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Based on a recent thread on Poker Fraud Alert, PokerNews has learned that Christian Lusardi, the then 42-year-old responsible for introducing counterfeit chips into play in the Borgata Winter Poker Open $2 Million Guarantee in 2014, was released from prison on parole this past July after almost eight months in prison.
He was paroled July 25, 2016, according to his offender records kept on the State of New Jersey’s Department of Corrections website.
He was serving two sentences with max terms of three and five years for copyright infringement and trafficking in counterfeit labels for both the use of the counterfeit chips and also for his international DVD bootlegging operation (that police discovered after searching his residence in relation to the Borgata case).
Back in 2014, tournament officials suspended and ultimately canceled the Borgata Winter Open $2 Million Guarantee after the officials and state police were made “aware of a situation involving counterfeit chips.”
After 24 hours, the investigation by the Borgata Hotel Casino & Spa and the New Jersey Division of Gaming Enforcement confirmed that one or more entrants used a significant number of counterfeit chips during the tournament, so it was subsequently cancelled.
With 27 players left in play, the tournament was set to continue for a top prize of $372,123. The rest of the tournament continued as planned anyway.
'It is extremely unfortunate that the criminal actions of these individuals can have a detrimental impact on more than 4,000 other entrants,” Tom Ballance, the Borgata’s president and chief operating officer, said at the time. “We fully understand and regret the disappointment this cancellation causes our valued customers, and we will work diligently with DGE investigators to resolve the situation as quickly as possible. The integrity of our games and the confidence of our players is of the utmost importance to us.'
By the next weekend, Lusardi had been arrested after the New Jersey State Police and the New Jersey Division of Gaming Enforcement discovered 2.7 million in counterfeit chips in a clogged sewer pipe at Harrah’s Resort and Casino.
A police investigation revealed that Lusardi was staying in that room where the pipes were clogged. Lusardi introduced the counterfeit chips multiple times, entering Day 2 with the chip lead, but was eliminated that day with only “$6,814” according to The Press of Atlantic City.
A warrant was issued for his arrest after he left Harrah’s. He was charged with rigging a publicly exhibited contest, criminal attempt and theft by deception. He was later found at a motel in Atlantic City and taken to the Atlantic County Justice Facility. His bail was set at $300,000.
Lusardi was sentenced to 60 months in prison and three years of supervised release on March 30, 2015. He was also ordered to pay a $1,137,864.01 restitution. He plead guilty to both counts, copyright infringement and trafficking in counterfeit labels.
He was originally processed through the United States District Court for the District of New Jersey and sent back to North Carolina to face more serious federal charges, explained PokerNews legal contributor Maurice “Mac” VerStandig.
'Could he have negotiated a dismissal of the state charges in exchange for his federal plea? Absolutely,' VerStandig said. 'Is it odd that he pled guilty to both counts with which he was charged in federal court? Somewhat. Does this suggest federal and state prosecutors cooperated? Maybe. But is any of this a certainty? Absolutely not.'
The DVD counterfeiting investigation by the Department of Homeland Security and the United States Postal Inspection Service was subsequently prosecuted by Assistant United States Attorney Susan B. Menzer. The Wilmington, North Carolina USAO office sent out this as part of a press release.
Investigation revealed that several boxes of counterfeit DVDs mailed from China were intercepted by the National Intellectual Property Rights Coordination Center and Customs and Border Protection (CBP). The boxes of counterfeit DVDs were controlled delivered to the identified address. Shortly after the controlled delivery was complete, agents made contact with Lusardi which resulted in the subsequent search of Lusardi’s residence. The search resulted in the discovery of over 35,500 counterfeit DVDs. Investigation revealed that between June 2010 and July 2012, Lusardi was in the business of receiving, manufacturing, and selling counterfeit DVDs in both the United States and Canada. It was determined that Lusardi received over $1.3 million in his PayPal account during this time period.
This isn’t Lusardi’s first interaction with law enforcement’ police raided his home in an illegal gambling bust in 2008 and he was charged with gambling and alcohol sales.
The New Jersey Division of Gaming Enforcement Director David Rebuck released a final order in April 2014 regarding how the payouts would be disbursed to affected players, announcing that Borgata would be responsible for $1,721,805, with that total including the $1,433,145 in prize money and the revenue collected from entrants ($60 per entry, a total of $288,720).
Six of the players involved in the tournament later filed a lawsuit against Borgata: Duane Haughton, Michael Sneideman, Cuong Tran, Alvin Vatanavan, Christopher Korres, and Cuong Phung. They filed a civil action complaint with the Superior Court of New Jersey alleging four counts of negligence, breach of contract, breach of implied contract and negligence per se.
The plaintiffs in the action concluded by demanding a trial by jury.
“In the short term, the next step is for the court to issue a summons and for us to have the Borgata formally served with this complaint,” VerStandig explained. “We anticipate this will happen in the next week or two, and the Borgata will then have to file a responsive pleading. I somehow doubt I am alone in being curious to see whether the Borgata will attempt to justify its actions in this matter, once formally summoned to court to do so.”
According to Flush Draw, multiple lawsuits were filed, but all appeals resulted in judges upholding the Division of Gaming Enforcement’s distribution plan. The case above was dismissed in 2014 and was not appealed.
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Brandon 'shanetrain22' Shane was a well-known American online poker tournament grinder before Black Friday rocked the world on April 15, 2011. Many American poker players were left in the dark when the biggest online poker networks in the world were permanently blocked by the US Department of Justice from offering services to players in the country.
Shane explained that due to being staked for his tournaments, the effects of Black Friday were not as big as it was to other players who either were left without a source of income or moved on a full-time basis out of the United States.
