Pubdate: Sat, 24 Jan 2004
Source: Pensacola News Journal (FL)
Copyright: 2004 The Pensacola News Journal
Contact:  http://www.pensacolanewsjournal.com/
Details: http://www.mapinc.org/media/1675
Author: Michael Stewart, Pensacola News Journal
Bookmark: http://www.mapinc.org/topics/operation+sandshaker

2 CHARGED WITH RACKETEERING

Drug Investigation Leads To Gambling Operation

Two local men face state charges of racketeering and are suspected of
operating a gambling operation with ties to a Central American company.

Scott Andrew Carstens, 52, of the 2500 block of Mary Fox Drive in
Gulf Breeze, and Keith M. English, 30, of the 400 block of Fort
Pickens Road on Pensacola Beach, each face one count of racketeering,
a first-degree felony that carries a maximum punishment of 30 years in
prison and a $10,000 fine.

The two men are accused of acting as bookmakers, collecting and paying
out sports gambling bets made on a Web site operated out of Costa Rica.

"We're talking about potentially tens of thousands of dollars in
bets," Assistant State Attorney Russ Edgar said. "There were dozens
and dozens of bettors from the local area, in state and out of state."

Carstens and English were booked into Escambia County Jail on a
$25,000 bond each. As of Friday afternoon, English had posted bond.
Carstens had not.

Carstens also is among the 53 suspects arrested in Operation
Sandshaker, a law enforcement effort against a suspected cocaine ring.

The suspected ringleader of that drug ring, Mitchell "Jackie" Seale,
told investigators he placed about four bets with the gambling
operation and that Carstens conducted his gambling business with a
number of people who frequented The Break, a Pensacola Beach bar,
according to an affidavit.

Carstens, a local builder, pleaded not guilty on federal drug
conspiracy charges in connection with Operation Sandshaker.

Investigators overheard Seale placing a bet Nov. 4 on the Miami-Ohio
college football game during a wiretap authorized to obtain evidence
of a suspected cocaine ring. Edgar said the gambling operation and
Operation Sandshaker are not related.

"It's just coincidence," Edgar said of Carstens' arrest in both
cases.

The Florida Department of Law Enforcement and the State Attorney's
Office began working the gambling case in June, after a former
employer of English alerted authorities. The employer, suspicious of
English's Internet activities while at work, hired a computer expert
who determined that English was conducting Internet sports gambling,
according to the affidavit.

English was fired and started his own computer company, 19
Communications Services in Gulf Breeze.

The investigation into the gambling activities was put on hold late
last year after participating agencies realized Carstens was a suspect
in both the gambling and cocaine cases, Edgar said.

Once Operation Sandshaker solidified, the gambling case was
reactivated.

A confidential informant told investigators English and Carstens
traveled to Costa Rica in late 2002 or early 2003 and met with an
individual who ran Safe Deposit Sports, a Web site where people could
place bets on sporting events, according to the affidavit.

Gamblers would place a bet on the Web site using a code provided by
Carstens or English, who would collect from losers and pay winners,
authorities believe. "Basically, they were taking book. But instead of
placing bets over the phone, they would do it on the Web site," FDLE
special agent supervisor Ed Hudson said.

Edgars said an 800-number operated out of South Florida was set up to
take bets by those who did not have access to a computer.

"We have not figured out the money flow exactly," Edgar said. "But the
amount of money made was potentially substantial."

FDLE spokeswoman Lisa Lagergren said it was believed the bets included
"anything sports-related." Edgar said more arrests are likely.
Bettors could face misdemeanor gambling charges, but the focus now is
on those running the operation, Edgar said.

How it went down

According to an affidavit of probable cause, the State Attorney's
office believes:

Gamblers would place bets at Safe Deposits Sports online at
safedepositsport.com using a code provided by Scott Carstens or Keith
English. The two men would check the Web site to see who had bet, whom
they should pay and from whom they should collect money.

The business was conducted using cash. Safe Deposit Sports received
$28 a week for each bettor. A toll-free telephone number also was set
up in South Florida for gamblers not linked to the Internet.
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MAP posted-by: Larry Seguin