Houston Poker Club News
A pair of Houston card rooms were raided by local law enforcement Wednesday afternoon and more crackdowns of these establishments might be on the way.
Prime Social Club and Post Oak Poker Club were raided by officers from the Vice Division of the Houston Police Department. In total, nine owners and managers were arrested on charges of money laundering and engaging in organized criminal activity.
“Poker rooms are illegal in Texas,” District Attorney Kim Ogg said in a statement. “We are changing the paradigm regarding illegal gambling by moving up the criminal chain and pursuing felony money laundering and engaging in organized crime charges against owners and operators.”
Houston's Premier Social Club. Prime Social Club is a premier members only entertainment destination. As Houston's largest poker club, we offer an upscale lounge, fully stocked bar, gourmet dining and dozens of poker tables throughout the venue. Raided Houston Poker Club Sues Legal Firm 5th September 2019 // Legal News, Misc, News. Houston’s Prime Social Poker Club, one of two day-membership poker rooms in Houston that was raided in early May, has filed suit against the law firm that approached them about helping lobby for an “anticipated” Houston ordinance that would formally legalize such rooms and remove them from a grey area. A pair of Houston card rooms were raided by local law enforcement Wednesday afternoon and more crackdowns of these establishments might be on the way. Prime Social Club and Post Oak Poker Club. Breaking News: 2 Poker Clubs in Houston Raided, 9 Arrested On the morning of Wednesday, May 1, 2019, police raided the Post Oak Poker Club and Prime Social Poker Room in Houston, Texas. These two establishments are poker rooms that use a membership-based model to get around Texas' strict anti-gambling laws.
Officers seized computers and hard drives in the raid. At Prime Social Club, the raid took place just a few minutes before the start of a $580 no-limit hold’em tournament with a $150,000 guaranteed prize pool.
Houston Police Chief Art Acevedo told local media that this is just the start of a larger crackdown on poker rooms in Houston.
“We’re not going to tolerate it,” Acevedo told the local ABC News affiliate. “We got two of the bigger ones today and this is just the beginning. We need to shut them down. If you want to have these kind of establishments, the legislature needs to authorize it. Otherwise, we’re going to do our jobs and shut them down.”
Law enforcement clearly believes these clubs are breaking the state’s gambling laws. The operators, on the other hand, believe that they are in full compliance with state law since they don’t collect a rake. The card rooms only charge membership fees and consider themselves a private club.
“We’re just facilitating the play between the players,” said Daniel Kebort, one of the five owners of the Post Oak Poker Club that were arrested yesterday.
Wayne Dolcefino, who worked for Prime Social Club both in researching the law before the club opened its doors and in promoting certain events, said that the idea that they are hiding a criminal operation is laughable.
“In my view, a business trying to cover their tracks wouldn’t be in a giant building on Westheimer,” said Dolcefino.
While no players were arrested, both clubs had their bank accounts and assets frozen. According to an October 2018 article from the San Antonio Express, there are “about 40” of these poker clubs operating throughout the state.
Houston Poker Club News Articles
In what was a stunning afternoon ofactivity in and around the city of Houston, several top “card clubs” – basicallypoker rooms that were skirting the laws of the state – were raided by local lawenforcement. As a result of the raids, other card clubs in the area shut downout of an abundance of concern and the future of Texas card clubs has beencalled into question.
Poker Club Game
AfternoonRaids Lead to Charges
On Wednesday afternoon, Prime Social Poker Club was raided by law enforcement officials of the city of Houston. The club had been advertising a poker tournament with a guaranteed prize pool of $150,000 which, according to the Facebook page Free to Compete – Texas, was supposed to have started that same day and could have been the reason for the raid. Soon after this news came down, further information was passed along by Free to Compete that one of the other top rooms in the Houston area, the Post Oak Poker Club, had also been the subject of a raid by authorities.
