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Welcome to the News desk. |
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Betonsports chief David Carruthers changes guilty plea in the
US |
30/09/2009 |
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Andrew Clark |
The British online
gambling executive David Carruthers, who has spent three years under house
arrest in Missouri, has withdrawn his "guilty" plea just days before he was due
to be sentenced by a US court on racketeering charges for breaching America's
sweeping restrictions on internet gaming.
Carruthers was chief executive of the betting firm
Betonsports until he was arrested in 2006 while changing planes at Dallas
airport en route from Britain to the company's operational base in Costa Rica.
In a case that drew international attention and accusations of judicial
over-reach, the Scottish businessman was accused of breaking US law for
presiding over a company that accepted unlawful sports bets on the internet
from Americans.
Since the summer of 2006, Carruthers has been largely
confined to a hotel in St Louis, Missouri, under electronic surveillance as he
awaits trial. In April, he agreed to plead guilty under a deal with prosecutors
in return for a recommended penalty of 33 months' imprisonment.
But in the final days before a formal
hearing set for Friday at which a judge was due to sentence him, this plea deal
has abruptly broken down. In a terse legal filing, the court noted late
yesterday that "the motion to set aside defendant David Carruthers's guilty
plea is granted". A "change of plea" hearing has been set for 14 October.
The reason for Carruthers's apparent change of heart is unclear. Neither
Carruthers nor his lawyer, Scott Rosenblum, responded to requests for comment.
A spokeswoman for the US attorney's office in St Louis said prosecutors would
not discuss the case. Several other Betonsports executives are still pleading
guilty, including the company's founder, Gary Kaplan.
The development
will come as a surprise to Carruthers's supporters who had hoped that he would
be allowed to return home on Friday. His lawyers were expected to argue that
the 52-year-old businessman has effectively served his agreed sentence of 33
months through his hotel confinement on $1m bail since August 2006.
Carruthers has become something of a rallying point for opponents of
America's prohibition of online gambling. The Democratic congressman Barney
Frank has described the British citizen's airport arrest as "one of the most
Stalinist things I've ever seen my government do".
America's
prohibition of betting on the web has fallen foul of the World Trade
Organisation, which ruled two years ago that the law breaches international
agreements on fair trade. |
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