Unites States v. Pokerstars, et al
Filing
132
RESPONSE re: 53 Amended Complaint,,,,,. Document filed by MAS, Inc.. (Michaels, Adam)
UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK
-------------------------------UNITED STATES OF AMERICA,
Plaintiff,
v.
POKERSTARS, et al.
Defendants,
ALL RIGHT, TITLE AND INTEREST IN
THE ASSETS OF POKERSTARS, et al.
Defendants-in-rem.
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: 11 Civ. 2564 (LBS)
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CLAIMANT MAS, INC.’S ANSWER AND AFFIRMATIVE DEFENSES TO
PLAINTIFF’S VERIFIED FIRST AMENDED COMPLAINT
Claimant MAS, Inc. (“MAS”), by its attorneys, Pepper Hamilton LLP, and for its
Answer to the Verified First Amended Complaint, states the following:
I.
1.
INTRODUCTION
MAS admits, upon information and belief, that at relevant times
Pokerstars, Full Tilt Poker and Absolute Poker/Ultimate Bet were internet poker operators doing
business in the United States. MAS is without knowledge or information sufficient to form a
belief as to the truth of the remaining allegations contained in Paragraph 1, therefore denied.
2.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 2, therefore denied.
3.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 3, therefore denied.
4.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 4, therefore denied.
5.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 5, therefore denied.
6.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 6, therefore denied.
7.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 7, therefore denied.
8.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 8, therefore denied.
9.
MAS, upon information and belief, admits the allegations contained in
10.
MAS, upon information and belief, admits the allegations contained in
11.
MAS neither admits nor denies the allegations contained in Paragraph 11,
Paragraph 9.
Paragraph 10.
because they are legal conclusions to which no response is required.
To the extent the
allegations are deemed factual, MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 11, therefore denied.
12.
MAS neither admits nor denies the allegations contained in Paragraph 12,
because they are legal conclusions to which no response is required.
To the extent the
allegations are deemed factual, MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 12, therefore denied.
13.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 13, therefore denied.
14.
MAS admits the allegations contained in Paragraph 14.
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15.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 15, therefore denied.
16.
MAS neither admits nor denies the allegations contained in Paragraph 16,
because they are legal conclusions to which no response is required.
To the extent the
allegations are deemed factual, MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 16, therefore denied.
II.
17.
JURISDICTION AND VENUE
MAS neither admits nor denies the allegations contained in Paragraph 17
because they are legal conclusions to which no response is required.
18.
MAS neither admits nor denies the allegations contained in Paragraph 18,
because they are legal conclusions to which no response is required, but denies that venue is
proper in this District.
19.
MAS neither admits nor denies the allegations contained in Paragraph 19,
because they are legal conclusions to which no response is required, but denies that venue is
proper in this District.
20.
MAS neither admits nor denies the allegations contained in Paragraph 20
because they are legal conclusions to which no response is required, but denies that venue is
proper in this District.
III.
21.
THE PARTIES
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 21, therefore denied.
22.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 22, therefore denied.
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23.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 23, therefore denied.
24.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 24, therefore denied.
25.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 25, therefore denied.
26.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 26, therefore denied.
27.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 27, therefore denied.
28.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 28, therefore denied.
29.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 29, therefore denied.
30.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 30, therefore denied.
31.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 31, therefore denied.
IV.
FACTUAL ALLEGATIONS
The Enactment of the UIGEA
32.
MAS neither admits nor denies the allegations contained in Paragraph 32
as they are legal conclusions to which no response is required. To the extent the allegations
contained in Paragraph 32 to are deemed factual, MAS is without knowledge or information
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sufficient to form a belief as to the truth of the allegations contained in Paragraph 32, therefore
denied.
33.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 33, therefore denied.
The Scheme to Defraud
34.
MAS neither admits nor denies the allegations contained in Paragraph 34
because they are legal conclusions to which no response is required.
To the extent the
allegations are deemed factual, MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 34, therefore denied.
Fraudulent Credit Card Processing
35.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 35, therefore denied.
36.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 36, therefore denied.
37.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 37, therefore denied.
38.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 38, therefore denied.
Fraudulent E-Check Processing
39.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 39, therefore denied.
40.
MAS admits that the Automated Clearinghouse system is an electronic
network administered by the Federal Reserve that allows for electronic fund transfers to and
from United States bank accounts through e-checks or electronic checks. MAS is without
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knowledge or information sufficient to form a belief as to truth of the remaining allegations
contained in Paragraph 40.
