US seizes Canadian company under gaming laws
The US Department of Justice (DOJ) has seized the assets of a Canadian e-wallet, Citadel Commerce has announced.
Issuing a statement to the press, Citadel revealed that around $9.25 million has been frozen by the US authorities, although it does not specify whether the companies it served were taking bets from US customers - now illegal.
What is clear is that Citadel was active after the Unlawful Internet Gambling Enforcement Act was introduced.
The DOJ has come under fire from the World Trade Organisation (WTO) in the past when it tried to ban an online gambling site in Antigua from taking US bets.
In the ruling, the WTO announced that the US had no jurisdiction outside US borders, and permitted the Antiguan website to continue.
This is the same defence NETeller, another foreign e-wallet with assets frozen by the US, is hoping to employ.
Criticism was made of the US government for acting hypocritically by allowing gambling on US soil in certain states but not allowing members of the free trading world to offer gambling to US citizens from abroad.