In the ever changing world of US laws around online gambling there are more high profile cases where individuals get charged under the Unlawful Internet Gambling Enforcement Act, also known more simply as UIGEA. In this sting type investigation law enforcement officials placed wagers on a Bodog.com in Maryland and were paid by check from Kenneth Wienski through a shell company created to hide the transfer of money from gambling. The charge is not from actually being involved in online gambling, for example free spin slots or bonus slot games, rather it is for transferring the funds from the gambling activities.
Within the investigation the accused allegedly discussed the development of a fake medical billing company, SNR Medical Billing Incorporated. It was developed with the sole intent to transfer and processes gambling funds. Under Maryland law it is illegal to receive or process any proceeds from gambling of any form including online gambling, wagering, contests or racing.
The medical billing company was allegedly created with up to $135,000 from James Davitt, who himself was charged under the same laws in 2009. Mr. Davitt operated under the company name HMD Incorporated.
The shell medical billing company was set up when Kenneth Wienski was Chief Executive Officer for Diversified Check Solutions. Statements from that company indicate that Mr. Wienski is no longer an employee and that they are fully cooperating with law enforcement in all areas of the investigation. Currently investigators have determined Mr. Wienski used several funds processors based out of the United States to handle the money from free spin slots, online gambling and online wagering sites.