The tide may have turned for Starnet Communications International in its legal battle against the publisher of two Internet publications that have allegedly defamed the company and its officers. The company announced yesterday the placement of a judgement against Claude Levy and two websites, Gambling Magazine and Starnet News, that Levy allegedly operates.
According to a Starnet press release, the Commercial Court in Mons, Belgium entered a default judgement against Claude Levy in his absence, as well as against Gambling Magazine and Starnet News, ordering Levy and the Internet publications to cease using the Starnet name or any similar names. Starnet also said the judgement ordered Levy and the publications to cease making defamatory accusations against Starnet on the Internet.
Levy reportedly has assets in Belgium, but denies having any publications. "I didn't see any judgement against my publications for the simple reason that I don't have any publications," Levy told IGN.
Contrary to Starnet's announcement, an article on Gambling Magazine reads, "Lawyers have been appointed yesterday in Belgium to challenge Starnet and Meldon Ellis. Their stupid act will be set aside in no time, it is just a simple formality which the court can't refuse when nobody knew anything about a court case, or a hearing. Nobody served any documents on the three parties involved, easy to get a default judgment in their absence. A lawyer specialized in international law has already confirmed that Belgium didn't not have jurisdiction to hear this case."
Starnet, meanwhile, says that it has been given permission to publish the judgement at Levy's expense in any two newspapers or trade magazines of its choice. The big question is how Starnet will get payment from Levy, acknowledged Rob Gracen, Starnet's investment relations manager. Added Starnet counsel John Ford, "We are hopeful he will follow the court order."
Violations of the order could prove costly. A penalty of 100,000 BF (about US$2366) per day will charged for violating the decision. Plus, the court is said to have ordered that the judgement be published 15 continuous days on both the Gambling Magazine and Starnet News homepages. Neglecting to do so will result in another 100,000 BF daily penalty. As of this morning, the judgements were not posted. Articles such as "Starnet Sucks" and "Meldon Ellis Is A Liar," however, were.
"If you are referring to Gambling Magazine and Starnet News, I don't see how they can publish any judgement against them," Levy said. "I have read the document, and I understand French well enough to tell you that there is no judgement against these two parties."
Starnet president Meldon Ellis, a frequent target on both publications, is pleased with the decision. "We remain extremely confident in our litigation strategy and legal team representing Starnet," he said, "and we will continue to work methodically through each of the legal issues the company faces."
Last October, Starnet officials successfully fought a $1 billion lawsuit brought against the company by Las Vegas Casino, an online casino formally powered by Starnet's software and allegedly run by Levy. The presiding judge over the suit set aside an ex parte order and Mareva injunction LVC had brought against Starnet, calling the suit "fanciful."