Attorneys for the Commonwealth of Kentucky have fired back in the case involving the seizure and potential forfeiture of 141 internet gambling domain names. Kentucky counsel declared that the Interactive Media Entertainment and Gaming Association (iMEGA) “cannot establish standing.”
In response to iMEGA’s motion to transfer the case from the Kentucky Court of Appeals back to the state’s Supreme Court, Commonwealth attorneys emphatically noted, “There is no set of circumstances under which it is permissible to allow an ‘association’ to appear in the stead of an individual or entity in an in rem civil forfeiture action under Kentucky law.”
As has been the case with groups attacking internet gambling in the past, Kentucky attorneys compared the industry to illegal drug trafficking and pornography: “To permit standing in such a case would sanction a ‘Narcotics Trafficking Association’ or ‘Child Pornography Association’ to appear to contest the seizure of illegal drugs or child pornography.”
After the Kentucky Supreme Court ruled that iMEGA did not have standing in the case because its composition was unknown, the owners of TruePoker.com, one of the domain names at risk, admitted to being members. Therefore, iMEGA, in theory, represented those harmed in the case and could demonstrate standing. As you’d expect, Kentucky attorneys disagreed with the logic: “Identification of one member who is an owner of one domain defendant cannot and does not provide a basis upon which iMEGA may be granted associational standing… Instead, [TruePoker.com owners] Yatahay [Limited] must come forward and defend its interest.”
The Commonwealth’s response to iMEGA’s motion to transfer spans 15 pages and concludes with at attempt to debunk the affidavit submitted by Yatahay Limited asserting that the company is a member of iMEGA. Kentucky attorneys navigated their web browsers to TruePoker.com, where text can be found saying that TPCR Development SRL, a company located in Costa Rica, owns the site. True Poker’s holding company is TrueCashier Limited, based in Ireland. A screen shot of the web page is attached as an exhibit in the document. According to PokerScout.com, Yatahay Limited’s game servers are located in Costa Rica.
Kentucky attorneys also took aim at iMEGA Chairman Joe Brennan’s affidavit affirming that Yatahay Limited is a member of the trade organization. The Commonwealth’s filing reads in part, “Other than succinctly stating that Yatahay owns TruePoker.com, the affidavit does not specifically provide that Yatahay has a specific interest in the underlying litigation.” Brennan did not share the total number of iMEGA members or claim how the trade organization and True Poker would be hurt should the Commonwealth prevail. Also being questioned are the notary seals on both affidavits.
In addition to the response to the motion to transfer, Kentucky legal counsel filed a motion for extension of time to respond to the writ. The document pleads for “the interest of judicial economy” and asks for 20 days’ time following the Kentucky Supreme Court’s decision to take the case once again, if such a decision occurs. The original Kentucky Supreme Court decision was handed down on March 18th, with writs of prohibition filed on March 23rd and March 26th. On March 26th and March 31st, the Kentucky Court of Appeals granted motions transferring the case back to the state’s Supreme Court. When the Kentucky Supreme Court will act is not yet known and additional oral arguments will likely not be held.
The Kentucky Justice and Public Safety Cabinet, led by J. Michael Brown, represents the Commonwealth. The state’s legal counsel is Hurt, Crosbie, and May, located in Lexington, and Foote, Meyers, Mielke, and Flowers out of Geneva, Illinois. The motion for an extension of time is dated on Monday.
Stay tuned to Poker News Daily for the latest in the Kentucky internet gambling case.