Last Updated: 10:30 AM, April 19, 2011

Posted: 12:50 AM, April 19, 2011

http://www.nypost.com/p/news/local/manhattan/all_bets_off_as_feds_bust_poker_X73A2KN6AskPO6hH41CxcM

A man charged with being the "payment processor" for three Internet poker houses anted up a $200,000 bail bond yesterday after pleading not guilty to money laundering and other charges.

Brad Franzen, 41, is accused of scamming banks into handling illegal gambling proceeds by disguising the cash as payments for online purchases of items including jewelry and golf balls.

He and several accomplices allegedly created phony corporations and Web sites to perpetrate the fraud, which authorities say helped wash $3 billion in profits for the offshore betting operations.

Prosecutors say the Illinois resident was "highly compensated" for his alleged misdeeds, but Franzen needed his parents to co-sign his bond and stake their home after he surrendered yesterday.

Defense lawyer Sam Schmidt declined comment beyond saying he would be "reviewing" the nine-count, Manhattan federal court indictment.

Franzen was charged as part of the feds' ongoing crackdown on online gambling, which last week shut the popular Web sites of Absolute Poker, Full Tilt Poker and PokerStars.

The founders of the companies were also indicted but remain at large overseas.