Hawaiian prosecutor discovers secret to stopping illegal DFS betting in his state

NEW YORK - Feb. 3, 2016 - PRLog -- A Hawaiian prosecutor figured out an efficient, effective and inexpensive method to stop DFS betting in his city: threaten criminal prosecution.  Honolulu Prosecuting Attorney Keith Kaneshiro was able to stop DraftKings from accepting wagers simply by informing the company that its wagering schemes were a class C felony that could result in a prison sentence of five years.

Within hours of receiving the notice, DraftKings announced it would stop taking bets from residents of the entire state, even though Prosecutor Kaneshiro only represents the city of Honolulu.  The Hawaiian prosecutor has upstaged higher-profile state attorneys, including New York’s attorney general, who is currently engaged in civil litigation with both DraftKings and FanDuel, which should last for months.  Both DraftKings and FanDuel continue to accept wagers from New York residents.

While many states’ attorney generals have concluded that DraftKings’ DFS betting contests are illegal, no criminal prosecution has been publicly announced.  “DFS betting owners are engaging in illegal sports bookmaking in violation of state and federal law,” said attorney Vincent Imbesi, who represents clients in several civil class action lawsuits against DraftKings and FanDuel.  “Continuing to violate criminal laws will subject the owners to prosecution that should result in sentences with considerable incarceration,” Mr. Imbesi concluded.

Mr. Imbesi said that DraftKings quick exit from the Hawaii market was probably caused by the threat of criminal prosecution of the individuals that own or are employed by DraftKings.  According to the Associated Press, prosecutor Kaneshiro informed DraftKings that accepting and profiting from bets is considered promoting gambling, which is a felony that comes with penalties up to five years in prison.

“Hawaii has very similar criminal laws as New York relating to illegal gambling,” Mr. Imbesi said.  He believes that other states will eventually charge the owners with crimes relating to their violations of state and federal criminal laws.

Vincent Imbesi is a partner of the law firm Imbesi Law P.C., and represents plaintiffs in several class action lawsuits filed against DraftKings and FanDuel.  Some states consider articles and press releases attorney advertising.  Nothing is this article shall be considered legal advice.