Two Years in Prison and 75 Million Won Forfeiture for CEO
Illegal Texas Hold'em Tournaments Held in Daegu and Gyeongju
Entry Fee of 100,000 Won Per Ticket... Totaling 3.29 Billion Won
A group indicted for hosting an illegal Texas Hold'em tournament with prize money worth billions of won has been sentenced to prison.
According to the legal community on the 11th, the Busan District Court Criminal Division 5 (Presiding Judge Kim Hyun-seok) sentenced Mr. A, the CEO of the company that held the Hold'em tournament, who was charged with operating a gambling house, to 2 years in prison and a fine of 75 million won. Another CEO of the company, Mr. B, was sentenced to 1 year and 4 months in prison and fined 28 million won. Additionally, three company employees who were also indicted were each sentenced to 8 to 10 months in prison with a 2-year probation.
From July 2023 to March last year, Mr. A and others held illegal Texas Hold'em tournaments three times at the Daegu Sports Complex and a hotel in Gyeongju. The entry fee was 100,000 won per ticket, totaling 3.29 billion won. They are accused of distributing prize money worth approximately 1.68 billion won to participants according to their rankings.
The recently popular Hold'em pubs operate by charging an entrance fee and providing chips for card games. However, exchanging chips for cash, charging entry fees to provide tournament participation rights or prize money, or exchanging tournament participation rights for cash are considered "illegal gambling."
Legal forms of gambling in South Korea include horse racing, bicycle racing, Kangwon Land (casino), Sports Toto, Lotto, and motorboat racing. All other types of gambling are considered illegal. Except for temporary entertainment, all games where money is wagered and winnings or losses are determined by chance are recognized as gambling. Generally, simple gambling offenses are punishable by a fine of up to 10 million won under the Criminal Act, and if habitual, by imprisonment of up to 3 years or a fine of up to 20 million won.
Not only participants in illegal gambling but also those who establish illegal gambling houses or operate illegal gambling sites are subject to punishment. If charged with operating a gambling house, one may face up to 5 years in prison or a fine of up to 30 million won. If illegal gambling similar to legally permitted gambling is operated, enhanced penalties may apply under specific laws. For example, if caught operating an illegal Hold'em pub, one may be sentenced to up to 7 years in prison or fined up to 70 million won for violating the Tourism Promotion Act.
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