It appears that Russ Hamilton, the 1994 World Series of Poker Main Event Champion and a consultant to Ultimate Bet won millions by using special software that allowed him to see other players’ cards. He would invite other players to play online poker and then won each game by using the software. Many professional poker players were defrauded in this way also. It is believed he had accomplices who helped him to move money and also to set up fraudulent accounts and usernames which were not linked to his own name.
The cheating was discovered by certain players who noticed that some players and one in particular were betting large amounts and they never lost even though their play was not of a very high standard. Reports were made to the companies involved but management didn’t really react and when they finally did it was discovered that the cheating over about 4 years cost them around 22 million dollars in repayments to cheated players.
It’s possible that when the case comes to trial that it will cost the online poker site involved even more in compensation to players.