'I was mostly a mid-stakes grinder before Black Friday and was backed, so I wasn't making a ton of money at that point,' Shane said. 'After Black Friday, I continued to play poker, but on gray market sites and did very well there as the games were quite soft. Moneywise, I wasn't affected nearly as much as some of the higher stakes guys, so Black Friday wasn't actually too awful for me.'
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Part of the reason Shane wasn't affected as much as some of his peers is that around the same time Black Friday hit, he began getting involved in coaching on a large scale for a large international MTT stable.
While coaching, he did all he could to improve his game without leaving the country.
'I was also being coached by a great high-stakes cash player, so I was able to continue improving my game even without the ability to play on PokerStars, Full Tilt, etc. from the U.S.,' he said.
While more opportunities would have presented themselves to Shane as an online poker player if he left the United States, he had personal reasons to stay around his home in Columbus, Ohio. However, Shane did share that he traveled to Canada quite a bit for some of the bigger poker festivals including the Spring Championship of Online Poker and the World Championship on Online Poker (WCOOP).
'I was also in a fairly serious relationship at the time,' Shane explained. 'So for this and all the reasons I mentioned, I didn't feel the need to move outside the U.S.'
Two years after Black Friday, New Jersey became the third state to permit legal and regulated online poker across a variety of licensed online poker rooms including BorgataPoker.com. During the past year, Shane moved to New Jersey to take advantage of the currently online poker climate in the state since he no longer had anything serious to tie him down to Ohio.
'Eventually I started transitioning to small-and-mid-stakes cash games and was doing pretty well at them, though I was never super confident when it came to payouts, etc. on unregulated U.S. sites,' Shane said. 'People started complaining all the time about cashouts taking several weeks and I had one or two issues with it as well. At the same time I was talking to a handful of friends who lived in New Jersey and they were doing quite well playing both cash [games] and tournaments there. So I decided I would give it a try. At this point I was single and most of my family had moved out of Ohio. So while I obviously missed my friends there, I decided it was still probably the best thing for me to at least give it a try.'
Shane, who now calls Hoboken his home, appears to be very happy with his move to the east coast despite there being less liquidity on regulated online poker rooms in the Garden State when compared to those offering games around the world.
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'While the traffic is relatively low, the cash games are solid,' Shane said. 'There's some fairly strong regulators at the tables, but I'm friends with several of them, which just adds another competitive element for me. When I first got to NJ, I played very few tournaments as I really wanted to focus on acclimating to the cash game. However, as I look back on it, I probably should've been playing tournaments every Sunday as well as there's a handful of very high-value tournaments. I'm making sure to do that more now. Compared to players competing on sites available to the rest of the world, the average skill of the players is significantly worse in both cash games and tournaments. This makes playing for smaller prize pools a bit easier to stomach.'
Despite not living in the Garden State until recently, Shane has visited the state's most prestigious poker room at the Borgata Hotel Casino & Spa a handful of times. He explained that the options at Borgata were so much better than those at his local casino in Ohio, even without special poker festivals running.
'Before moving to NJ, I visited Borgata maybe three times over the course of several years,' Shane said. 'I always loved the venue and the tournaments, but the added travel and hotel expenses made it a bit less attractive to me. Now that I live in Hoboken, it's just a two hour drive so I don't plan on missing any of the World Poker Tour (WPT) events or other big tournaments held there. Plus the tournaments are far better than anything in or near Columbus, Ohio. The Columbus Hollywood Casino held basically zero reasonably sized buy-in tournaments. The World Series of Poker circuit events in southern Indiana, a three hour drive or so, at least had a $1600 main event, but the fields were so small that it always just felt like a hassle and not really worth the time. Now that I'm close to Borgata I'm going to take full advantage of the great events they have to offer.'
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Shane credited tournament director Tab Duchateau as one of the main reasons he loves heading to Borgata.
'Borgata events get some of the biggest fields and prize pool guarantees in this part of the U.S.,' Shane said. 'Plus Tab Duchateau does a really nice job running things. Those are the main reasons I'm always happy to make the two hour drive from Hoboken to Atlantic City any time they're running a series.'
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Shane will have the opportunity to do just that, as the 2016 Borgata Poker Open is heading back to the casino for more than two weeks of poker tournament action from Sept. 6-23. The schedule features 19 tournaments highlighted by three events with at least a $1 million guaranteed prize pool including the six-day $3,500 WPT Borgata Poker Open Championship taking place from Sept. 18-23.
The Borgata Poker Open is also making history by hosting the two-day $2,150 PokerNews Cup Sept. 20-21, the first of its kind ever to take place in the U.S.
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At a minimum, Shane plans to play both the $3,500 WPT Borgata Poker Open Championship and the $2,150 PokerNews Cup. While he will not likely be playing many satellites, if any, he shared how players can get in for much cheaper than a four-digit buy in to these two events.
'I know Borgata's online site, BorgataPoker.com, is running various satellites for the PokerNews Cup and other events on the schedule, so anyone who's looking to play a bigger buy-in event should certainly check those out.
Shane also said that he is always happy to see new tournaments at Borgata. He is especially excited that one of them happens to be the PokerNews Cup.
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'I'm always happy to see more tournaments added to already solid schedules like the ones Borgata organizes,' Shane said. 'I know in years past the PokerNews Cup has created some solid prize pools, so I'm hoping it'll be the same this time around.'
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For those of you that plan to visit Borgata for the first time during the poker festival, Shane has a quick tip of where to eat if you get the late-night munchies.
'I'm a big fan of Noodles of the World,' he said. 'It's open late and it always hits the spot after a long day of playing.'
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