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    vinism's Avatar
    vinism is offline Editor Emeritus
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    Default NETeller revenue down 54%

    I'm still going through the information, but here's the start of the story I'm working on right now....

    NETeller revenue has declined 54 % as a result of its withdrawal from the U.S. market, the company announced today. The popular payment processor took in $32.7 million in the first quarter of 2007 compared to $71.8 million in the final quarter of 2006.

    NETeller exited the American market on Jan. 18 after its co-founders, Stephen Lawrence and John LeFebvre, were arrested by U.S. authorities and charged with money laundering. Both Lawrence and LeFebvre pleaded guilty to conspiracy charges earlier this month and each faces a maximum sentence of five years in jail.

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    vinism's Avatar
    vinism is offline Editor Emeritus
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    Here's the full story.

    NETeller revenue drops 54%

    July 25, 2007
    by Vin Narayanan
    NETeller revenue has declined 54% as a result of its withdrawal from the North American market, the company announced today. The popular payment processor took in $32.7 million in the first quarter of 2007 compared to $71.8 million in the final quarter of 2006.

    The company's first quarter results include approximately $14 million from American customers collected prior to its withdrawal from the U.S. NETeller's average daily receipts have slipped 70% during the same time period, from $5.75 million to $1.71 million.

    NETeller exited the American market on Jan. 18 after its co-founders, Stephen Lawrence and John LeFebvre, were arrested by U.S. authorities and charged with money laundering. Both Lawrence and LeFebvre pleaded guilty to conspiracy charges earlier this month and face maximum sentences of five years in jail.

    The company stopped processing online gambling transactions for Canadians in April.

    Excluding North America, NETeller reports it has an active customer base of 99,575 – which is slightly higher than the 91,381 it had as of Dec. 31, 2006. And as of March, 71,493 of their active customers came from Europe. Before exiting North America, NETeller had 385,781 active customers.

    The company also says it has $213.5 million in cash. But that amount doesn't account for the $60 million seized by U.S. authorities or the remainder of the $136 million it agreed to pay the U.S. in a settlement reached last week.

    NETeller still owes U.S. customers about $94 million, but says the repayment of that money won't affect the company's cash position.

    The process to return funds to U.S. customers is expected to begin by the end of the month, the company says.

  3. #3
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    matted is offline Public Member
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    The money they owe US folks may not be included in that 200 million in the bank... But they wont be able to collect interest on our money after next week!
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  4. #4
    kenonut is offline Private Member
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    Quote Originally Posted by vinism View Post
    The process to return funds to U.S. customers is expected to begin by the end of the month, the company says..
    Note the statement "begin by the end of the month". I bet we actually won't see our money for who knows how long. I think they are going to prolong this as long as they can just to hang onto the $94 million dollars for as long as they can. Think about, would you rush to hand over $94 million, especially if you have lost over 50% of your sales, and your customers are really at your mercy to pay them back because our hands are basically tied?. I just hope they don't procrastinate too long because I am sure that most people need their month with all of our incomes going downhill from virtually no casino sign ups.

  5. #5
    gordonprice1947 is offline Public Member
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    They finally announced that they will allow customers to begin withdrawing funds on July 30.

    Neteller Sets Date to Return Funds to US Customers
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    kenonut is offline Private Member
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    Quote Originally Posted by gordonprice1947 View Post
    They finally announced that they will allow customers to begin withdrawing funds on July 30.

    This is really great news. I am looking forward to finally receiving payment.!!

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    helpyou is offline Public Member
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    I think that it is normal that Neteller lost about 50 % and 60 %, you take in cosiderations that it lost of credibility.

    these thing ( payment blocked ) 'll damage its future. How much ? I don't know.

    ( N.B. I don't know well the story of Neteller ( the imputations ) and the true reason because they block the usa account )

    I think that now the player'll choose payment more secure.
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