Last updated on September 25th, 2021 at 04:55 pm
Flutter Entertainment, the parent firm of PokerStars, agreed to pay Kentucky $300 million. It was a settlement for a lawsuit filed against the gaming firm in 2011. According to Governor Andy Besher, the state will use the money to fund vital sectors. These sectors include health care, economic development, and education.
Then-Governor Steve Besher’s administration filed the lawsuit in 2008. Also, they wanted to stop the untaxed, unregulated, and illicit online gambling platforms operating in the state. Between 2007 and 2011, PokerStars was the most significant offshore betting operator. According to gambling software and platform experts, PokerStars gathered nearly $300 million in actual money losses from many Kentucky residents who played on its sites.
PokerStars Agreed to Pay Kentucky
Under Kentucky law, the state brought a lawsuit against PokerStars looking to recover its residents’ almost $300 million losses. Last year, the Supreme Court of Kentucky confirmed the judgment delivered in December 2015.
Flutter and its auxiliary, PokerStars, are based situated in the Isle of Man, UK. PokerStars asserted that the 1980 English Protection of Trading Interests Act might have kept the state from gathering the damages. Also, it claimed that the Supreme Court of Kentucky doesn’t have any authority over them. In addition, the $300 million settlement sum, notwithstanding, is almost $10 million over the actual damages granted by the courts that were around $290 million. That amount is more than enough to start a bookie business.
In April 2021, the Franklin Circuit Court ordered Flutter to pay a bond of $100 million. According to online gambling solutions experts, the gambling firm paid the bond in May and needs to add $200 million to cover the settlement. Based on Kentucky law, proceeds from the lawsuit would go to the General Fund.