41.
MAS admits that the ACH system requires merchants to open processing
accounts at a United States based originating depository financial institution. MAS is without
knowledge or information sufficient to form a belief as to truth of the remaining allegations
contained in Paragraph 41.
42.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 42, therefore denied.
43.
(a)–(e) MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 43(a)-(e), therefore denied.
44.
(a)-(e) MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 44(a)-(e), therefore denied.
“Transparent Processing”
45.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 45, therefore denied.
46.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 46, therefore denied.
47.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 47, therefore denied.
48.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 48, therefore denied.
49.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 49, therefore denied.
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50.
(a)-(l) MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 50(a)-(l), therefore denied.
51.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 51, therefore denied.
52.
a.
MAS, upon information and belief, admits the allegations
contained in Paragraph 52(a).1
b.
MAS, upon information and belief, admits the allegations
contained in Paragraph 52(b).
c.
MAS, upon information and belief, admits the allegations
contained in Paragraph 52(c).
d.
MAS, upon information and belief, admits the allegations
contained in Paragraph 52(d).
e.
MAS, upon information and belief, admits the allegations
contained in Paragraph 52(e).
f.
MAS, upon information and belief, admits the allegations
contained in Paragraph 52(f).
g.
MAS, upon information and belief, admits the allegations
contained in Paragraph 52(g)
52.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 52.2
1
Paragraph 52 is incorrectly numbered in Plaintiff’s Complaint as Paragraph 44.
2
Plaintiff incorrectly numbered the remaining paragraphs contained in the Complaint.
understanding, MAS followed Plaintiff’s incorrect numbering.
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For ease of
The Pokerstars.com Website
Content of the Pokerstars.com Website
53.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 53, therefore denied.
54.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 54, therefore denied.
55.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 55, therefore denied.
56.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 56, therefore denied.
57.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 57, therefore denied.
58.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 58, therefore denied.
59.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 59, therefore denied.
Gambling Deposits and Withdrawals on Pokerstars.com
60.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 60, therefore denied.
61.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 61, therefore denied.
62.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 62, therefore denied.
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The Pokerstars.com Domain
63.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 63, therefore denied.
64.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 64, therefore denied.
The Fulltilt.com Website
Content of the Fulltilt.com Website
65.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 65, therefore denied.
66.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 66, therefore denied.
67.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 67, therefore denied.
68.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 68, therefore denied.
69.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 69, therefore denied.
70.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 70, therefore denied.
71.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 71, therefore denied.
Gambling Deposits and Withdrawals on Fulltilt.com
72.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 72, therefore denied.
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73.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 73, therefore denied.
74.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 74, therefore denied.
The Fulltiltpoker.com Doman
75.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 75, therefore denied.
76.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 76, therefore denied.
The Absolutepoker.com Website
Content of the Absolutepoker.com Website
77.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 77, therefore denied.
78.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 78, therefore denied.
79.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 79, therefore denied.
80.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 80, therefore denied.
Gambling Deposits and Withdrawals on Absolutepoker.com
81.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 81, therefore denied.
82.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 82, therefore denied.
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83.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 83, therefore denied.
The Absolutepoker.com Doman
84.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 84, therefore denied.
The Ultimatebet.com Website
Content of the Ultimate Bet Website, UB.com
85.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 85, therefore denied.
86.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 86, therefore denied.
87.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 87, therefore denied.
88.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 88, therefore denied.
89.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 89, therefore denied.
The Ultimatebet.com Domain
90.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 90, therefore denied.
The UB.com Domain
91.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 91, therefore denied.
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Prior Seizures of Poker Processing Accounts
92.
MAS neither admits nor denies the allegations contained in Paragraph 92
to the extent they are legal conclusions to which no response is required. To the extent the
allegations are deemed factual, MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 92.
93.
MAS neither admits nor denies the allegations contained in Paragraph 93
to the extent they are legal conclusions to which no response is required. To the extent the
allegations are deemed factual, MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 93.
94.
MAS neither admits nor denies the allegations contained in Paragraph 94
to the extent they are legal conclusions to which no response is required. To the extent the
allegations are deemed factual, MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 94.
95.
MAS neither admits nor denies the allegations contained in Paragraph 95
to the extent they are legal conclusions to which no response is required. To the extent the
allegations are deemed factual, MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 95.
