Article: Bank threatens to seize reporters account

[MiltonFriedman]

"Not that one particular bank couldn't take their own steps, but as far as a bunch of banks starting to do this....no way."

Yes, way.

If the "accepted" gospel becomes it entails a legal risk, Banks will drop gaming business en masse, faster than you can say Paypal. How many banks in the US already will not process gaming transactions AND it is not even illegal to makev them. How many Banks are there in Canada, the UK, wherever, which would limit their exposure to US sanctions if The Bill passes.

[MiltonFriedman]

Did HSBC say it would freeze his card/account or that it would seize his account ?

Did HSBC ever accept sports bet transactions before this attempt ?

[MiltonFriedman]

Freezing/forfeitrue happen all the time with respect to "gaming".... The Travel Channel coughed up $3 million for DOJ that belonged to Paradise Poker, the BetOnSports banks froze that company's US funds, some WWTS funds were also frozen.

If you want to understand the real impact of The Bill, it IS the banking language, not withstanding the "small banks" reported opposition.

Given the choice between freezing or turning over "dirty" money or anything else painted as "money-laundering' or "illegal proceeds" and risking $1 .... how do you think the balance is struck ?

However, consider this ... DOJ is laying great groundwork to scare the bejeesus out of the industry service providers, even if The Bill does NOT pass this session.

[Uglyowl]

[ QUOTE ]
If you want to understand the real impact of The Bill, it IS the banking language, not withstanding the "small banks" reported opposition.

[/ QUOTE ]

The opposition is real and it is not just small banks! The legal wrangling is done behind closed doors and by the banks of all sizes, they have no reason to do this in the open.

[Richas]

[ QUOTE ]
Did HSBC say it would freeze his card/account or that it would seize his account ?

Did HSBC ever accept sports bet transactions before this attempt ?

[/ QUOTE ]

Good questions, the full article here is not too clear

http://www.timesonline.co.uk/article/0,,2095-2350224,00.html

I have a UK HSBC account and when I first deposited to a poker account I had a security call from them (I have had similar from my different credit card company) in which they asked if I had used the card to make the deposit and explained that as this was a high risk deposit they were making the call to avoid having to freeze the account against potential fraud which would inconvenience me.

Since then I have used the account to deposit at another site - no problem, no call. I reckon it is even money that this is a garbled account of that same call but with the script/guy in the call centre also adding a "helpful" warning to the journo that his bet was illegal in the US.

The "threat" to freeze the account was probably just an explanation of why the anti fraud security call was being made.

[StellarWind]

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I don't see where they have any grounds to make this threat. They have no knowledge of whether any wagering takes place, they only know that a deposit was made. They called him? This transaction was flagged as "allow, but call the customer immediatly"? Nonsense. Do they even have the authority to freeze an account without a judges order? They better not!!

[/ QUOTE ]
A bank can freeze your credit card whenever they like (racial discrimination, etc. excepted). They don't have to do business with you if they don't want to.

That's the way it should be in a free country. Banks are free too and there's always another bank to do business with. The problems come when the Government doesn't respect our freedom.