook Complaints.

FBI Hot on Heels of Online Gambling Operator

FBI Hot on Heels of Online Gambling Operator: Fled to Asia

13 others apprehended as part of investigation: Arrest warrent out in EU, USA

Phil Mickelson Confirms He Won’t Be Called to Testify in Billy Walters Trial

Phil Mickelson Confirms He Won’t Be Called to Testify in Billy Walters Trial

“I’m out. I won’t be called,” Mickelson said, without saying how he knows that.

Syndicate