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FLORIDA MAN SENTENCED IN INTERNET GAMBLING CONSPIRACY
BEAUMONT, Texas – A 42-year-old Treasure Island, Florida man has been sentenced to federal prison for his role in an internet gambling conspiracy in the Eastern District of Texas announced U.S. Attorney John M. Bales.
Daniel Patrick Davis was convicted on July 9, 2010, of conspiracy to operate an illegal gambling enterprise, two counts of operating an illegal gambling enterprise and two counts of money laundering and was sentenced to 12 months and one day in federal prison on Mar. 3, 2011, by U.S. District Judge Thad Heartfield. The court also ordered the forfeiture of a money judgment of $300,000 in gambling proceeds as well as several accounts containing about $80,000 cash and several vehicles.
Davis, Phillip Dell Clark, 55, of Big Spring, Texas, and Cecil D. Stephens, 73, of Burnet, Texas, were convicted by a jury following a 10-day trial last summer. Clark and Stephens, are set to be sentenced on Mar. 24, 2011.
According to information presented in court, a joint investigation revealed that from April 2007 to September 2009, the defendants operated a multi-million dollar gambling enterprise through computerized gambling machines using sweepstakes to attract patrons under the guise of internet cafes and e-business centers in Port Arthur, Beaumont, Nederland, and Henderson, Texas. Clark and Davis owned and operated Dolphin Internet in Port Arthur, Davis operated the Nederland Internet Café in partnership with others, Clark and Stephens owned and operated the Double Click in Henderson, and Davis and Stephens operated the Henderson Sweepstakes in Henderson. The Dolphin Internet and the Nederland Internet Café were shut down after search warrants were executed on July 2, 2008, and the Beaumont location closed shortly thereafter. Search warrants were also served on the Double Click in Henderson in March 2009 which led to its closure. A search warrant in September 2009 also led to the closure of the Henderson Sweepstakes. The defendants were indicted by a federal grand jury on Oct. 7, 2009, and charged with federal gambling violations.
This case was investigated by the Texas Attorney Generals' Office, the Jefferson County Sheriff's Office, the Port Arthur Police Department, the Nederland Police Department, the Rusk County District Attorney's Office, the Henderson Police Department, the Dallas Police Department's Vice Squad and the FBI. This case was prosecuted by Special Assistant U.S. Attorney David Glicker of the Texas Attorney General's Office and Assistant U.S. Attorney Robert L. Rawls.