Payment processing firm NETeller has agreed to forfeit $136 million as part of a deal with the US government to escape prosecution on conspiracy charge related to its handling of online casino and gambling proceeds.

Under terms of the deal the British firm must also pay back over $90 million still owed to customers.District Judge P. Kevin Castel in Manhattan declared that the charge will be dismissed after two years if the company meets the conditions of its agreement with the US Attorney’s office.

A statement from NETeller said: “The company is happy to put this behind us.”

NETeller stopped operations in the US in January, abandoning two-thirds of its business after authorities arrested its Canadian co-founders, John Lefebvre and Stephen Lawrence, and charged them with handling illegal gambling proceeds.

Tags: Neteller, online casino

This entry was posted on Thursday, July 19th, 2007 at 8:10 pm and is filed under Gambling Industry News, Online Bingo, Online Bookies, Online Casino, Online Poker. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.