5DIMES ALLEGEDLY USED AMAZON GIFT CARDS TO CIRCUMVENT U.S. FINANCIAL SYSTEM (Update)
U.S. Department of Home Security applies for seizure warrant.
According to Vox Media-owned tech business website Re/code, Costa Rica-based online gambling operator 5Dimes laundered around $2 million through the use of Amazon gift cards in order to circumvent the U.S. financial system.
The report is based on an alleged application for a seizure warrant recently filed by the Department of Homeland Security (DHS) in a U.S. District Court in Philadelphia.
Re/code reports the DHS application alleges that 5Dimes “instructed U.S. customers to use Amazon gift cards to fund their 5Dimes sports betting, in an effort to skirt the U.S. financial system. The feds [sic] say 5Dimes also paid out winnings to U.S. customers in Amazon gift cards, or in merchandise they picked out on Amazon.com.”
“[T]he investigation has determined that 5Dimes has developed an alternative to the traditional online financial payment methods, which is unavailable to 5Dimes under federal law, in order to operate its illegal betting operation in the U.S.,” Re/code reports the document reads. “This illegal alternative relies on the use of [Amazon gift cards], in violation of Amazon’s terms of service.”
The DHS reportedly requests the seizure of $159 000 sitting in 15 Amazon accounts which it believes are tied to 5Dimes.
Re/Code’s full report can be accessed here: http://recode.net/2016/03/15/offshore-gambling-site-laundered-2-million-in-amazon-gift-cards-feds-say/