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Carruthers Could Get up to 33 Months, Sentencing Hearing Scheduled for October

4/1/2009 by Gaming Industry Media Staff

A 45-minute hearing today in St. Louis set the groundwork for capping former BetonSports CEO David Carruthers' three-year battle versus the United States Department of Justice.

Catherine Hanaway Press Conference

A 45-minute hearing today in St. Louis set the groundwork for capping former BetonSports Chief Executive David Carruthers' three-year battle versus the United States Department of Justice.

Mr. Carruthers pleaded guilty before Judge Carol E. Jackson to Count 1 of the September 2008 indictment (the third superseding indictment) in the United States' case against key persons involved in the BetonSports operation.

The charge, a violation of Title 18 S. 1962 of the United States Code, alleges a RICO conspiracy encompassing numerous additional counts, including 10 Wire Act violations and the interstate transportation of gambling paraphernalia.

In the plea agreement, the government agrees to dismiss the counts 2-5 and 17-19, pertaining to mail fraud, non-RICO conspiracy and RICO forfeiture and will file a motion with the sentencing court to depart downward from the sentencing guidelines, which call for a sentence of up to 20 years in prison and a fine of up to $250,000.

Instead, the parties have agreed that Mr. Carruthers is to receive no more than 33 months in jail. He may advocate for a sentence of less than 33 months, and the government may oppose such a request. His time spent under house arrest during pretrial motions and negotiations does not count as time served.

Judge Jackson has accepted . . .

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Posted By: Mark Balestra - 4/7/2009 12:26:04 PM

Here's what Dominic Walsh at the Times Writes

The gamble that failed In the blue corner: David Carruthers So David Carruthers, the former chief executive of AIM-listed BetOnSports, has pleaded guilty to being involved in a $20 million racketeering conspiracy. Until Wednesday’s guilty plea in Missouri, the softly spoken Scot had become the forgotten man of gambling. It was July 2006 when he was stopped at Dallas Fort Worth airport, yet his arrest and subsequent house detention have long since been overtaken by events, as America passed a formal ban on internet gambling transactions, and higher-profile executives were arrested. Mr Carruthers now faces up to 20 years behind bars and a $250,000 fine, although under a deal with prosecutors he is likely to serve up to 33 months. That may seem a fair outcome, but it is anything but. The only offence he was guilty of was naivety in going to the US. http://business.timesonline.co.uk/tol/business/columnists/article6025047.ece


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