Poker News

New Jersey Gaming Revenues Fall 13.2% in 2009

According to figures released by the New Jersey Casino Control Commission, gaming revenues in Atlantic City dipped 13.2% during the 2009 calendar year compared to 2008. All told, area casinos raked in $3.9 billion.

Revenue derived from slot machines and table games were both hit hard. Funds pulled from the one-armed bandits dropped 13.1% in 2009 to $2.72 billion, while table game revenue fell 13.5% to $1.22 billion. Casino Control Commission Chair Linda Kassekert commented in a press release, “Casinos continued to suffer in 2009. The weak national economy, growing competition across our borders, and the partial ban on smoking in casinos combined to depress gaming revenues.” Officials in New Jersey are eyeing gambling expansion in Pennsylvania and Delaware as additional competitive pressures. In response, New Jersey State Senator Raymond Lesniak recently introduced a bill to allow intrastate internet gambling.

Despite the rapidly increasing competition and shrinking sources of revenue, Kassekert remained optimistic that Atlantic City’s uniqueness would continue to attract visitors to its casinos: “Atlantic City has a lot to offer visitors in addition to gambling. When the economy improves and people have more money to spend on entertainment, Atlantic City will draw more and more people interested in visiting our shops, enjoying a concert, dining in our fine restaurants, and relaxing on our beach.”

During the 2009-2010 World Series of Poker (WSOP) Circuit schedule, Atlantic City plays host to a pair of events. In December, Harrah’s Atlantic City held a slate of 17 poker tournaments. Its $5,150 buy-in Main Event saw Chris “SLOPPYKLOD” Klodnicki best a field of 195 players to earn $215,000. Heads-up, Klodnicki defeated fellow online poker player Kyle kwob20 Bowker, who pocketed $128,000. The WSOP Circuit returns to the New Jersey city in March for the Caesars Atlantic City festivities. The casino is fresh off awarding a record-setting $553,000 Bad Beat Jackpot to Delaware native Steven Gedney.

New Jersey casinos’ taxable gross revenue in 2009 was $3.7 billion, which meant that gaming establishments paid $295.3 million to the State. The funds, which represent 8% of taxable gross revenue, go directly to the Casino Revenue Fund, which benefits senior citizens and New Jersey residents with disabilities. Casinos also coughed up $49.3 million in reinvestment costs. On that cash outlay, the Commission explained, “They are required to reinvest 1.25 percent of taxable gross revenues in projects approved by the Casino Reinvestment Development Authority.”

In December, casino revenue slid 9.8% year over year to $272.1 million. Hit hardest during the final month of the decade was Trump Marina, whose revenues plummeted by 25.2% to $10.1 million. The second largest decline was seen at Trump Plaza, where revenues skidded 18.9% year over year to $13.0 million. At the Atlantic City Hilton, the news on casino “win” was equally poor, as revenues dipped 17.3% in December 2009 compared to December 2008 to $11.7 million. Caesars Atlantic City, contrastingly, saw a 4.4% rise in revenue in December.

For the 2009 calendar year, every single casino in Atlantic City posted lower revenue than in 2008. Three locales – Atlantic City Hilton, Trump Marina, and Trump Plaza – saw win dive by 20% or more year over year. Virtually untouched amid the sagging economy was the Borgata, whose revenues of $695.3 million in 2009 trailed its 2008 figures by just 5.9%. Only one other casino’s revenue fell by single-digits year over year, the Trump Taj Mahal. Beginning on Wednesday at the Borgata is its annual Winter Poker Open, which runs through February 5th. The Main Event, which has a $2 million guaranteed prize pool, begins on January 31st.

In Las Vegas, casino gambling revenue rose in November year over year, posting the first monthly gain in nearly two years. In Atlantic City during the same month, revenues slid 13.4% compared to November 2008.

Poker Expansion Realized in Pennsylvania

A flood of table games will soon be headed to casinos in Pennsylvania after the state’s House and Senate approved measures allowing their introduction into 14 casinos. Currently, only slot machines are allowed.

According to the Associated Press, the Pennsylvania House voted by a margin of 103 to 89 to approve the introduction of table games. Only 12 Republicans voted for the measure, while just 10 Democrats voiced their opposition to it in a vote split largely along party lines. In the Senate, a total of 28 “yays” and 22 “nays” were recorded in a similar margin of victory. Now, games like poker, blackjack, craps, baccarat, and roulette will be rolled out throughout the state.

In response to the passage, the Mason-Dixon Resort and Casino declared that it would apply for a license to open a property near the historic town of Gettysburg, the site of the infamous Civil War battle. Pennsylvania Governor Ed Rendell would have been forced into a quandary if the bill hadn’t passed, as Reuters reported that the state would have had to lay off nearly 1,000 of its staff due to a lack of revenue. Under the measure, funds will be pouring in from casinos, which will be allowed up to 250 table games, while resorts will be permitted to have up to 50. Licenses would run $16.5 million and $7.5 million, respectively. Table games are taxed at a rate of 16% for the first two years and 14% thereafter.

Pennsylvania gambling establishments will compete head-to-head with casinos in Atlantic City, which, like the rest of the world, have seen revenues fall since the latter part of 2008 due to a global recession. The World Series of Poker (WSOP) Circuit stops twice annually in Atlantic City. During the 2009-2010 schedule, Circuit staff popped into Harrah’s Atlantic City from December 4th to 20th. Between March 3rd and 20th, the epicenter of the Circuit universe will be Caesars Atlantic City; both are Harrah’s-owned properties.

The World Poker Tour (WPT) journeyed to the Borgata in Atlantic City in September. The buy-in for the feature tournament of the Borgata Poker Open was slashed to $3,500 due to the rough macroeconomic environment and, as a result, a mob of 1,018 players turned out. In the end, Olivier Busquet banked $925,000 for the win, defeating Jeremy Brown heads-up. The Borgata stop was the only visit to New Jersey for the WPT during its eighth season, which will air on Fox Sports Net.

The Associated Press noted that the introduction of table games may take six months to come to fruition. According to the news outlet, the opposition to the expansion of gambling was quite fierce: “Critics called the expansion of the 5-year-old slots gambling law fatally flawed and said that bolstered ethics rules for casino and Gaming Control Board employees were insufficient. They also said the bill should not have earmarked funding for certain pet projects.”

Democratic State Representative Dante Santoni told Reuters, "This is a common sense, bipartisan piece of legislation that makes our gaming facilities more competitive, improves the public's confidence in gaming, raises money we desperately need in these tough financial times, and - most importantly -helps put thousands of people to work in a brand new industry." Over 12 million people call Pennsylvania home as the eighth largest state in the Union.

As expected, Pennsylvania poker players were ecstatic to hear that table games would soon be coming to their fair state. On PocketFives.com, Ambler native “krispykreme” explained that he was looking forward to a shorter drive to gamble: “Finally. I was just talking to someone at work about this. Now, we are all going to go broke every day since it will only be like 20 minutes to the casinos, instead of 2 hours to AC.”