96.
MAS neither admits nor denies the allegations contained in Paragraph 96
to the extent they are legal conclusions to which no response is required. To the extent the
allegations are deemed factual, MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 96.
97.
MAS neither admits nor denies the allegations contained in Paragraph 97
to the extent they are legal conclusions to which no response is required. To the extent the
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allegations are deemed factual, MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 97.
98.
MAS admits that on or about December 1, 2010, U.S. Magistrate Judge
Ronald L. Ellis issued warrants to seize the described funds. MAS neither admits nor denies the
other allegations contained in Paragraph 98 to the extent they are legal conclusions to which no
response is required, but MAS denies the funds claimed by MAS are forfeitable.
V.
FULL TILT POKER’S AND THE FTP INSIDER DEFENDANTS’
THEFT OF PLAYER FUNDS
99.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 99, therefore denied.
Full Tilt Poker’s Assurances To Players About The Security
of Deposits Made to Online Gambling Accounts
100.
(a)-(b) MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 100(a)-(b), therefore denied.
101.
(a)-(d) MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 101(a)-(d), therefore denied.
102.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 102, therefore denied.
103.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 103, therefore denied.
104.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 104, therefore denied.
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Full Tilt Poker’s Insolvency As a Result
of Paying Owners From Player Funds and
Its Inability To Collect Deposits from U.S. Players
105.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 105, therefore denied.
106.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 106, therefore denied.
107.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 107, therefore denied.
108.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 108, therefore denied.
109.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 109, therefore denied.
110.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 110, therefore denied.
111.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 111, therefore denied.
112.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 112, therefore denied.
113.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 113, therefore denied.
114.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 114, therefore denied.
115.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 115, therefore denied.
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Continuing Fraud Against Players After April 15, 2011
116.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 116, therefore denied.
117.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 117, therefore denied.
118.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 118, therefore denied.
119.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 119, therefore denied.
120.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 120, therefore denied.
VI.
121.
PROBABLE CAUSE FOR FORFEITURE
MAS neither admits nor denies the allegations contained in Paragraph 121
to the extent they are legal conclusions to which no response is required. To the extent the
allegations are deemed factual, MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 121, therefore denied.
122.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 122, therefore denied.
The Poker Companies
123.
MAS neither admits nor denies the allegations contained in Paragraph 123
because they are legal conclusions to which no response is required.
The Poker Company Domain Names
124.
MAS neither admits nor denies the allegations contained in Paragraph 124
because they are legal conclusions to which no response is required.
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The Poker Company Accounts
125.
MAS neither admits nor denies the allegations contained in Paragraph 125
because they are legal conclusions to which no response is required.
126.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 126, therefore denied.
The Poker Processor Accounts
127.
MAS neither admits nor denies the allegations contained in Paragraph 127
to the extent they are legal conclusions to which no response is required. To the extent the
allegations are deemed factual, MAS denies the funds claimed by MAS are forfeitable.
The FTP Insider Accounts
128.
MAS neither admits nor denies the allegations contained in Paragraph 128
to the extent they are legal conclusions to which no response is required. To the extent the
allegations are deemed factual, MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations, therefore denied.
129.
MAS neither admits nor denies the allegations contained in Paragraph 129
to the extent they are legal conclusions to which no response is required. To the extent the
allegations are deemed factual, MAS is without knowledge or information sufficient to form a
belief as to the truth of the remaining allegations contained in Paragraph 129, but MAS denies
that the funds claimed by MAS are forfeitable.
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VII.
CLAIMS FOR FORFEITURE
FIRST CLAIM FOR RELIEF
Forfeiture Under 18 U.S.C. §§ 1955(d) and 981(a)(1)(C) Illegal Gambling
130.
MAS restates and reaffirms its answers to Paragraphs 1 through 129 with
the same force and effect as if stated herein.
131.
MAS neither admits nor denies the allegations contained in Paragraph 131
because they are legal conclusions to which no response is required.
132.
MAS neither admits nor denies the allegations contained in Paragraph 132
because they are legal conclusions to which no response is required.
133.
MAS neither admits nor denies the allegations contained in Paragraph 133
because they are legal conclusions to which no response is required.
134.
