Rumors Abound about Closure of Online Gambling Payment Firm

Although it was launched just last year to reportedly serve the European online gambling sector, online payment gateway Ivobank is being bandied about by the rumour mill that it is in financial trouble and will soon close down. The rumours started when Ivobank recently stopped accepting new customers.

This week Ivobank published a statement on its website that said as from September 7, 2009 it would no longer accept any new retail or corporate customers and that 'as the bank's future strategic aims are developed, further information will be made available'. It also said that 'all normal transaction facilities remain available, at present, for existing customers'.

Although the online bank also made it clear that its current customer base can still access and withdraw their funds at any time, what many in the online gambling industry will undoubtedly be wondering is if this statement will cause a 'run' on the online bank, and possibly result in its complete collapse.

Amidst the rumours of Ivobank's demise, a lack of detailed information from the bank has only served to feed speculation of a potential collapse and scare its existing customers. It is no secret that the online gambling industry and its various peripheral industries - including online payment gateways - is a volatile one.

Ivobank was launched last year by the Indonesian billionaire Sampoerna family as an independent bank which was reportedly authorized and regulated by the Financial Services Authority (FSA) in the UK. It's core business was to offer its clients a secure, reliable and versatile online payment and banking infrastructure.