KYW News Radio in Philadelphia reported that under the new law, casinos will be able to extend credit to their players. The media outlet revealed the Governor’s mindset to the entire issue, which was drummed up arguments from both pro and anti-gambling residents: “The reality, says Rendell, is that if not having casinos in Pennsylvania would keep state residents away from gambling, he wouldn’t have pursued legalized gaming in the first place.”

Poker News in Brief: Jan. 4-10, 2010

The 2010 PokerStars Caribbean Adventure drew a record 1,529 players to generate a $14.8 million prize pool – the seventh biggest in poker history.

Plus, there was some poker news that happened outside of the Bahamas and we’re breaking it down for you below in our ongoing Poker News in Brief feature.

This week we’ll look at a new poker film coming to DVD, Pennsylvania legalizing live poker and table games, Belgium moving to nationalize online poker and Bodog making a big brag.

Legal Poker for Pennsylvania

Pennsylvania legalized poker, blackjack and other table games at Casinos this week in an attempt to generate extra revenue for the State.

Previously, casinos in Pennsylvania had been restricted to slot machines only.

It will be six months before games start being dealt in Pennsylvania, but the State stands to make millions in licensing fees.

Several neighboring states are taking notice and Indiana is considering allowing riverboat gambling in Lake Michigan and the Ohio River. Back in November, Ohio voters passed a law that will see four casinos constructed in four cities.

The Pennsylvania law change could have a potentially negative effect on neighboring Atlantic City if Pennsylvania residents opt to gamble closer to home.

Poker Film “Shark City” to See DVD Release

Indie poker flick Shark City is scheduled to be released on DVD on Feb. 16 though Morningstar Entertainment and Stardust Pictures.

The film stars Vivica A. Fox, Carlo Rota, Jefferson Brown and David J. Phillips and it centers around around the story of two friends who get mixed up with the daughter of a gangster. The two attempt to con a group of gangsters through a poker game and the plan goes awry.

High stakes poker, both live and online, is central to the theme of the film.

Shark City won the John Muir award at the Yosemite Film Festival.

To learn more go to the film’s website.

Belgium Attempts to “Nationalize” Online Poker

Belgium appears to be the latest country that is trying to restrict its citizens to only playing on local online poker rooms.

A recent story in Belgian newspaper Da Standaard claims the government has plans to demand Internet Service Providers block any foreign online poker sites.

This could potentially have huge ramifications for sites like PokerStars, Full Tilt or PartyPoker as they would have to set up regional offices in the country to continue operations.

The changes are scheduled to become law before the end of the year.

Meanwhile, the European Commission is reportedly not pleased with Belgium’s decision claiming it goes against the free trade agreement made by members of the European Union.

Despite the European Commission’s objections, Italy currently restricts its online poker market to rooms that have a presence in the country.

Study Shows Bodog Best Brand

Bodog may not have the most players, but according to a recent independent study it carries the strongest brand recognition.

The report was conducted by gaming consultant Josh Apiafi using Google to understand the brand strength of the top 10 online poker websites including PokerStars, William Hill, 888.com, Bet365, Betfair, bwin, Ladbrokes, Paddy Power, PartyPoker and Bodog.

“We had a hunch since I first rolled out the Bodog brand and business model that we are considered interesting,” said Bodog founder Calvin Ayre. “But that’s only part of the story – we also stand for having fun and that’s what all people want, especially ones that like to gamble."

The survey was conducted by looking at the number of Google alerts generated daily during December. Apiafi recorded every time a document was published that contained a mention of the brands listed above.

In the end, Bodog narrowly edged PokerStars by a score of 510 to 493.

Huge Growth for HeadsUp Entertainment

HeadsUp Entertainment, a poker media company out of Canada, posted its most recent quarterly statement this week and the company showed massive expansion in 2009.

The company sanctioned 362 events under its Canadian Poker Tour (CPT) brand this year, up from the 71 since it acquired the tour in 2008. HeadsUp Entertainment is aiming to host more than 560 events in 2010.

Also in 2009, HeadsUp Entertainment helped produce the CPT Finals in the Dominican Republic and Canadian Open Poker Championships in Calgary for television.  The Canadian Open Poker Championship drew big-name poker players like Gavin Smith, Jennifer Tilly and Huck Seed.

HeadsUp Entertainment also currently runs www.canadianpokertour.tv and Canadian Poker Magazine.

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PA Welcomes Poker and Table Games into the Gaming Mix

As predicted by gaming officials, Pennsylvania will now allow table games at casinos within the state's borders. Having previously allowed only slot-machine casinos, the state's new tack opens the door for competition with lucrative gaming markets...

Inside Gaming: The PA Table Game Debate Heats Up, Microgaming’s Eternal Quest for Fish and more

With poker at the center of our universe here at PokerNews, it's often easy to overlook everything else going on in the gaming industry. Today we're bringing you information on whether Pennsylvania will legalize table games and the new public...

High roller Glantz takes EPT London £20k

But he will leave London the 2009 PokerStars London EPT High Roller champion.

Glantz, who hails from Lafayette Hill, Pennsylvania, outlasted a field of 75 elite players to grab the title and £542,000 first-place prize Friday.

"There were tons of great players," Glantz said. "Probably, out of the top 100 tournament players in the world, 50 to 60 were in this tournament."

Among those who put up the £20,000 buy-in were Full Tilt's Phil Ivey, Tom "durrrr" Dwan, Dave "Devilfish" Ulliott and Team PokerStars Pros Chris Moneymaker, Greg Raymer, Barry Greenstein, and Bertrand "ElkY" Grospellier.

The final table featured 2007 WPT Five Diamond champ Eugene Katchalov, 2008 November Niner Dennis Phillips, and online nosebleed stakes legend Ilari "Ziigmund" Sahamies.

Glantz beat Erik Cajelais heads-up, a little over a week after Cajelais took down his first major tournament, winning the 2008 WSOPE $2,500 Pot-Limit Hold'em/Pot-Limit Omaha event.

Primarily a cash-game pro, Glantz' previous top tournament finish was a fourth place finish for $568,320 at the 2008 WSOP $50k H.O.R.S.E. event and said he plays tournaments more for the competition than the cash.

"I don't plan on ever making a living from tournaments," he said. "It's like a challenge. It's like a sport to me. Cash games are more of a grind, doing the same thing over and over again, while tournaments are more of a meta-game.

"Cash games are more of a logical way to beat your opponents while in tournaments it's more fun to try to get inside your opponent's head."

In fact, Glantz admitted he has difficulty finding the motivation to play tournaments, considering the cash stakes he regularly plays.

"To tell you the truth, I know it sounds crazy, but this one was harder to get motivated for because you are putting up £20,000 to win £500,000," he said. "You're only getting 25 to 1 on your money and you have to beat 75 great players, so it's hard to motivate you there.

"On the other side it was nice to only have to beat 75 players as opposed to a big tournament where you have to beat like 2,000 players - it seemed a lot more attainable."

Glantz, who regularly blogs about playing high-stakes cash, prop betting, cross booking and playing Chinese Poker for $1,000 a point with some of the biggest names in the game, said he hopes the money doesn't get bled off there.

