The ability of the Mohawk regulators to affectively police a number of online gambling operations on the Kahnawake reserve has been called into serious doubt after the second cheating scandal in less than a year. This latest scandal revolves around grand chief Joe Norton and his ownership of the UltimateBet.com online gambling operation.
It has been revealed that a number of company insiders had amended the software which runs the online Poker division, allowing them to see the supposed hidden cards of players. This then allowed the insiders to adjust their bets accordingly and bank huge wins during the 15 months that the fraud was active. While the company will not confirm how much money was defrauded from their customers it looks set to dwarf the $600,000 figure taken by the Twoplustwo.com fraud which was only in affect for four months.
This has not only shaken he trust in the tribe to regulate their own online services but it has also called into question the checks made by the regulators. Many legal experts suggest that this is only the beginning of the company’s problems with a flood of legal claims set to hit the court rooms over the coming weeks and months.