Judge Dismisses Cheating Charges Against Mike PostleU.S. District Judge Also Dismisses Charges Against Justin Kuraitis And Stones Gambling Hall |
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In a decision that will undoubtedly anger poker players across the world, A United States District Judge in Sacramento has ruled in favor of Stones Gambling Hall, Justin Kuraitis, and Mike Postle Wednesday, opting to grant their motions to dismiss pending civil lawsuits stemming from Postle’s alleged cheating on Stones’ live stream.
In a 24-page opinion, Judge William B. Shubb of the Eastern District of California, dismissed all charges against the three defendants. The ruling all but puts an end to the $30 million lawsuit surrounding one of the biggest cheating scandals in recent poker history.
In mostly small-stakes, live-streamed cash games in the Sacramento-area casino, Postle won roughly $250,000 throughout an improbable winning streak where he booked victories in nearly every session he played. After about a year of consistently booking winning sessions while implementing an erratic strategy, former Stones employee Veronica Brill aired her concerns last October that Postle was cheating the game.
Brill and several other prominent members of the poker world broke down countless hours of live-stream footage to illustrate when and how they thought Postle cheated. The consensus from Brill and others was that somehow, Postle was receiving information about his opponents’ hole cards. However, it was unclear to them exactly how he was doing it.
Veteran gaming attorney Mac VerStandig took Brill on as a client and filed a suit against the three defendants. He also added more than 80 other poker players to the list of plaintiffs, all of whom played with Postle on-stream.
Between the three defendants, there were a combined 14 complaints, all of which were dismissed by Shubb.
He dismissed complaints of negligent misrepresentation, fraud, negligence per se, unjust enrichment and a RICO (Racketeer Influenced and Corrupt Organizers Act) claim against Postle.
Kings Casino, the parent company of Stones, had all six complaints dismissed, including negligent misrepresentation, negligence, constructive fraud, fraud, and a libel claim against Brill. Kuraitis was facing complaints of fraud, negligent misrepresentation, and negligence.
In its last filing for dismissal, the legal team for Stones argued that per California law, gambling losses can not be considered damages. Kuraitis made similar claims in his filing.
Shubb agreed and pointed to Kelly v. First Astri Corp., a 1999 case involving blackjack players suing a casino for using marked cards, to make his point. The casino won that lawsuit as well.
“California’s strong public policy against judicial resolution of civil claims arising out of gambling disputes mandates the dismissal with prejudice of plaintiff’s claims against Postle for fraud, negligent misrepresentation, negligent misrepresentation, and unjust enrichment,” wrote Shubb.
All of Postle’s charges were dismissed with prejudice, meaning that VerStandig would have to file an appeal in order to continue the legal battle against the alleged cheater.
Shubb left an opening to continue the fight against both Kuraitis and Stones, however, as some of those charges were “dismissed with leave to amend.”
“Plaintiffs are granted 20 days from the date this Order is filed to file an amended complaint against defendants King’s Casino and Kuraitis if they can do so consistent with this Order,” wrote Shubb.
According to a tweet from VerStandig, it is apparent that an amended complain will be filed. There is no word about an appeal.
Disappointment is not a strong enough word, but we will continue the fight with an amended pleading. In the interim, I would encourage everyone to read the judge's opinion, which is detailed and well-written. My admiration for our clients has no bounds. https://t.co/bt5POVWawe
— Mac VerStandig (@mac_verstandig) June 3, 2020
Upon hearing the news, Brill took to social media as well to express her anger at the judge’s ruling.
Just letting the poker community know that if you decide to cheat on a live stream you are free to do so. There will be no accountability for your actions and you are free to steal hundreds of thousands of dollars. The casino, and employees who might help you, are not accountable
— Veronica BLM (@Angry_Polak) June 3, 2020