"That's Roland (de Wolfe's) plan and some other friends I have, but no, we don't play that big in Chinese, we play big enough, you can lose enough, but not those numbers."

For now, Glantz plans on playing the main event at PokerStars EPT London before heading back to the United States.

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Annie Duke to Host Charity Tournament in California

Poker professional Annie Duke, who has been at the forefront of the usage of poker for charitable means, will add to her philanthropic outlets when she hosts a charity poker tournament at the Commerce Casino in Los Angeles to benefit the Decision Education Foundation in November.

The tournament, which will play out on November 19th at 7:00pm Pacific Time, is a $300+$30 buy-in No Limit Texas Hold’em event with unlimited $100 rebuys during the first hour and a $100 add-on at the first break. Duke, a Poker News Daily Guest Columnist, will be the host of the tournament that is being held during the schedule of events for the inaugural Open at Commerce from November 6th to 22nd.

With the tournament being held near Hollywood, it is expected that there will be a celebrity-laden field in attendance. “We’ve already had confirmations from several pro players and a couple of celebrities,” Lisa Wheeler, the event organizer, confirmed to Poker News Daily. “Some of Annie’s friends from Ultimate Bet are going to be a part of the tournament. Actress Shannon Elizabeth has already confirmed and so has comedian Brad Garrett. This is only the beginning and there will be more to come!”

The tournament will have all the pomp and circumstance of a major awards show in Hollywood, befitting of its play at the jewel of California poker in the Commerce Casino. Activities will include a red carpet walk, a Commerce Casino hosted cocktail party, and silent and live auctions. The tournament itself will be officiated by one of the top tournament directors around, Matt Savage, and all proceeds raised will benefit the Decision Education Foundation.

The Decision Education Foundation is an organization that has been established to improve the lives of young people by empowering them with effective decision skills. The work of the Foundation crosses the nation from Pennsylvania to California, attempting to provide teachers with the tools to help young people acquire, appreciate, and apply the fundamentals of good decision-making.

The Decision Education Foundation is an important philanthropy for Duke. She is a member of the Board of Directors for the organization in addition to her other charitable and philanthropic work. As many may remember, Annie raised $730,000 through her second place effort on this year’s “Celebrity Apprentice” for Refugees International and continues to attempt to assist with the plight of refugees through Ante Up For Africa, an organization she co-founded along with “Crash” actor Don Cheadle.

Stay tuned to Poker News Daily as more information comes available regarding this and other charitable events in the coming months.

Pennsylvania Jury: Poker “Is Not a Skill Game”

Once again, for some odd reason, poker has been declared NOT a game of skill by a Pennsylvania jury.

PA jury finds poker a game of chance

Lawrence Burns, 65, was charged with twelve different illegal gambling misdemeanors in 2007 when authorities discovered he'd been running poker tournaments at two local fire halls in Westmoreland County, PA, just outside of Pittsburgh.

Burns admitted to organizing the tournaments, but argued in court it wasn't gambling because Texas Hold'em is a skill game.

Pennsylvania law defines gambling as something where a payment is made, there is the possibility of a reward and the outcome is determined by chance.

Lawyers for Mr. Burns argued that since the application of learned techniques increases your win rate in poker, it must be defined as a game of skill.

University of Denver professor Dr. Robert Hannum testified in Burns' defense claiming poker is not a game of chance referencing a computer simulation that showed skilled players winning 960 million times out of one billion over non-skilled players.

Dr. Hannum also testified in a similar case in Colorado where the defendant was acquitted.

His testimony was subsequently stricken by a higher court and that decision is currently being appealed in the Colorado Supreme Court.

Susquehanna University professor Matthew Rousu also testified in the Burns trial that poker is a game of skill.

After two hours of deliberation, a 12-person jury disagreed, finding Burns guilty on all counts Thursday.

The local district attorney said he would not seek jail time and Burns is planning to appeal.

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Jim Tabilio Leaves Poker Voters of America

With the organization growing leaps and bounds, Jim Tabilio has left his post after founding the Poker Voters of America, an advocacy group that promotes protection of online poker players in California and around the United States.

Tabilio founded Poker Voters of America two years ago. He was well-suited for the role, having served as a poker player and political consultant. Now, Melanie Brenner has assumed the role of Executive Director and told Poker News Daily why Tabilio stepped down: “Jim has a family and is at a point in his life where he has other things he wants to do. This has been extremely time consuming, especially when the decision was made that we could do this in other states. It was a unique opportunity since states are looking for revenue.” Tabilio will remain on in an advisory role.

California is one of many states actively searching for new forms of revenue in the wake of budget shortfalls caused by a severe economic downturn. Brenner explained what could occur: “There are going to be big budget shortfalls that may make a lot of the challenges against legalized online poker evaporate. When you’re able to say to a legislator that it’s about revenue, they know the state needs it. You’re spending millions of dollars protecting live poker players, but there are a lot of other players not being protected online.” Brenner noted that she expects movement towards legalized and regulated intrastate poker in California in the near future.

According to eGaming Review and H2 Gambling Capital, legalizing intrastate online poker in California could generate $250 million per year for 10 years and $625 million per year after that. Brenner added that Poker Voters of America is also hard at work in Florida pushing for intrastate online poker. As such, she is constantly traveling back and forth to promote the organization’s agenda. Brenner explained, “The biggest pushback we get is that legalizing online poker is just the tip of the iceberg. With that kind of mentality, nothing gets done.”

During National Poker Week, over 30 State Directors of the Poker Players Alliance (PPA) and a handful of the game’s elite descended on Capitol Hill in Washington, DC to call for the legalization and regulation of online poker in the United States. Poker News Daily was also on the scene in the nation’s capital. Several obstacles we ran into were Congressmen and their staffers not understanding how to play online poker, what safeguards are in effect to combat underage and problem gambling, and how deposits and cashouts work. Brenner told Poker News Daily, “The major challenge hasn’t been on the legislative side, it’s been educating the stakeholders on how online poker works. It’s been fascinating talking with legislators about online poker.”

In addition to California and Florida, the Poker Voters of America is directing its attention towards New York, New Jersey, Pennsylvania, and Louisiana. In each case, local casinos would likely be able to open their own online poker rooms, although Brenner noted that several are apprehensive for fear that it will cannibalize their live business. The Bicycle Casino in Bell Gardens, California is set to play host to the World Poker Tour’s (WPT) Legends of Poker Main Event on August 22nd. The $10,000 buy-in tournament will crown a champion four days later. In February, the WPT returns to the state for the Commerce Casino’s L.A. Poker Classic. A Celebrity Invitational follows the $10,000 buy-in event.

Membership to the Poker Voters of America is free and requires a person’s first name, last name, e-mail address, and mailing address. Becoming a part of the PPA is also free, although a premium membership is available for $20 per year.

Inside Deal Debuts on ESPN.com, Features Chris Moneymaker

On Tuesday, the first installment of Inside Deal premiered on ESPN.com, hosted by Poker News Daily Guest Columnist Bernard Lee and ESPN The Magazine contributor Laura Lane. The first 30 minute episode to air featured an appearance by 2003 World Series of Poker (WSOP) Main Event Champion Chris Moneymaker.

