PartyGaming founder sells before sentencing

The co-founder of PartyGaming, who faces sentencing next year for violating US gambling laws, is to sell his stake in the online gaming company.

Anurag Dikshit's holding company said yesterday it had sold two-thirds of his 27.6 per cent stake to institutional shareholders, taking his holding down to 9.4 per cent. A spokesman for the billionaire, who helped to set up Party-Gaming in 1997, said: "The rest will be sold down when it is appropriate to do so and that will be soon."

Mr Dikshit pocketed £188m from the initial sale at 250p a share. Shares in PartyGaming fell by 16 per cent, or 44.4p, to 240.1p yesterday, but analysts said the stock should benefit from the increased free float in the longer term. The spokesman said Mr Dikshit was selling the shares to transfer money into his charitable foundation, the Kusuma Trust, and to distance himself from that "chapter of his life". He is due to be sentenced in December 2010 after pleading guilty two years ago to breaking US gambling laws.

He paid a $300m fine in June after reaching an deal with prosecutors, and many in the industry believe he will avoid jail. James Hollins, an analyst at Daniel Stewart, said: "The assumption and informed view is that the fine will be enough of a slap on the wrist for him to be allowed to go on his way."

Mr Hollins said the main "positive" of the sale was to increase the free float of its shares on the market.

PartyGaming, which is headquartered in Gibraltar and best known for its online poker room PartyPoker.com, left the US gambling market in October 2006 after Congress enacted the Unlawful Internet Gambling Enforcement Act that month. In April 2009, PartyGaming signed a non-prosecution agreement with the US Department of Justice to pay $105m in instalments for offering internet gaming in the US from 1997.

Sport
footballLIVE: All the latest from today's Premier League matches
News
newsNew images splice vintage WWII photos with modern-day setting
Arts and Entertainment
The star dances on a balcony in the video
music
News
Jennifer Lawrence's Katniss Everdeen learns that Peeta is still alive in Mockingjay Part 1
peopleListen to the actress sing in The Hunger Games: Mockingjay Pt 1
PROMOTED VIDEO
News
ebooksNow available in paperback
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Reach Volunteering: Trustee – PR& Marketing, Social Care, Commercial skills

Voluntary Only - Expenses Reimbursed: Reach Volunteering: Age Concern Slough a...

Reach Volunteering: Charity Treasurer

Voluntary Only - Expenses Reimbursed: Reach Volunteering: Crossroads Care is s...

SThree: Trainee Recruitment Consultant - Soho

£20000 - £25000 per annum + OTE £35,000: SThree: We consistently strive to be ...

Ampersand Consulting LLP: Markit EDM (CADIS) Developer

£50000 - £90000 per annum + benefits: Ampersand Consulting LLP: Markit EDM (CA...

Day In a Page

US immigration: President Obama ready to press ahead with long-promised plan to overhaul 'broken system' - but will it get past a Republican-controlled Congress?

Immigration: Obama's final frontier

The President is ready to press ahead with the long-promised plan to overhaul America's 'broken system' - but will it get past a Republican-controlled Congress?
Bill Cosby rape allegations explained: Why are these allegations coming out now? Why didn’t these women come forward earlier? And why has nobody taken legal action?

Bill Cosby rape allegations explained

Why are these allegations coming out now? Why has nobody taken legal action? And what happens next for the man once thought of as 'America's Dad'
Four years of excruciating seizures caused by the 1cm tapeworm found burrowing through a man's brain

You know that headache you’ve got?

Four years of excruciating seizures caused by the 1cm tapeworm found burrowing through a man's brain
Travelling to work by scooter is faster than walking and less sweaty than cycling, so why aren’t we all doing it?

Scoot commute

Travelling to work by scooter is faster than walking and less sweaty than cycling, so why aren’t we all doing it?
Paul Robeson: The story of how an American icon was driven to death to be told in film

The Paul Robeson story

How an American icon was driven to death to be told in film
10 best satellite navigation systems

Never get lost again: 10 best satellite navigation systems

Keep your vehicle going in the right direction with a clever device
Paul Scholes column: England must learn to keep possession and dictate games before they are exposed by the likes of Germany and Brazil

Paul Scholes column

England must learn to keep possession and dictate games before they are exposed by the likes of Germany and Brazil
Michael Dawson: I’ll thank Spurs after we win says defender as he prepares to return with Hull

Michael Dawson: I’ll thank Spurs after we win

Hull defender faces his struggling former club on Sunday ready to show what they are missing. But he says he will always be grateful to Tottenham
Frank Warren column: Dr Wu has big plans for the professionals yet he should stick to the amateur game

Frank Warren column

Dr Wu has big plans for the professionals yet he should stick to the amateur game
Synagogue attack: Fear unites both sides of Jerusalem as minister warns restoring quiet could take 'months'

Terror unites Jerusalem after synagogue attack

Rising violence and increased police patrols have left residents of all faiths looking over their shoulders
Medecins sans Frontieres: The Ebola crisis has them in the headlines, but their work goes far beyond West Africa

'How do you carry on? You have to...'

The Ebola crisis has Medecins sans Frontieres in the headlines, but their work goes far beyond West Africa
Isis extends its deadly reach with suicide bombing in Kurdish capital

Isis extends its deadly reach with suicide bombing in Kurdish capital

Residents in what was Iraq’s safest city fear an increase in jihadist attacks, reports Patrick Cockburn
Underwater photography competition winners 2014 - in pictures

'Mysterious and inviting' shot of diver wins photography competition

Stunning image of cenote in Mexico takes top prize
Sir John Major: Negative West End portrayals of politicians put people off voting

Sir John Major hits out at theatres

Negative West End portrayals of politicians put people off voting
Kicking Barbie's butt: How the growth of 3D printing enabled me to make an army of custom-made figurines

Kicking Barbie's butt

How the growth of 3D printing enabled toy-designer to make an army of custom-made figurines