MAS neither admits nor denies the allegations contained in Paragraph 134
to the extent they are legal conclusions to which no response is required. To the extent the
allegations are deemed factual, MAS is without knowledge or information sufficient to form a
belief as to the truth of the remaining allegations contained in Paragraph 134, but MAS denies
the funds claimed by MAS are forfeitable.
135.
MAS neither admits nor denies the allegations contained in Paragraph 135
to the extent they are legal conclusions to which no response is required. To the extent the
allegations are deemed factual, MAS is without knowledge or information sufficient to form a
belief as to the truth of the remaining allegations contained in Paragraph 135, but MAS denies
the funds claimed by MAS are forfeitable.
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SECOND CLAIM FOR RELIEF
Forfeiture Under 18 U.S.C. § 981(a)(1)(C) Bank and Wire Fraud
136.
MAS restates and reaffirms its answers to Paragraphs 1 through 135 with
the same force and effect as if stated herein.
137.
MAS neither admits nor denies the allegations contained in Paragraph 137
because they are legal conclusions to which no response is required.
138.
MAS neither admits nor denies the allegations contained in Paragraph 138
because they are legal conclusions to which no response is required.
139.
MAS neither admits nor denies the allegations contained in Paragraph 139
because they are legal conclusions to which no response is required.
140.
MAS neither admits nor denies the allegations contained in Paragraph 140
because they are legal conclusions to which no response is required.
141.
MAS neither admits nor denies the allegations contained in Paragraph 141
because they are legal conclusions to which no response is required.
142.
MAS neither admits nor denies the allegations contained in Paragraph 142
because they are legal conclusions to which no response is required.
To the extent the
allegations are deemed factual, MAS is without knowledge or information sufficient to form a
belief as to the truth of the allegations contained in Paragraph 142.
143.
MAS neither admits nor denies the allegations contained in Paragraph 143
because they are legal conclusions to which no response is required, but MAS denies that the
funds claimed by MAS are forfeitable.
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THIRD CLAIM FOR RELIEF
Forfeiture Under 18 U.S.C. § 981(a)(1)(A) Money Laundering
144.
MAS restates and reaffirms its answers to Paragraphs 1 through 143 with
the same force and effect as if stated herein.
145.
MAS neither admits nor denies the allegations contained in Paragraph 145
because they are legal conclusions to which no response is required.
146.
MAS neither admits nor denies the allegations contained in Paragraph 146
because they are legal conclusions to which no response is required.
147.
MAS neither admits nor denies the allegations contained in Paragraph 147
because they are legal conclusions to which no response is required.
148.
MAS neither admits nor denies the allegations contained in Paragraph 148
because they are legal conclusions to which no response is required.
149.
MAS neither admits nor denies the allegations contained in Paragraph 149
because they are legal conclusions to which no response is required.
150.
MAS neither admits nor denies the allegations contained in Paragraph 150
because they are legal conclusions to which no response is required, but MAS denies the funds
claimed by MAS are forfeitable.
FOURTH CLAIM FOR RELIEF
Forfeiture Under 18 U.S.C. § 981(a)(1)(C) Wire Fraud
151.
MAS restates and reaffirms its answers to Paragraphs 1 through 150 with
the same force and effect as if stated herein.
152.
MAS neither admits nor denies the allegations contained in Paragraph 152
because they are legal conclusions to which no response is required.
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153.
MAS neither admits nor denies the allegations contained in Paragraph 153
because they are legal conclusions to which no response is required.
154.
MAS neither admits nor denies the allegations contained in Paragraph 154
because they are legal conclusions to which no response is required.
155.
MAS neither admits nor denies the allegations contained in Paragraph 155
because they are legal conclusions to which no response is required.
156.
MAS neither admits nor denies the allegations contained in Paragraph 156
to the extent they are legal conclusions to which no response is required. To the extent the
allegations are deemed factual, MAS states, MAS is without knowledge or information sufficient
to form a belief as to the truth of the allegations contained in Paragraph 156, therefore denied.
157.
MAS neither admits nor denies the allegations contained in Paragraph 156
to the extent they are legal conclusions to which no response is required. To the extent the
allegations are deemed factual, MAS states, MAS is without knowledge or information sufficient
to form a belief as to the truth of the allegations contained in Paragraph 157, therefore denied.
VIII. CIVIL MONEY LAUNDERING PENALTIES
18 U.S.C. § 1956
158.
MAS restates and reaffirms its answers to Paragraphs 1 through 157 with
the same force and effect as if stated herein.
159.