Inside Deal is presented by PokerStars.net, whose logo appears on virtually all on-screen graphics. In addition, the site aired two Americas Cup of Poker commercials and one traditional television ad. The opening segment of ESPN.com’s Inside Deal began with Lane asking Lee what Moneymaker’s real last name is. Moneymaker joined the duo and responded, “You don’t know that I changed it in 2003? It’s Berman.” Chris Berman is known to many ESPN fans as one of the original anchors of the SportsCenter franchise.

The set of Inside Deal is similar in feel to SportsCenter and makes its home at ESPN’s headquarters in Bristol, Connecticut. Poker news took center stage to open the show and featured a preview of 2009 WSOP Main Event final table. On November Nine member Phil Ivey’s legacy, Lee commented, “I think this will cement his legacy that started back in his days in Atlantic City.” Then, attention turned to CardPlayer Magazine Editor Jeff Shulman’s comments that he’d trash the Main Event bracelet should he win. Lee retorted, “He has the right to say whatever he wants, but he should be acting more like a poker ambassador.”

Other news focused on the sellout of Day 1D of the 2009 WSOP Main Event and over 500 players being unable to enter poker’s most prestigious tournament. Lee explained, “Poker players are known procrastinators,” and offered up several solutions to prevent the problem from occurring in 2010. Talk of a Rounders sequel also permeated the Inside Deal news segment, as did the results of the PokerStars Sunday Million, complete with an on-screen graphic showing paydays from a three-way chop.

Moneymaker then joined Lee and Lane and discussed his recent success in Omaha. Moneymaker explained, “It’s hard to find myself playing Hold’em anymore.” He was then asked whether it’d be better for the game if an amateur or pro won the 2009 Main Event. Moneymaker commented, “To have Ivey come back and win it would be great for poker.” Moneymaker recalled his Main Event satellite win on PokerStars. Curiously, he was actually trying to finish fourth in the qualifier to take home $8,000 in cash. The top three spots paid Main Event seats, but Moneymaker was about $8,000 in debt. Nevertheless, he wound up winning the Main Event and igniting the modern poker boom.

Moneymaker also discussed how the play of amateurs has evolved since 2003. The champion explained that the game has become considerably more aggressive: “There was no such thing as a 4bet in 2003. If you were 4bet, it was aces or kings.” He also fielded a question from a viewer in Hershey, Pennsylvania about how to play suited connectors. Moneymaker explained, “Keep the pots small pre-flop” and “Don’t commit more than 5% of your stack pre-flop.”

ESPN Poker Editor Andrew Feldman joined the show to discuss who would appear on the Mount Rushmore of Poker. Moneymaker offered up the quartet of Jack Binion, Doyle Brunson, hole card camera inventor Henry Orenstein, and either Stu Ungar or Chip Reese. Lee made cases for Binion, Brunson, Ungar, and Moneymaker, while Feldman argued that Reese, Johnny Chan, and Phil Hellmuth should also be in the conversation.

An unaired hand from the WSOP Champions Invitational was reviewed. In it, 1983 Main Event Champion Tom McEvoy raised to 6,000 pre-flop with K-10 of clubs. 2002 winner Robert Varkonyi re-raised to 18,000 with pocket fives. McEvoy made the call to see the flop come 6-7-J. Varkonyi shoved all-in and McEvoy quickly mucked, leaving Feldman to comment that Vakonyi’s actions represented “a bold move on a scary flop.” Lee and Moneymaker gave analysis of the hand, which did not air as part of Tuesday night’s ESPN telecast of the Champions Invitational. McEvoy ultimately won the tournament, taking home a vintage Corvette and the Binion Cup.

Finally, Moneymaker was “under the gun” as part of a rapid-fire question and answer segment. Moneymaker revealed that he made $250 online during the car ride up to Bristol and his favorite tournament is the PokerStars Caribbean Adventure in the Bahamas. He noted that, while moving from Nashville to Memphis, he lost his Main Event bracelet for two years, but it now sits in a box in his closet. He also discussed his craziest fan experience, his best chip trick, and the starting hand that gives him the most trouble (pocket jacks).

Inside Deal is posted every Tuesday on ESPN.com.

Don Topel Wins $200,000 on Face the Ace Premiere, Will Play for $1 Million

Saturday night marked the debut of the NBC poker show Face the Ace. Two contestants took to the felts during the premiere, headlined by truck driver Don Topel, who won $200,000 after defeating Full Tilt Poker pros Erick Lindgren and Howard Lederer. Next week, Topel will play for $1 million.

Face the Ace’s set is a lounge at a Las Vegas casino, boasting the tagline, “Think you’re a poker shark? Then prove it.” A montage of Face the Ace pros – all from Full Tilt Poker – then hit television airwaves. In fact, the logo of the NBC show bears a striking resemblance to the logo of the world’s second largest online poker site, Full Tilt. Contestants face one “ace” for $40,000. If they’re successful, they can take the money and run or battle against another top-tier pro for $200,000. Win a second match and a player can walk away six-figures richer or square off against a third “ace” for $1 million. If a contestant loses at any time, they’ll walk away with nothing and the pro banks $10,000 for the charity of their choice.

The first contestant was Jonathan Nygaard from Jonestown, Pennsylvania. Show host Steve Schirripa, of HBO’s The Sopranos, fame, noted that Nygaard served in both the U.S. Marines and Navy and was shot in the line of duty. Each of four smoke-filled doors held one “ace” and Nygaard selected the ace of spades. Schirripa gave a brief biography of the “ace” in question and 2009 World Series of Poker (WSOP) November Nine member Phil Ivey strolled onstage after his door was opened by Deal or No Deal model Megan Abrigo.

On the first hand between Nygaard and Ivey, the Full Tilt Pro raised to 1,400 with A-8 and Nygaard looked down at pocket rockets, making it 3,400. Ivey made the call to see a flop of J-9-4 with two diamonds. Nygaard bet out 4,500 and Ivey surrendered, causing Nygaard to comment that it was a “tough fold.” In the match’s deciding hand, Ivey made it 1,400 pre-flop with A-4 and Nygaard re-raised to 5,400 with pocket queens. Ivey promptly pushed and Nygaard called, putting the November Nine member at risk. The board ran out J-8-J-3-7, giving Nygaard his first win and $40,000. A somewhat bashful Ivey commented, “He played real aggressive. I didn’t think he had a hand, so I moved all-in and I was wrong.”

Nygaard opted to take the $40,000 and walk instead of facing off against a second ace. In his place came Topel, a 41 year-old from Midlothian, Illinois whose mother and sister live with him. Topel selected the ace of diamonds, who was revealed as 2008 WSOP Player of the Year Erick Lindgren. On the first hand, Topel made the call with J-10 and Lindgren checked his option with Q-5. The flop came 4-10-3 and the action went check-check. The turn was a deuce. Lindgren checked, Topel bet 600 with top pair, and Lindgren’s 11 outs appeared across the top of the screen: four aces, four sixes, and three queens. Lindgren raised to 2,100 and Topel called. The river was a six, giving Lindgren a straight. The pro bet 4,000 and Topel quickly released his hand.

