The controversial former chief executive officer of BetOnSports, David Carruthers, is expected to make a plea bargain with government prosecutors as a way of avoiding a conviction for racketeering and fraud charges.Carruthers had just recently been released on a $1 million bail.
But he is still at present under hotel arrest in a Clayton, Missouri hotel because of bail restrictions which prevent him from leaving his hotel except for a medical emergency and his court appearances. Carruthers is at present wearing an ankle bracelet to monitor where he is constantly.
According to business law professor Joseph Kelly, he believes that the prosecutors in Carruther’s case are really not after the man himself but on information that he can provided on Gary Kaplan, the founder of BetOnSports. Kaplan has been charged with 20 felony violations and is currently being actively pursued by the Federal Bureau of Investigation (FBI). According to Professor Kelly, who is also considered as an online gambling expert, “Once the plea is reached, Carruthers would cooperate with the prosecutors and disclose everything.”
The first ever hearing in Carruthers’ trial was supposed to have been for yesterday but Kelly believed the case would not go that far. He said that it is overwhelmingly probable that the government does not really want to bring Carruthers to court.
Kelly surmises that what the government really wants from him is to make a plea bargain and turn over information Kaplan himself, which is the real big fish in the BetOnSports organization. With Kaplan neutralized by an arrest the government will have a bigger chance of landing a bigger blow to the online gambling industry.