To clarify a couple of points raised through the comments thread. - According to the DOJ, prior to black friday, FT had $60m in the bank and owed $390m to play

To clarify a couple of points raised through the comments thread. - According to the DOJ, prior to black friday, FT had $60m in the bank and owed $390m to players. Shortly after black friday, in June this figure was $6m. - There are two main reasons for this - one is the exorbitant payouts - over $440m was paid out to FT partners who held equity in the company - that were taken from players funds. Named are 4 people, Bitar, Lederer, Ferguson and Furst. The DOJ alleges almost $120m was paid out to these 4 alone, and Ferguson is 'owed' another $60m in dividend payments. - However, unnamed are many others who also received payouts; the DOJ claims FT - even when they knew they were insolvent - "continued making payments of approximately $10 million per month" up until April. - Furthermore, they were making sizeable loans to their roster of professionals with players funds. One mention of "Player Owner 1" almost certainly refers to Phil Ivey. - Finally, they were basically fronting US players millions - the DOJ alleges $120m in total - because they were unable to process deposits. - The reason this is nothing like a bank investing a customers money and why the DOJ is alleging this is "fraud" and a "ponzi scheme" (nb there is nothing in the amended complaint that suggests charges of a ponzi scheme; but it did come from Preet Bharara, U.S. Attorney for the Southern District in a statement) is because the money was not invested; it was used for dividend payments. Meanwhile, FTP was publicly claiming their players funds were maintained separately to operating accounts, deceiving players. - This really has nothing to do with affiliates "taking money out of the system." If you're interested in reading more, I write for this online poker news site: http://pokerfuse.com/news/law-legislation/fraud-tilt-poker/ http://pokerfuse.com/news/law-legislation/fraud-tilt-poker/