Unites States v. Pokerstars, et al

Filing 299

DECLARATION of AUSA Jason H. Cowley in Support re: 203 MOTION to Strike Document No. 62 (Claim of Cardroom International).. Document filed by United States Of America. (Attachments: # 1 Exhibit A, # 2 Exhibit B, # 3 Exhibit C)(Cowley, Jason)

Exhibit B

UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK

-x
UNITED STATES OF AMERICA,
STIPULATION

Plaintiff,

- v. 11 Civ. 2564

(LBS)

POKERSTARS, et al.,
Defendants;
ALL RIGHT, TITLE AND INTEREST IN
THE ASSETS OF POKERSTARS, et al.,
Defendants-in-rem.

-x
WHEREAS, on or about April 14, 2011, a verified
complaint, 11 Civ. 2564

(LBS)

(the "Complaint") was filed under

seal in the United States District Court for the Southern
District of New York seeking the forfeiture of, among other
things, all assets of PokerStars, the Oldford Group Ltd.,
Rational Entertainment Enterprises Ltd., PYR Software Ltd.,
Stelekram Ltd., and Sphene International Ltd.

(collectively the

"PokerStars Companies," their assets collectively the "PokerStars
Defendant Property") and all assets of Full Tilt Poker, Tiltware
LLC, Kolyma Corporation A.V.V., Pocket Kings Ltd., Pocket Kings
Consulting Ltd., Filco, Ltd., Vantage Ltd., Ranston, Ltd., and
Full Tilt Poker Ltd.

(collectively the "Named Full Tilt

Companies," their assets collectively the "Full Tilt Defendant
Property") pursuant to Title 18, United States Code, Sections
1955 (d), 981 (a) (1) (A), and 981 (a) (1) (C), and seeking civil money

laundering penalties pursuant to Title 18, United States Code,
Section 1956 against the PokerStars Companies and against the
Named Full Tilt Companies;
WHEREAS, on or about September 21, 2011, a verified
amended complaint (the "Amended Complaint") was filed;
WHEREAS, on or about September 30, 2011, Cardroom
International LLC ("Cardroom") filed a claim pursuant to 18
U.S.C. § 983(a) (4) and Rule G(5) (a), asserting an interest in the
following property identified in the above-captioned case in the
amount of thirty million dollars, which is comprised of the
following:
a)

All funds and other property on deposit nad/or
formerly on deposit in accountnumbered GB81 RBOS
6095 4234 0877 66 held at NatWest, in the name of
Raymond Bitar, and all funds traceable thereto;

b)

All funds and other property on deposit and/or
formerly on deposit in account numbered 7655741861
held at Wells Fargo Bank N.A. in the name of HH
Lederer Consulting LLC, and all funds traceable
thereto;

c)

All funds and other property on deposit and/or
formerly on deposit in account numbered
GB56LOYD30166314010402 held at Loyds TSB
International, Isle of Mann, in the name of Howard
Lederer, and all funds traceable thereto;

d)

All funds and other
formerly on deposit
40039049628 held at
Chris Ferguson, and

e)

All funds and other property on deposit and/or
formerly on deposit in account numbered CH87 0875
5057 0684 0010 0 held at Pictet & Co Bankers,
Switzerland, in the name of Telamonian Ajax Trust,
2

property on deposit and/or
in account numbered
Citibank N.A., in the name of
all funds traceable thereto;

and all funds traceable thereto;
f)

All other property that has been seized or will be
seized in this proceeding at any time, directly
from and/or related to, a) defendant Pokerstars
and any related defendant(s) and, b) defendant
Full Tilt Poker and any related defendant(s),
pursuant to the Complaint filed in this matter, 11
Civ. 2564 (LBS) on April 20, 2011 and the First
Amended Complaint filed in this matter, 11 Civ.
2564 (LBS) on September 21, 2011; and

g)

All funds identified in the original forfeiture
complaint in this action unsealed on April 15,
2011 to the extent such funds are traceable to the
activities of the pokerstars.com and
fulltiltpoker.com internet cardroom, but no claim
is made to the extent the funds are traceable to
the absolutepoker.com internet cardroom;

WHEREAS, the United States has entered into a
Stipulation and Order of Settlement Regarding Full Tilt Poker
(the "Full Tilt Settlement") and a Stipulation and Order of
Settlement Regarding PokerStars

(the "PokerStars Settlement"),

which provide for, inter alia, the forfeiture of certain assets
of the Full Tilt Group (defined in the Full Tilt Settlement) and
the transfer of those assets to the PokerStars Companies

(defined

in the PokerStars Settlement) or their designees;
NOW, THEREFORE, IT IS HEREBY STIPULATED AND AGREED by
and between the United States of America, by its attorney Preet
Bharara, United States Attorney for the Southern District of New
York, Sharon Cohen Levin, Michael D. Lockard, and Jason H. Cowley
Assistant United States Attorneys, of counsel, and Cardroom
International LLC, by their attorneys, Cyrus Sanai, Esq. and
Robert J Hantman, Hantman & Associates, that:
3

1.

Cardroom International LLC ("Cardroom") consents

to the forfeiture of certain assets of the Full Tilt Group (the
"Forfeited Full Tilt Assets") as part of the settlement reached
between the United States and Fulltilt Poker and PokerStars in
United States v. PokerStars, et al., 11 Civ. 2564

(LBS)

(the

"SDNY Action"), on the terms and conditions herein stated.
2.

The U.S. Attorney's Office for the Southern

District of New York (the "Office") agrees to hold $30,000,000 in
funds received by the United States in connection with the
settlement with the Full Tilt Group and the PokerStars Companies
(the "Substitute Res") as substitute res for the Forfeited Full
Tilt Assets subject to Cardroom's claim.
3.

The Substitute Res shall be treated in this action

as a substitute res for the Forfeited Full Tilt Assets, without
prejudice to any rights, remedies, claims, defenses, or arguments
of either party in this action.

4

4.

The signature pages of this stipulation may be

executed in one or more counterparts, each of which will be
deemed an original but all of which together will constitute one
and the same instrument.

Signature pages by fax or by .pdf shall

be treated as originals.
AGREED AND CONSENTED TO:
PREET BHARARA
United States Attorney
Southern District of New York

By:
Sh
Cohen Lev n
Mi a 1 D. Lockar
Jaso H. Cowley
Assistant United States Attorneys
One St. Andrew's Plaza
New York, New York 10007
[phone]/2193/2479
Counsel for Cardroom International LLC

By:

Cyrus

sa~. ~

Sanais Law Firm
433 North Camden Drive, Suite 600
Beverly Hills, CA 90210
[phone]
Counsel for C
om International LLC

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l?j )ml_

By:
DATt
man & Associates
1515 Broadway, 11th Floor
New York, NY 10036
[phone]
Counsel for Cardroom International LLC

5

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