Anyone Out There Have Any Info on Sam Simon's Huge Online Poker Cheat Scams?

Sam Simon

I came across an article on onlinepokernews.org claiming that Sam Simon, an avid poker player and successful television producer who happens to be one of the original developers of "The Simpsons," has told the site that a certain well-known high-stakes poker player got cheated out of more than $4 million playing online by one or more big-time poker cheats who managed to sneak into the unidentified player's house and install a high-tech digital camera in the ceiling of his study above the computer screen on his desk. Thus they secretly filmed all his hole cards as they appeared on the alleged victim's computer screen and used that huge advantage to fleece him. Simon allegedly said this particular mystery online poker-cheat victim is also a huge brick and mortar poker player in cash games. No details were offered on how the victim found the camera besides his repeatedly losing and losing and maybe becoming suspicious that a camera was actually there.
However, I have heard of no incidents or reports backing up any of these claims, and was wondering if maybe you have. Simon has allegedly also been speaking publicly about other huge online poker scams he's heard of firsthand from cheat victims, mostly collusion scams, which is nothing new to any of us.

My take: Well, if Simon's claims are true and not just a figment of the same fertile imagination that created "The Simpsons," I sure hope that the victim is one of the poker-cheat assholes that cheat us with their acting-jobs  on the Game Show Network's "High Stakes Poker."

Kahnawake Gaming Commission Releases Official Statement on Ultimate Bet/Absolute Poker Scandals

The Kahnawake Gaming Commission (KGC), which oversees numerous online poker sites using Kahnawake-based Internet services in Canada, has released an official statement regarding the unfolding situation on UltimateBet Poker. The statement follows by several months the KGC's earlier involvement in the resolution of a similar scandal at Absolute Poker.

In its statement, the KGC affirms that a future decision regarding UltimateBet is forthcoming, and that its overriding concerns have been to secure full player refunds and to implement corrective measures to prevent further abuse from taking place. The complete body of the text of the KGC statement follows:

KAHNAWAKE GAMING COMMISSION

Mohawk Territory of Kahnawake
July 23, 2008

Kahnawake Gaming Commission (the "KGC") has been continuously regulating online gaming for over 9 years – longer than most, if not all, other jurisdictions. During that period of time, the KGC has proven to be a world leader with regulations and methodologies that have established a regulatory environment in which online gaming can be conducted fairly and securely. The KGC's success as a regulator is evidenced by the fact that a significant percentage of the online gaming industry has chosen to locate and operate within Kahnawá:ke. Given the length of time that it has regulated this new industry and the significant number of licensees under its control, the KGC's record has been exemplary.

As commentators have correctly noted, even the most well regulated industries are not immune from abuse. Examples can be found in the banking, securities and land-based gaming industries. The fact that the online gaming industry is new and is technologically driven creates additional regulatory challenges. Throughout its history, the KGC has met these challenges and its regulations have been emulated in a number of other jurisdictions around the world.

Over the past several months, it was discovered that individuals within two of the KGC's licensees – Absolute Poker and Ultimate Bet – had created and carried out a scheme to cheat players. In both cases, the improper conduct of these individuals was brought to the attention of the licensees, and the KGC, by affected players. The KGC acknowledges the diligence and sophistication displayed by these players and the role they played in bringing these matters to light.

The first case involved Absolute Poker. After a thorough investigation carried out by the KGC and its agents, Gaming Associates, the KGC rendered its decision in this matter on January 11, 2008. This decision concluded that the cheating that took place was not initiated, nor did it benefit, Absolute Poker as a corporate entity, or its directors or principal ownership. The decision imposed a number of sanctions and conditions on Absolute Poker, including twenty-four specific directions for changes to its management and systems. The KGC was provided evidence that all players affected by the cheating that took place were fully reimbursed for their losses.

Shortly after its decision was rendered in the Absolute Poker matter, the KGC first became aware of similar allegations of cheating involving individuals within Absolute Poker's sister company: Ultimate Bet.

