Fantasy Aces’ situation seems to be alarming for its customers who’re unable to withdraw their funds. If the stricken company has co-mingled customers’ funds with operating costs, then the states which have regulated DFS have a duty to prosecute.
Day-to-day fantasy sports (DFS) operator Fantasy Aces filed for bankruptcy this week following a last-ditch rescue effort by competitor Fantasy Draft fell through.
Alarmingly for players, it appears from the bankruptcy filing that the company struggles to pay more than $1 million of players’ funds, and so it has co-mingled customer money with its operating expenses.
‘The Fantasy Aces team truly regrets to announce that people are not able to sustain our web site and business operations January that is effective 31st, filing for protection under Chapter 7 bankruptcy law,’ the company told its clients on Wednesday.
‘After spending more than a year trying to secure long-term money free pokies online australia, including recent negotiations with two notable organizations which subsequently failed to close, our company is left with an unresolvable burden that is financial. We have actually unfortunately exhausted every feasible financial option with no success,’ the California-headquartered DFS company concluded.
Will Regulated Jurisdictions Prosecute?
Consumer protections while the significance of operators to segregate player funds was a major driving force behind states using actions to regulate the DFS in Læs videre “Fantasy Aces Files for Bankruptcy, Can’t Pay Players”