Lindgren won the match’s first three hands before Topel flopped top pair and a flush draw with K-J of hearts to take down his first pot. In a key hand between the two foes, Lindgren made the call pre-flop with A-5 of clubs and Topel raised to 2,800 with A-9 of diamonds. Lindgren shoved and offered Topel the opportunity to see one card, exposing the five of clubs. Topel called and found he was ahead to the flop of 10-7-2 with two diamonds. Topel was 85% to win before a five hit the turn, dropping the challenger to a 27% underdog. However, the river was the jack of diamonds, doubling Topel up.

In the final hand between Topel and Lindgren, the challenger raised to 2,000 pre-flop with J-5 of hearts and the pro made the call with 9-7 of diamonds. The flop came 9-2-2 with two hearts. Lindgren checked, Topel bet 3,500, and Lindgren pushed all-in for 5,100 more. Topel made the call and a four of hearts on the turn gave him a flush and a $40,000 payday. Schirripa joked, “You got one step out of the basement.” Despite making $60,000 per year as a truck driver, Topel elected to risk his newfound winnings, choosing the ace of hearts, Howard Lederer.

Lederer and Topel each started with 100 big blinds and the Full Tilt icon came out swinging, taking down the first two major pots shown. In the match-up’s deciding hand, Lederer looked down at A-Q of spades and raised to 10,000. Topel picked up pocket kings and made it 30,000. Lederer pushed and Topel called, creating a pot of 188,000, or 94% of the chips in play. The flop came J-3-10, giving Lederer a gutshot straight draw, but the board bricked out, doubling Topel up. Lederer doubled up once before ultimately falling with 2-4 of diamonds against Topel’s Q-9 after Lederer’s flush and straight draws failed to hit. Lederer commented, “He played well. He has a reasonable chance [to win $1 million].”

Topel elected to risk his $200,000 payday and play on for $1 million. Face the Ace returns next Saturday, August 8th, at 9:00pm ET on NBC.

I’m Going to Be a Lobbyist in My Next Lifetime

I recently returned from a trip to Washington, DC in which I was privileged to be part of the Poker Players Alliance’s (PPA) National Poker Week Fly-In. Part of this event included a gathering of 33 PPA State Directors, a handful of poker celebrities, and various lobbyists and media members. Our goal was to gain support for favorable online poker legislation and specifically for House Financial Services Chairman Barney Frank’s HR 2267, which would establish federal licensing and regulation of online poker.

My first impression of Capitol Hill is that I have never seen so many men and women dressed in business attire, scurrying from one building to another, carrying files and folders, all with an agenda to fulfill. The experience of actually seeing our government at work and being part of the process was incredible.

The Fly-In started out with a working dinner at which the participants got a chance to network with each other and hear brief speeches from Alfonse D’Amato, Congressman Robert Wexler, and John Pappas, Executive Director of the PPA.  Afterwards, we were given our meeting schedules for the next two days. My list of appointments included Senators Charles Schumer and Dianne Feinstein, and Representatives Tim Bishop, Shelley Berkley, Dina Titus, and Lynn Westmoreland. I had been given a list of talking points and became comfortable with them through many role-playing scenarios with Jan Fisher and my brother Rich Plante, who accompanied me on the trip.

At each of our meetings, we were taken into an office or small boardroom and allowed to make a presentation about why we believe that online poker should be completely legal, licensed, and regulated in the United States. Most times, there was a lobbyist with us and two or more PPA representatives present. I actually preferred the meetings without a lobbyist, as this gave us more time to personalize our stories and yet were still able to present the persuasive positive points about our position.

Here are some of the facts we presented in our meetings to encourage support of HR 2267:
1. More than 10 million Americans play online poker.
2. If online poker sites were licensed, American citizens would be protected from scam artists who don’t operate their sites with integrity. In addition, we would have legal recourse in U.S. courts if problems occurred.
3. Studies show that approximately $3.3 billion in tax money would be raised annually if online poker were regulated.
4. HR 2267 would provide effective protection to keep underage children from gambling online.
5. HR 2267 provides help to compulsive gamblers.
6. 75% of Americans oppose a ban on internet poker.
7. Poker is a game of skill. State courts in South Carolina, Pennsylvania, and Colorado have recently come to this conclusion.
8. Licensing and regulating online sites would create jobs. I know many people who lost their jobs as marketing directors and party planners when the Unlawful Internet Gambling Enforcement Act (UIGEA) passed.

We also made personal pleas to Senators, Congressmen, and staffers. For instance, I brought up how embarrassing it is that in the “Land of the Free,” we don’t have the same right to fund an online poker account and play in our own homes that citizens of most other countries in the world have. I also brought up the fact that my brother, who lives in Utah where there are no casinos, will eventually have to leave his home state if he wants to play poker unless we get the law changed. There are millions of physically-challenged and infirmed citizens who aren’t able to travel to a casino to play poker. Instead, playing online in their homes can bring them happiness in an otherwise depressing, painful life.

I believe that we helped sway opinions in a positive way through our Congressional meetings. Lots of questions were asked and answered that made it obvious that licensing and regulation is the best way to go regarding online poker. Since the Fly-In, three members of Congress (Representatives Linda Sanchez, John Conyers, and Mike Thompson) have signed on to co-sponsor HR 2267, bringing the total to 51. Many more will follow suit… it only makes sense!

The trip wasn’t all business, though; we had some time for fun in between our meetings. A special treat was lunch at the Pentagon in the Army Executive Dining Room hosted by a Brigadier General friend of mine. After lunch, we were given a tour of the 9/11 Memorial and the Tomb of the Unknown Soldier at Arlington National Cemetery.

I also got to play in a charity poker tournament along with 35 patients from Walter Reed Army Medical Center. Celebrities in attendance included Andy Bloch, Annie Duke, Jan Fisher, Howard Lederer, Dennis Phillips, Montel Williams, and members of Congress and their staff. The PPA donated $25,000 to seed the effort and another $10,000 was raised through rebuys, bounties, and donations. My trip to Washington, DC was truly a top-ten event in my life.

***

Linda,
Nice job. Thank you so much for your efforts. You covered all the primary points that legislators need to be aware of.

There is one more factor that may sway some who are still “on the fence;” taking note of the stakes levels that are routinely played.

There may be a misperception about who is playing poker online and the stakes they are playing for. TV, our good friend in promoting poker, may be presenting a distorted picture of who is playing and what kinds of risks they are actually taking. You hear this when various anti-poker politicians talk about how they worry that people would routinely be putting their economic futures at risk if online play were legalized.

As it is, the overwhelming proportion of players only play at the microstakes levels. They enter games with less money than it takes to buy a hot dog at a baseball game. There is precious little financial risk in these games.

It is easy to see this. Just for fun, I scrolled over the NLH games in progress at Poker Stars. Here are the numbers of tables in action at each of the levels.

