French group Tapie bids to buy Full Tilt

A BIDDER for online poker group Full Tilt emerged at the weekend, raising hopes that at least some of the jobs at its Dublin base can be saved.

Alderney’s Gambling Control Commission revoked the group’s licence late last week, after finding that it misled the Channel Island-based regulator about its finances.

The move threw a question mark over the estimated 500 to 600 jobs at Full Tilt’s Pocket Kings subsidiaries in Cherrywood, Dublin, as it meant that the business could not continue to trade.

According to a statement released to a number of online gaming industry websites, French group Bernard Tapie has made a conditional deal to buy Full Tilt’s assets and business and provide funds to repay players.

The news raised the possibility that its licences can be restored and at least some of the jobs in Dublin saved.

Pocket Kings employs more than 500 people in Cherrywood. It is understood that if the Tapie deal goes through, the business may still seek to cut about 250 jobs, as its US operation will remain closed. Pocket Kings said last month it would be seeking to lay off up to 250 people from the Dublin operation. Its London-based spokesperson did not comment yesterday.

The Tapie group’s deal is reported to be subject to the new owner arriving at a “favourable conclusion” with the US department of justice, which has filed a series of complaints against Full Tilt and its Irish subsidiaries with a New York court.

In a statement, the French group said it would seek to open immediate talks with the US department of justice. It did not comment yesterday, but reports suggested that it would be willing to enter talks with the group’s prospective buyer.

The department initially filed bank fraud and money laundering charges against Full Tilt in April. US attorney Preet Bharara followed that up last month with a fresh complaint alleging that the group used $440 million in players’ funds to pay owners and directors. The US authorities maintain that online gambling contravenes a number of federal laws.

The company is also facing a class action suit from former US- based players seeking the return of funds that they say the group owes them. Full Tilt issued a statement earlier this year blaming the seizure of up to $115 million by the US federal authorities and the theft of funds by one of its payment processors.

The Tapie group specialises in corporate rescue and buying distressed businesses. In the late Eighties, it bought sportswear group Adidas from its German owners, the Dassler family. French bank Crédit Lyonnais subsequently took over the company and sold it to Robert Dreyfus.

The group was founded by Bernard Tapie, who served as a French cabinet minister in the Nineties. His son Laurent Tapie is now chief executive of the business. The group claims to have bought and rescued more than 40 businesses.

Mr Tapie also owned Olympique de Marseilles football team, which won a number of French domestic titles in the 1990s and the Champions League in 1993.