Dušan Jagličić
Djordje Djokić

Owners of Serbian betting portals arrested for affiliate marketing?

Next Story

Burbn's Funding Goes Down Smooth. Baseline, Andreessen Back Stealthy Location Startup.

[Serbia] The owners of Serbian betting sites kladionicar.com and freebetting.net – Djordje Djokić and Dušan Jagličić – were arrested last week for “organizing illegal bookmaking and money laundering”. However, not all is what it seems.

Both sites are resources for sports fans who like to bet on various sporting events. They provide stats, news, tips and other information related to sports betting. But revenue is generated through banner ads with links to bookmakers outside of Serbia and via SMS services with related betting information not through actually taking bets.

In other words, the two sites only refer users to other betting sites and get paid for each referral. It therefore looks like Djokić and Jagličić have been arrested, perhaps mistakenly, for affiliate marketing.

The press release issued by the Serbian police also wrongly cites Moneybookers.com, which Djokić and Jagličić used to receive payments from their affiliates, as “one of the biggest online booking sites in the world”. Moneybookers is an international online payment system and electronic money issuer authorised under UK and EU law and regulated by the Financial Services Authority (FSA) in the UK.

Big “fail” for the Serbian police.

The inaccuracy of press releases like this one raised doubts within the Serbian online community as to whether the arrests were justified or not. In addition, the Serbian media gave big publicity to a case often with incomplete information pretty much cut and pasted from the police press release.

There is no indication that Djokić and Jagličić have been operating illegally with relation to bookmaking, except perhaps receiving money from offshore accounts of foreign companies through their Moneybookers account. After one week since the arrest there is no new information nor clarification of the case by the police, while both guys remain in the custody.

  • http://globalvoicesonline.org/2010/10/19/serbia-two-internet-entrepreneurs-detained-for-months-without-trial/ Global Voices in English » Serbia: Two Internet Entrepreneurs Detained for Months Without Trial

    […] TechCrunch covered the story [EN] back in March of this year and doubts as to the charges in question were brought up almost immediately: Both sites are resources for sports fans who like to bet on various sporting events. They provide stats, news, tips and other information related to sports betting. But revenue is generated through banner ads with links to bookmakers outside of Serbia and via SMS services with related betting information not through actually taking bets. […]

  • http://pt.globalvoicesonline.org/2010/10/25/servia-dois-empresarios-de-internet-detidos-ha-meses-sem-julgamento/ Global Voices em Português » Sérvia: Dois empresários de Internet detidos há meses sem julgamento

    […] TechCrunch deu cobertura à história [en] em março deste ano e dúvidas quanto às acusações foram levantadas quase que de imediato:        Both sites are resources for sports fans who like to bet on various sporting events. They provide stats, news, tips and other information related to sports betting. But revenue is generated through banner ads with links to bookmakers outside of Serbia and via SMS services with related betting information not through actually taking bets. […]

  • http://facthai.wordpress.com/2010/10/28/serbia-%e2%80%98net-entrepreneurs-gaoled-months-without-trial-global-voices/ Serbia: ‘Net entrepreneurs gaoled months without trial-Global Voices « FACT – Freedom Against Censorship Thailand

    […] TechCrunch covered the story [EN] back in March of this year and doubts as to the charges in question were brought up almost immediately: […]

blog comments powered by Disqus