Over the past several months, the KGC has been closely involved in an in-depth investigation of the Ultimate Bet cheating allegations. Significant efforts have been expended to identify and correct the flaws in Ultimate Bet's system that permitted the cheating to take place; to identify the individuals that were responsible for the cheating and to ensure that all affected players were fully reimbursed. Unfortunately, the KGC's actions were not well communicated to the poker industry or public at large, creating an incorrect perception that the KGC was 'doing nothing'.

The KGC's investigation into the Ultimate Bet matter has yielded a number of key findings which, within the next several days, will enable the KGC to issue its decision on the appropriate steps to be taken.

It should be stressed that the KGC's primary concern throughout both matters was to ensure that affected players were fully reimbursed and that corrective measures were implemented to prevent against any further incidents of cheating. Both of these objectives have been accomplished – as evidenced by the fact that the recent concerns that have been raised about the Absolute Poker and Ultimate Bet matters are not being driven by affected players.


Murray Marshall
Senior Advisor
Kahnawá:ke Gaming Commission

PokerStars Responds to Jennifer Newell's Security Cheat Inquiry

Well-known poker writer Jennifer Newell, who has covered the subject of cheating in online poker quite thoroughly these days, claims that she sent questionnaires to the security staffs of all the major online poker sites that accept US players. According to Newell, only PokerStars responded, which doesn't at all surprise me as they have been at the forefront of the fight against online poker cheats. Here are the questions and answers between Newell and PokerStars:

Q: What company or individual(s) own your site?

A: PokerStars is owned by Rational Entertainment Enterprises Limited, a privately held Isle of Man company.

Q: What company or organization holds your gaming license?

A: There is a misconception about offshore companies being unlicensed and unregulated. PokerStars holds its license with the Isle of Man Gambling Supervision Commission. More information can be found at www.PokerStars. com/IOM.

Q: What is your site's stance on multi-accounting and seat-selling practices?

A: With trivial exceptions, a player may play on only one (his) account during a tournament and may not "hand off" his seat mid-event to a different player. Violation of this rule may result in penalties including disqualification from the tournament, with full forfeiture of winnings (which will be distributed to other players) and barring from PokerStars. Further clarification, including examples of what is acceptable and unacceptable activity can be found under Rule 21 at www.PokerStars.com/Poker/Tournaments/Rules.

Q: What security measures does your site employ to prevent cheating?

A: PokerStars employs a large number of experienced poker players who review any suspicious activity at the tables. These reviews are initiated from three main sources: 1) player complaints, 2) automated alerts of unusual activity, and 3) standard scheduled reviews of accounts. These reviews involve examining both account activity and the hands played by the player in question for any suspicious activity. In addition, we have a Games Security department whose only goal is to protect players from inappropriate activity by other players.

Q: How can you assure players that their money is safe and the games are fair?

A: Regarding money, all PokerStars player balances are held in a segregated account of a major European bank and are never used for any sort of operating expense. PokerStars was the first major site to establish a segregated account of this nature. If every player on the site wished to cash out their full balance tomorrow, there would be absolutely no problem handling all of the requests. No player has ever failed to receive a cash-out on our site in over six years of operation.

Regarding games, as indicated above, we engage in both reactive and proactive reviews of the play between players on our site. In terms of receiving a fair deal, we have undertaken great lengths to develop truly random shuffle, safe from any hacking or manipulation. Our random number generator was submitted and verified by multiple auditing agencies. More details can be found at www.PokerStars.com/Poker/Room/Features/Security.

Finally, we have a standing offer with every real money player on our site to send them every real money hand that they have ever played for review... Many players have taken advantage of this service, and often publish their results, all of which always indicate that our shuffle is completely random.

Q: What separates you from other online poker sites with regard to safety and security?

A: Several of the measures outlined above are unique to PokerStars (segregated account balances, offer to send all hand histories). However, the biggest way that we separate ourselves is by the company culture that has customer focus as the main company value. That focus is what brought us the reputation of having the best support in the industry. PokerStars was founded by businessmen and technology professionals who were also passionate recreational poker players viewing poker as both challenging and entertaining. Much of senior management is still heavily comprised of people who love poker and who are committed to providing a great poker experience for all our players.