Head of Affactive/Revenuejet to Pay $403 Million Fine to U.S.

This story was published more than 5 years ago.

This week the head of the rogue Affactive and Revenuejet casino groups Gery Shalon agreed to pay a $403 million fine to the United States government in order to settle three criminal cases and a civil lawsuit.

The lawsuits related to hacking J.P. Morgan Chase in order to steal customer information that was then used to spam people with "pump and dump" penny stock scams, laundering money through bitcoin exchange Coin.mx, and their scam online casino sites.

Shalon was arrested in 2015 after he and his associates hacked banking and financial services company J.P. Morgan Chase. The federal government also accused him of, among other things, using Coin.mx to manage money paid for ransomware attacks, while also running the Affactive and RevenueJet online casino groups. Shalon has been in jail in a Manhattan federal prison on charges of conspiracy to commit securities fraud, computer hacking, and conspiracy to commit wire fraud. He faced decades in prison if convicted, but struck the deal to pay the huge fine instead after fellow Coin.mx operator Anthony Murgio was sentenced to 66 months in prison for his role in laundering money through the Bitcoin exchange. The defendant has been released from jail and will be on his way home.

The Affactive and Revenue Jet casino groups were notorious for not paying customers, and their sites were shut down after Shalon and associate Ziv Orenstein were arrested in 2015. Co-conspirator Joshua Aaron eluded police in 2015 but recently turned himself in. The fates of Orenstein and Aaron are not yet known.

As part of the settlement, Shalon is required to provide authorities with information as to how he ran his gambling companies.

About the author

Dustin Jermalowicz // News Editor
Dustin Jermalowicz
Dustin has a long-standing passion for gambling. He has been writing professionally on the subject and breaking industry news for Casino Listings since 2011. His favorite casino games include Blackjack, Poker, and Hi/Lo. A proud native of Detroit, Dustin currently lives in Michigan.
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auCL-Ed
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29 June 2017 - 5:59am
#1

So let me see... we have hacking and theft of personal information, spamming pump and dump penny stock schemes, money laundering, involvement in distribution of ransomware and handling of associated extortion payments, not to mention the bunch of crooked casinos we are so familiar with here. Is there anything else I've missed? Oh yes securities fraud. And still he is able to pay his way out of going to prison. The mind boggles...

2 zuga, sharpe

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lvblck
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29 June 2017 - 7:13am
#2

I agree with you so mich CL-Ed. How many people were victims because of their actions? It is just crazy.

auCL - klaw
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29 June 2017 - 11:50pm
#3

Escaping jail time is not surprising for people with the money to avoid it, governments probably prefer to keep white collar criminals out of jails due to the sheer expense of keeping an individual incarcerated. What I want to know is whether there have been further penalties applied to this man and his mates to stop him from doing more of the same in the future?!

krcoolsongss
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30 June 2017 - 3:17pm
#4

Wow, this is a very surprising news. They are a real organized financial crime.

I had the withdrawal held in Begado and Slots Jungle a few years ago, and my issues were resolved here in Casinolistings.

How many victims were out there ? I can't imagine from the agreed amount of fine.

bgsharpe
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1 July 2017 - 8:31pm
#5

Well, sounds like a nice guy...obviously you could buy yourself the freedom nowadays...by the way how much out of jail card for killing cost these days - just curious!