The Board of Directors of BETonSPORTS plc has announced that it will be ceasing operations in Costa Rica and Antigua following the issue of a Temporary Restraining Order by the United States District Court for the Eastern District of Missouri. The company no longer feels that the US facing operations in Costa Rica and Antigua are viable businesses, and will now close down those operations as soon as practicable.

BETonSPORTS intends to pay liabilities to staff and creditors in an orderly manner and repay balances due to US customers. However, these moves will depend upon persuading banks and cash processors to release its funds. The company will also have to raise sufficient revenue from operations outside Costa Rica and Antigua. The Directors undertake to ensure that no wagers will be accepted knowingly from US-based clients.

The demise of BETonSPORT’s US operations will mean lost jobs for many people in Antigua and Costa Rica. The company, established in 1995, was considered one of the largest licensed and publicly-traded online wagering companies in the world. Its offices in the UK, Antigua, Costa Rica, Malaysia, Dominican Republic, Guatemala and Mexico employed over two thousand people. In February the company predicted that year profits would meet expectations and the group was valued at around US$261.2 million.

In a report on Interim Results published 20 September 2005 by BETonSPORTS, David Carruthers now ex-Chief Executive, said: “"During the past six months we have successfully progressed our strategy of changing from a US sports book orientated business into an international on-line gaming company, strengthened our management and executive teams to manage our growth and launched new marketing and advertising initiatives. These actions have placed BETonSPORTS in a position to develop the business over the medium term into a stronger and more sustainable online gaming business.”

In May last year BETonSPORTS acquired Easybets, one of the largest recreational online Asian facing sportsbooks and casino operators but events in the United States have rapidly changed the panorama visualised by the company. It remains to be seen whether the first steps it took away from reliance on the US online betting market towards new horizons in Asia will be sufficient to sustain the company in the months to come. (E-08.11.06)

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