MAS neither admits nor denies the allegations contained in Paragraph 159
because they are legal conclusions to which no response is required.
160.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 160, therefore denied.
161.
MAS is without knowledge or information sufficient to form a belief as to
the truth of the allegations contained in Paragraph 161, therefore denied.
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WHEREFORE, MAS respectfully requests that this Court dismiss Plaintiff’s
Complaint with prejudice in its entirety, find that the allegations regarding the funds claimed by
MAS are without foundation, order the funds claimed by MAS to be returned, and award MAS
its reasonable attorney’s fees and costs.
DEFENSES AND AFFIRMATIVE DEFENSES
First Defense
Plaintiff’s claims are barred in whole or in part because Plaintiff has failed to state
a claim upon which relief can be granted.
Second Defense
The Court lacks subject matter jurisdiction over the funds claimed by MAS.
Third Defense
This Court is not the proper venue for Plaintiff to bring the claims asserted in this
action.
Fourth Defense
The funds claimed by MAS are not forfeitable under federal law, including
without limitation 18 U.S.C. §§ 1955, 981(a)(1)(C) and 981(a)(1)(A).
Fifth Defense
MAS is an innocent owner of the funds claimed by MAS within the meaning of
federal law, including without limitation 18 U.S.C. § 983(d).
Sixth Defense
MAS is a bona fide purchaser and/or seller for value within the meaning of
federal law.
Seventh Defense
Forfeiture of the funds claimed by MAS would violate constitutional due process.
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Eighth Defense
Forfeiture of the funds claimed by MAS would violate the Eighth Amendment’s
prohibition against excessive fines.
Ninth Defense
There is no in-rem jurisdiction with respect to the funds claimed by MAS.
Tenth Defense
The Complaint fails to state sufficiently detailed facts to support a reasonable
belief that the government will be able to meet its burden of proof at trial with respect to the
funds claimed by MAS.
RESERVATION OF RIGHTS
MAS reserves any and all other defenses that it may have to Plaintiff’s Complaint
and reserves all of its rights to alter, amend or add to these defenses as further information
becomes available.
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WHEREFORE, MAS respectfully requests that this Court dismiss Plaintiff’s
Complaint with prejudice in its entirety, find that the allegations regarding the funds claimed by
MAS are without foundation, order the funds claimed by MAS to be returned, and award MAS
its reasonable attorney’s fees and costs.
Respectfully submitted,
/s/ Adam B. Michaels
Adam B. Michaels
PEPPER HAMILTON, LLP
620 Eighth Avenue
37th Floor
New York, NY 10018-1405
michaelsa@pepperlaw.com
Tel: (212) 808-2700
Fax: (212) 286-9806
Jeremy D. Frey (pro hac vice)
PEPPER HAMILTON, LLP
3000 Two Logan Square
Eighteenth and Arch Streets
Philadelphia, PA 19103-2799
freyj@pepperlaw.com
Tel: (215) 981.4445
Fax: (866) 422.3552
Attorneys for MAS, Inc.
DATED: November 30, 2011
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UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK
-------------------------------UNITED STATES OF AMERICA,
Plaintiff,
v.
POKERSTARS, et al.
Defendants,
ALL RIGHT, TITLE AND INTEREST IN
THE ASSETS OF POKERSTARS, et al.
Defendants-in-rem.
--------------------------------
x
:
:
:
:
: 11 Civ. 2564 (LBS)
:
:
:
:
:
:
:
:
x
CERTIFICATE OF SERVICE
I hereby certify that on this 30th day of November, 2011, I electronically filed the
foregoing Answer and Affirmative Defenses to Plaintiff’s Verified First Amended Complaint
with the Clerk of the Court by using the CM/ECF system, which will send a notice of electronic
filing to the parties of record.
/s/ Adam B. Michaels
Adam B. Michaels
PEPPER HAMILTON, LLP
620 Eighth Avenue
37th Floor
New York, NY 10018-1405
michaelsa@pepperlaw.com
Tel: (212) 808-2700
Fax: (212) 286-9806
Jeremy D. Frey (Pro hac vice)
PEPPER HAMILTON, LLP
3000 Two Logan Square
Eighteenth and Arch Streets
Philadelphia, PA 19103-2799
freyj@pepperlaw.com
Tel: (215) 981.4445
Fax: (866) 422.3552
Attorneys for MAS, Inc.
#15213371 v5
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