$25/$50(and higher)…. 2 tables
$10/$20….. 6 tables
$5/$10……28 tables
$3/$6…….26 tables
$2/$4…….72 tables
$1/$2…..201 tables
$.50/$1…..496 tables
$.25/$.50…..456 tables
$.10/$.25…..696 tables
$.05/$.10…..516 tables
$.02/$.05…..288 tables
$.01/$.02…..576 tables

The game is played, as you noted, mainly for recreation and amusement by people who prefer this kind of competitive interaction and find it to be more stimulating, intellectually challenging and engaging than watching reruns on cable TV.

Best,

Arthur

PPA Files Amicus Brief Motion in Online Poker Funds Seizure

Just before heading to the nation’s capital for National Poker Week, representatives of the 1.2 million member strong Poker Players Alliance (PPA) were hard at work drafting a motion to file an amicus brief for the lawsuit by Account Services to recoup $13 million in online poker player funds.

The money was seized at the beginning of June under direction of the Southern District of New York. As the primary representative of players, the PPA filed a motion to submit an amicus brief in the case in order to prove that poker is a game of skill and, therefore, should be treated separately under the law. PPA Executive Director John Pappas, who served as the master of ceremonies at a charity poker tournament benefiting the USO of Metropolitan Washington on Tuesday night, commented in a press release, “As the voice of online poker players, PPA should be granted the opportunity to provide evidence and legal briefings on why online poker is a game of predominant skill and not considered illegal gambling under the law.”

The PPA’s motion to file an amicus brief reads, “If the Government is successful in seizing the funds at issue here… PPA members’ ability to continue to play online poker without fear that the funds they use to play poker will be unlawfully seized will be greatly impacted.” The document asserts that Account Services, which allegedly processed funds destined for online poker players, “is not in the best position to present arguments and evidence as to why poker is a game of skill and thus not prohibited under federal or state law.”

The motion for return of property by Account Services was filed on July 10th. It declares that “the majority” of funds seized belonged to law-abiding online poker players, that online poker is not illegal gambling, that the company will suffer “irreparable harm” if the $13 million is not returned, and that its Fourth and Fifth Amendment rights were violated. The funds in question were held in a Wells Fargo branch in Escondido, California and a Union Bank branch in San Diego. The Union Bank funds were seized without a warrant, which was ultimately filed 12 days later.

The PPA has been involved in several court cases at the state level arguing that poker is a game of skill. Rulings in Pennsylvania, Colorado, and South Carolina have overwhelmingly declared that poker is predominated by skill, a sentiment that PPA State Directors from around the country took to Capitol Hill as part of National Poker Week. Their efforts were effective, as Congressman Lynn Westmoreland (R-GA) told online poker forum PocketFives.com in an exclusive interview, “Poker is a sport of skill. If you don’t believe that, you need to watch some of the tournaments on television and understand that these are very talented people. They can win a hand with a lot worse cards than anybody else. It is a game of skill and not just what cards fall.”

Among those who participated in poker trials around the United States was World Poker Tour (WPT) Host and Poker News Daily Guest Columnist Mike Sexton. In South Carolina, Sexton came armed with video footage from WPT tournaments showing how the process of betting and bluffing took down pots. University of Denver Statistics Professor Robert Hannum presented the results of a joint study by Cigital and PokerStars revealing that 75% of 103 million hands did not go to showdown. Of the remaining 25% of pots, the player who held the best five card hand only won 50% of the time.

The PPA’s motion was filed in the Southern District Court of California. Its submission notes, “The Department of Justice has informed the PPA that it takes no position on the PPA’s application at this time.” We’ll have updates as they become available right here on Poker News Daily.

Chan, Duthie headline Heads-Up Elite Eight

O'Dwyer was the last qualifier of the night in Round 5 of the $10k Heads-Up World Championship, and his patience paid off.

After an exhausting four-hour match, the Pennsylvanian finally put away Roberto Romanello to secure a berth in the tournament's Elite Eight.

Johnny Chan is still alive after advancing against Justin Smith, and the 10-time bracelet winner will take on Leo Wolpert in the quarterfinals. Wolpert took out Clavet Mathieu in another lengthy match.

European Poker Tour pioneer John Duthie also advanced after a marathon battle, outlasting Benjamin Sprenger in the second-to-last match of the night.

The EPT director expressed his enjoyment for the heads-up format, which has played out as a single-elimination tournament beginning with 256 players.

"You have to be able to make marginal calls and you have to be able to play quite aggressively," Duthie said.

"A lot of time you have to assume that if somebody is betting on the flop that they've missed, and you can float a flop with actually very little. There are various things you have to consider when you're playing."

Duthie goes on to play Dustin "Neverwin" Woolf in Round 6, with Woolf advancing after defeating Mike Caro in the Sweet Sixteen.

O'Dwyer, meanwhile, advances to play Brian Pellegrino in Round 6, and is guaranteed a cash of at least $92,580.

"I feel great, obviously," O'Dwyer said. "This is my biggest cash ever."

"This is my first live heads-up tournament, but I've been playing big buy-in tournaments for a long time now. It's been a really long run to get to this point. I wish it was over sooner so I could have just gone to bed."

PL.com pro blogger Jason Mercier fell short in his quest for his second bracelet of the 2009 WSOP, losing to Nathan Doudney when his jacks fell to Doudney's queens in an early preflop all-in.

Doudney will play Jamin Stokes in the next round. Stokes advanced in yet another three-hour-plus match, this one involving him and Alec Torelli, who finished second in this event in 2008.

"Every single match I've played has been over three hours," Stokes said. "I see all these people and their matches are over in 10, 15 minutes, and I haven't been involved in one of those."

"Every single match I've been involved in I've been, at some point, down considerably in chips. They've all been tough and this was the toughest. [Alec] is a very, very good player."

The tournament resumes Monday at 2 p.m. and will continue a new champion is crowned, with the final round taking a best-of-three format.

The champion will earn $652,682 and the runner-up $386,636.

Here are tomorrow's quarterfinal brackets in full:

Dustin Woolf v. Leo Wolpert

Johnny Chan v. Jamin Stokes

Nathan Doudney v. Bryan Pellegrino

John Duthie v. Steve O'Dwyer

For more information, check out the PokerListings.com WSOP section.

Visit PokerListings.com

PPA Director John Pappas Appears on Bloomberg

This week, Poker Players Alliance (PPA) Executive Director John Pappas appeared on Bloomberg television to break down Congressman Barney Frank’s (D-MA) Internet Gambling Regulation Consumer Protection and Enforcement Act.

The bill, numbered HR 2267, was introduced on Wednesday and calls for a complete licensing and regulatory framework for the internet gambling industry in the United States. Although similar to a bill that Frank introduced during the last Congressional session, HR 2267 focuses on how proper regulation can mitigate the perceived social ills of gambling. Pappas told Bloomberg’s television outlet, “We want to make sure that the Federal Government puts the standards in place so that there is safety for minors, that there are services for problem gamblers, and that adult consumers can enjoy the game without fear of fraud or abuse. A prohibition never stopped a child from getting online. A prohibition never stopped a problem gambler. Regulation is the only way to do it.”

