New Jersey Division of Gaming Suspends PokerStars Application

New Jersey has suspend PokerStars' application for online gaming.

New Jersey has suspend PokerStars’ application for online gaming.

The New Jersey Division of Gaming Enforcement has suspended the application from PokerStars for online gaming for two years. The decision stems from the unresolved issues surrounding the federal indictment against PokerStars head Isai Scheinberg. The decision will block the online giant from entering New Jersey as an online operator but does leave the door open for PokerStars to renew the application.

“The Division of Gaming Enforcement has determined that the application of Rational Services Limited (PokerStars) casino service industry license (CSIE) will be held in a suspended status for a period of two years,” said the NJ DGE in a statement on their site.

However, if PokerStars is able to resolve the legal issues with the Department of Justice “The Division, within that period, may consider a request for relief to reactivate the application if significantly changed circumstances are demonstrated a which time the Division’s investigation of PokerStars and its affiliated entities and associated individuals will be resumed to assess suitability.”

The dramatic change in circumstances refers to Scheinberg’s federal indictment status stemming from the Black Friday shutdown. The NJ DGE  also stated that “the involvement of certain PokerStars executives with Internet gaming operations in the United States following the enactment of the UIGEA.”

PokerStars has been eyeing a move into New Jersey since the company tried to to purchase the brick & mortar casino the Atlantic Club in January. PokerStars filed suit against the parent company of the Atlantic Club, Colony Capital LLC, after the deal fell through, lost the decision and then filed an appeal.

PokerStars responded in a statement with, “We are disappointed that the NJ Division of Gaming Enforcement has suspended the review of our application at this time,” said Eric Hollreiser, Head of Corporate Communications for PokerStars. “We note that the DGE will resume the review of our application if our circumstances change. We will remain in open dialogue with the DGE and will update them on changes in our situation as they occur.”

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Paul Oresteen

Senior Writer: Paul Oresteen originally joined BLUFF in 2008 as an intern. He covered two World Series of Poker’s before leaving to join PokerNews.com. After a two year hiatus Oresteen returned to BLUFF in November 2012. Since starting as a poker journalist Oresteen has covered the World Series of Poker, WSOP Circuit, World Poker Tour and European Poker Tour. He graduated from Georgia State University with a B.A. in Communications in 2008.
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