Borgata Players File Claim over Chipgate Settlement Borgata Players File Claim over Chipgate Settlement
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Key Takeaways
  • Six players of the final 27 remaining when the Borgata Winter Open was cancelled have filed a Civil Action Complaint against the Borgata Hotel Casino and Spa.
  • Duane Haughton, Michael Sneideman, Cuong Tran, Alvin Vatanavan, Christopher Korres, and Cuong Phung are each claiming over $33k.
  • The players are also accusing the Borgata of having quietly paid some of the remaining player an ex gratia sum in exchange for signing a confidentiality agreement.

Six players of the final 27 remaining when the Borgata Winter Open was cancelled after counterfeit chips were found to be in play, have filed a Civil Action Complaint against the Borgata Hotel Casino and Spa.

Duane Haughton, Michael Sneideman, Cuong Tran, Alvin Vatanavan, Christopher Korres, and Cuong Phung are each claiming over $33k in damages, accusing the Bogata of negligence and breach of contract according to a report by PokerNews.com.

The Decision Following the Incident

A month ago, the New Jersey Division of Gaming Enforcement (DGE) issued its final order which detailed how the prize pool should be distributed. The distribution took a proportion of the remaining prize money and used it to reimburse players who had been affected by the fake tournament chips.

Each of the final 27 players were awarded $19.3k, but the six players who have brought the case, say that a straightforward division of the remaining funds would have given them $53k each. They are claiming the difference between the $19k they have received and the amount they would have received had all the remaining prize pool been distributed between all the remaining players—plus interest plus legal costs.

Plaintiffs Seek Additional Players

One of the attorneys representing the six players asks that any other member of the 27 remaining players who has not signed such an agreement join in the legal action.

PokerNews obtained a copy of the complaint, and reported that the players are also accusing the Borgata of having quietly paid some of the remaining players an ex gratia sum in exchange for signing a confidentiality agreement.

“Upon information and belief, the Borgata has privately agreed to pay monies over and above the Paid Sum to various members of the Final 27, in exchange for each such recipient executing, inter alia, a confidentiality agreement, and the Borgata has intentionally set out about ensuring the various members of the Final 27 not know how much money has been paid to select colleagues of theirs.”

Prior Litigation

In February, before the DGE investigation was completed, a separate class action lawsuit was filed, claiming a refund of players’ entry fees together with compensation for food, travel and accommodation costs.

In the order following its investigation, the DGE expressly stated that the Borgata was in compliance with the Gaming Act, “and the regulations promulgated thereunder, specifically regulations related to the conduct of tournaments”

Since the incident, for which Christian Lusardi has been charged, the Borgata has introduced new tournament chips which feature security enhancements, and announced that there will be closer monitoring and checks to reduce the chance of such an issue happening again.