Congressman Spencer Bachus (R-AL) and others have argued that a computer with the ability to gamble online may provide the outlet for children in the United States to begin playing at a young age. Bachus even quoted a non-existent McGill University study during a House Financial Services Committee meeting last July, claiming that one-third of college students who gambled online attempted suicide. Pappas explained that online poker sites currently employ safeguards to combat underage gambling: “Most of the online sites today already are using very high-tech, sophisticated age verification technologies. They have no interest in having children on their websites playing against adults. They want adult consumers playing on their sites. The only way to ensure that all sites have that is to pass a bill like Barney Frank’s.”

Pappas’ appearance on Bloomberg also included a discussion of whether playing online poker is illegal in the United States. Poker players can vividly recall the CBS News program “60 Minutes” stating that the game was against the law on multiple occasions after show producers allegedly contacted the Justice Department. However, Pappas revealed what the legal status of the game in the United States is: “For the U.S. player, it’s not illegal for them to go online and play internet poker. What the law in 2006 attempted to do was to make illegal the transactions. It puts the burden on the financial institutions, not the actual player.” The law in question is the Unlawful Internet Gambling Enforcement Act (UIGEA), which was ushered through Congress in the waning moments of the 2006 Congressional session by then-Senate Majority Leader Bill Frist (R-TN). The UIGEA’s text gave no indication of what was legal or illegal under it. Instead, it deferred to existing State and Federal laws.

Some would cite the Wire Act of 1961 as grounds that playing online poker is not allowed in the United States. However, the 48 year-old measure traditionally applies to online sports wagering. Pappas told Bloomberg, “The Wire Act states that illegal gambling is being in the business of betting or wagering. An internet poker site isn’t in the business of betting or wagering. They’re simply allowing a venue in which people can compete in games of skill like poker against each other.”

In recent months, the PPA has seen judges in Pennsylvania, Colorado, and South Carolina conclude that poker is a game of skill and therefore should be treated separately from online casinos, Bingo parlors, and sports betting outfits. During the last Congressional session, Congressman Robert Wexler (D-FL) introduced HR 2610, the Skill Game Protection Act, which would have exempted poker, bridge, chess, mahjong, and other player versus player games from the UIGEA and Wire Act.

At the time of writing, HR 2267 has 16 co-sponsors, including Wexler, Shelley Berkley (D-NV), Steve Cohen (D-TN), Peter King (R-NY), Jim McDermott (D-WA), Ron Paul (R-TX), and Melvin Watt (D-NC).

Pennsylvania video poker kingpin facing new charges

A Pittsburgh area man who is currently serving time in a federal prison for violating the terms of this probation on a multimillion dollar video poker machine conviction is scheduled to plead guilty to more charges. Those charges include running another gambling organization that involved bookmaking and poker machines.

iMEGA UIGEA Appeal to be Heard on July 6th

In breaking news out of the United States, it was revealed that the Third Circuit Court of Appeals will hear lawyers from the Interactive Media Entertainment and Gaming Association (iMEGA) argue why the Unlawful Internet Gambling Enforcement Act (UIGEA) is unconstitutional.

Last March, Judge Mary L. Cooper granted the organization standing to sue on behalf of the internet gambling industry. However, she disagreed with many of iMEGA’s arguments in the process, prompting the appeal. In a letter from the Third Circuit Court of Appeals, its clerk informed the parties involved that the case has “been tentatively listed on the merits on Monday, July 6, 2009 in Philadelphia [Pennsylvania]. It may become necessary for the panel to move this case to another day within the week of July 6, 2009. Counsel will be notified if such a change occurs.” Further information will be given as to whether oral arguments will be heard, and if so for how long, within one week of the disposition date.

Within seven days, iMEGA and attorneys for the U.S. Department of Justice must advise as to who will serve as counsel in the proceedings on July 6th. Each party must also identify whether its attorney is a member of the bar of the Court. iMEGA Chairman Joe Brennan is looking forward to the organization’s day in court, which is now just two months away. He told Poker News Daily, “The court is going to look at the entire case without technicalities and filing dates. They are going to solely decide it on the merits, not based on anything political or regarding procedure. That’s why you have a judicial system.”

iMEGA is in the midst of a spat with the Federal Government over whether information on the North Dakota and New Hampshire lotteries should be included in the record. Since its brief was filed, iMEGA has learned that customers trying to purchase legal lottery tickets with credit cards are being blocked from doing so. State lotteries have a specific carve-out from the UIGEA. The issues have arisen apparently due to the onset of the UIGEA regulations, which were enacted on January 19th and command full compliance by the financial services industry by December 1st. The regulations have caused Visa and MasterCard to engage in over-blocking rather than risk breaking the law.

The Department of Justice claims that because the new information was not filed by the proper deadline in iMEGA's brief, it should not be included in the record. Also absent from iMEGA’s official brief are the final regulations of the UIGEA, which were accepted by the White House Office of Management and Budget (OMB) in November as so-called “midnight rules.” Brennan told Poker News Daily why the request to supplement the record might be taken seriously by the Court of Appeals: “They are aware that their decision is going down in the history books. They know, we know, and the Department of Justice knows that not accepting our information may be grounds for an appeal.” If unsuccessful, iMEGA could appeal once again to the Third Circuit or seek the intervention of the U.S. Supreme Court.

Originally, the Third Circuit had asked iMEGA for its availability this month for oral arguments. On the two month delay, Brennan speculated, “It tells me that the Court is giving the case more serious consideration than a lot of people thought they were.” There has been no indication as to when the Court of Appeals will decide the future of iMEGA’s request to supplement the record. The case is numbered 08-1981 and is entitled “iMEGA v. Attorney-General USA, et al.”

iMEGA is also a leading party in the case pitting the Commonwealth of Kentucky’s Justice and Public Safety Cabinet against the owners of 141 internet gambling domain names, which risk forfeiture. iMEGA has until June 1st to file its brief in the case.

PPA Helps Virginia Poker Player Prepare for Trial

Another SWAT team-esque raid. Another group of poker players arrested. The Poker Players Alliance has been active in courtrooms around the country, fighting for positive rulings for the poker community in Pennsylvania, Colorado, South Carolina, and Kentucky. Now, the organization is turning its...

Mike Sexton on Skill Versus Chance in Poker

Recently, I went to Charleston, South Carolina to testify as an "expert witness" in a poker trial. The case was the Town of Mount Pleasant versus five poker players who pled not guilty when they were busted for playing in a $20 tournament in someone's house a couple of years ago. South Carolina law is similar to about 20 other states' laws which say that it's illegal to bet on any games of chance (in South Carolina, any game of dice or cards is considered to be a game of chance). Our mission was to prove that No Limit Hold'em poker was predominantly (more than 51%) a game of skill rather than chance. Fortunately for everyone in the poker world, Judge Larry Duffy agreed to hear testimony on this.

To poker players, whether poker is a game of skill or chance is a "no-brainer." In my research for this case, I learned that several previous cases failed to prove this in court (even though two recent rulings in Pennsylvania and Colorado ruled that skill was the predominant factor in Hold'em). Proving that skill predominates over chance in a court of law is quite different than discussing it among poker players. Even if someone was a big favorite to win a pot, people who really don't play poker see that any card can come up in the end and, therefore, many would think that Hold'em poker is primarily a game of chance.