Free to Compete kept a running commentaryon Facebook throughout the afternoon on their page, with updates that were inreal time and were sometimes mistaken. Early in the situation, Free to Competestated that players who were in Prime Social Poker Club were allowed to leavewith their chips and they were photographed but not arrested. A later update,however, indicated that the prior report of players being able to keep theirchips might have been mistaken, that the players were being considered aswitnesses (hence the photos) and that the general manager of the club was in handcuffs.
The raids on Prime Social Poker Club andPost Oak Poker Club sent several other rooms into protection mode. Mint Pokerwas rumored to have been raided, but that was shot down by late in theafternoon on Wednesday although the club closed for the day “out of anabundance of caution.” Late Wednesday evening, however, Mint Poker issued astatement that was pulled from Facebook that they would “temporarily suspendingmember services while (the Mint Poker legal team) investigates the closing oftwo clubs in Houston.”
OfficialStatements from Law Enforcement
Wednesday afternoon, Harris County District Attorney Kim Ogg issued a statement regarding the raiding of Prime Social Poker Club and Post Oak Poker Club. “Poker rooms are illegal in the State of Texas,” Ogg announced in the statement. “We are changing the paradigm regarding illegal gambling by moving up the criminal chain and pursuing felony money laundering and engaging in organized crime charges against owners and operators. Players are not being targeted.”
Houston Police Chief ArtAcevedo added his two cents in the press release. “We can’t allow illegalgambling to go on,” Acevedo said. “It drives organized crime and fuels othercriminal activity. According to reports, nine people involved in the ownershipof the clubs were arrested on money laundering charges and their respectivebank accounts were seized. They are:
Post Oak Poker Club
Daniel Kebort
William Heuer III
Alan Chodrow
Sergio Cabrera
Kevin Chodrow
Prime Social Poker Room
Dean Maddox
Mary Switzer
Brent Pollack
Steven Farshid
The five men charged from PostOak were all charged as owners of the club. Maddox was charged as the owner ofPrime Social, with Switzer named as the comptroller, Pollack as the generalmanager and Farshid as the assistant general manager.
What IS the Law in Texas?
Some have said that it isn’tagainst the law to play poker in Texas and that’s true – it’s not ILLEGALanywhere to “play” poker. Once money is used in the game, however, laws ongambling enter the picture. One of the key laws is that an establishment can’ttake a rake or fee from the game, which therefore makes it against the law.
New Poker Rooms In Houston
In Texas, many industriousentrepreneurs thought they had found a way to circumvent this law. According tothe interpretations of many attorneys, these clubs were legal because of thefollowing reasons:
1.The clubs were “members only” and private.
2. The clubs didn’t take a rake from any hands played on the grounds.
3. The members of the club are playing against each other and not against the house, with each player having the same chance at winning and losing.
So how do the businesses make any money,plenty of people have asked. In addition to their membership fees, these clubswould also sell food on the premises (alcohol is reportedly banned from suchclubs) to make some additional cash. The clubs were looked at as a saferalternative than the legendary underground games in Texas, although anoted online poker player was shot and robbed at a poker club in Austinjust last year.
Poker Rooms Houston
And Whatis the Future?
Currently the nine people charged in the Houston cases are going to be tried for the money laundering charges, not for any actions they took as to running a poker room. But there is plenty of attention being drawn to the subject. In the Texas Legislature, a bill has been filed by Democrat Ryan Guillen (Rio Grande City) that would license and regulate the “social gaming establishments.” Right now, that bill is stalled in committee in the Texas House of Representatives and its future is unknown.
Whether the raids were truly what they were stated – a raid against money laundering – or something more sinister, other poker rooms must be on alert. Free to Compete has announced a petition drive to bring a grassroots effort together to combat the threats. As of yet, other organizations such as the Poker Alliance (which used to be their forte – the protection of poker players and their rights to play) haven’t yet spoken up on the issue, so it may be a fight that Texans will have to wage on their own.