Twenty states have laws similar to South Carolina's, which says that it's illegal to bet on any games of dice or cards. They claim it's illegal to gamble on games of chance. If we were able to prove to the judge that poker was predominantly (51% or more) a game of skill, then perhaps the law could be changed to allow poker players to play in their homes without fear of criminalization. Obviously, the more court rulings that agree with this, the better the chance we have to change the laws nationwide.

Prior to going to South Carolina, I was forwarded a paper written by Howard Lederer on the predominant factor of skill versus chance in poker (specifically in No Limit Hold'em, as this was the game these guys were playing when they were busted). I thought Howard's paper was brilliant. It was well thought out and very well written. Howard understood why previous cases had failed to prove that skill predominated over chance in poker. For the most part, they basically rested their testimony on the fact that that better players have an edge and the same people win year after year. He felt this thought process was doomed to fail in court.

The crux of Howard's paper focused on the "predominant factor" and the skill elements of the game - things that are in total control of the player such as betting, calling, and folding. Everyone agrees on what the chance elements are in poker - the randomness of the cards and how they are dealt. The skill elements are what need to be defined. If there was no betting or folding in poker, it would be showdown poker and the luckiest player would win. It would simply be a game of chance. But that's not how poker is played. One key point (verified by over 100 million hands played) is that over 70% of the hands dealt in No Limit Hold'em do not go to showdown (regardless of who may or may not have had the best hand). These pots are won by the skill applied by the player betting and getting everyone out of the pot.

In my testimony, I listed ten points that I felt were vital to becoming a successful poker player and stressed that there is so much more to playing poker than just the cards you get. I brought footage of actual hands that were played on the World Poker Tour to use for demonstration. They showed bluffing (where the guy won the pot, not because of his cards, but because of his skill), amateurs making mistakes, tells that were read properly by an opponent, someone making a tough call, and someone making a good laydown. These visual aids were very impressive in demonstrating that skill predominates over chance in No Limit Hold'em.

After hearing the testimony of myself and Dr. Bob Hannum (an expert in gaming mathematics who also testified as an expert witness), it seemed pretty obvious to all, especially the judge, that skill was the predominant factor in poker. Although the prosecutor asked us a few questions, he didn't really make an effort to produce any contradictory evidence to the facts we testified on. He said his case didn't matter whether poker was a game of skill or chance, but simply that these players were playing in a "house of gaming" and were guilty as charged.

The decision by the Judge Duffy resoundingly held poker to be a game of skill. However, he ruled against the five defendants. Judge Duffy is leaving it up to the appellate courts in South Carolina to decide if that fact is determinative of whether playing in a home game with a rake is legal under South Carolina law. He noted the absence of authority from the South Carolina Supreme Court as to whether the predominance test is the law in the state.

To quote Judge Duffy in his decision, "This Court, based on the above stated facts, finds that Texas Hold'em is a game of skill. The evidence and studies are overwhelming that this is so."

This was my first testimonial as an expert witness and it was a unique experience for me. It was also a positive result for poker. The case will be appealed to a higher court and we hope that it goes by the "predominance" part of the state statute. If so, look for the law to change where people can play poker in the privacy of their homes (whether online or live) without fear of criminal prosecution.

A special thanks to the Poker Players Alliance (PPA) for their support in this case. They helped fund the attorneys and expert witnesses in an effort to stand up for the rights of poker players. I also want to thank Bob Ciaffone (advocate for poker players' rights) and Chuck Humphrey (expert on gaming law) for their efforts in coordinating the lawyers and expert witnesses for the case. The brief of amicus curiae put together by Tom Goldstein was fantastic. Everyone who enjoys poker owes them a tip of the hat, as they are all fighting for your right to play poker.

It was a fun four days in Charleston for me. Someone said, "Sexton's a rock star!" I wouldn't go that far, but I was appreciated by the defendants and the supporters of the case for being there. I was in the local papers and on television every day. One blogger from the courtroom wrote, "Everyone in that courtroom should have paid to hear Sexton's testimony!" I must say, that was pretty cool. To that blogger and to Howard Lederer (for writing that paper), let me say, "Thank you!"

Study Reveals Poker is a Game of Skill

In a study released on Friday, it was revealed that Texas Hold'em, statistically at least, is a game of skill. The research in question investigated 103 million hands and found that three-quarters of them did not go to showdown. In essence, they were won due to betting by players.

A total of 75.7% of the hands examined as part of the study did not go to showdown. In these hands, the victor's skill of betting managed to win the pot for them, regardless of whether they held the best hand. In the remaining 24.3% of hands, the player who held the best five cards only won 50.3% of the time. In the other 49.7% of pots, the player with the best hand folded prior to showdown. Overall, the best hand actually scooped the pot just 12% of the time. Therefore, according to the study, Texas Hold'em can be seen as 88% skill and not predominated by chance.

Former three-term Senator from New York and current Poker Players Alliance (PPA) Chairman Alfonse D'Amato commented, “As a poker player, I can tell you that knowing when to hold or fold is not based solely on the cards that are dealt, but a series of decisions based on skill and the actions taken by other players. This study provides the raw data to back up the compelling arguments made by poker players around the world that it’s skill, not pure luck, that determines the outcome of this game.”

The data in question has been used by the PPA to help prove that poker is a game of skill in several legal battles. Most recently, a judge in South Carolina overwhelmingly agreed that poker was a game of skill, but still found the defendants in the case guilty of illegal gambling due to a lack of direction by the state's legislature and courts. Other judges in Colorado and Pennsylvania concurred with the PPA's assessment that poker is a game of skill, a trait that might help the game receive special recognition on a national level.

The study was performed by Cigital using 103 million hands on PokerStars, the world's most popular online poker site. Heads-up and play money games were excluded, as were many micro-level games with less than $1 blinds. While PokerStars was busy gearing up for World Record Week last December, the hands were being logged. The festivities saw PokerStars set the record for the Largest Online Poker Tournament at 35,000 players and the Most Players to Simultaneously Play Poker Online at 250,500. PokerStars also upped the ante on its marquee Sunday Million, offering a prize pool of $2.5 million. PokerStars worked in conjunction with Cigital on the study.

Wall Street Journal writer Carl Bialik authored a blog on the study, outlining many of the doubts its opponents had. Among them were “players’ decisions are determined by the cards they draw, which is entirely a matter of luck.” In addition, the relationship between Cigital and PokerStars was questioned and individual players were not tracked to see if they experienced success over time. Finally, “the study doesn’t answer the question of how showdowns and best-hand wins would look in a game of pure skill, or of pure chance.”

Despite the pitfalls, PPA Executive Director John Pappas was elated at the public disbursement of the study's results. He commented in a press release on Friday, “The question of whether poker is a game of predominant skill or chance is not about the player’s ego, but the nature and legal protections of the game. In courtrooms across the country, judges and juries are finding that poker is a game of skill – not chance like lotteries or slot machines – and this study confirms that fact.”

Read the full study claiming that poker is a game of skill.