A New Jersey court case has revealed that gambling software giant Playtech spent over £1.8 million ($2.4 million) between 2021 and 2024 on a secret investigation targeting Swedish rival Evolution. The payments were made to private intelligence agency Black Cube. This agency is a Tel Aviv-based firm founded by former Israeli intelligence officers.
Covert Investigation Using Fake Identities
According to court documents, Playtech engaged Black Cube to gather evidence suggesting that Evolution’s games were being offered in restricted or sanctioned markets. The agreement included a £400,000 ($524,000) retainer for a three-month inquiry. Additionally, there were success-based bonuses tied to “damaging findings,” media exposure, or regulatory action.
During testimony, Dr. Avi Yanus, co-founder of Black Cube, confirmed that operatives created fake companies, websites, and email accounts. They approached Evolution executives under false pretenses. Also, they posed as potential investors and recorded meetings while gathering material allegedly showing Evolution operating in prohibited jurisdictions.
Fallout and Regulatory Impact
The intelligence collected formed the basis of a complaint filed with New Jersey’s Division of Gaming Enforcement in 2021. When Bloomberg reported on the complaint, Evolution’s stock reportedly fell nearly 30% in a week. This triggered further “success payments” to Black Cube. Playtech continued funding the project as inquiries spread to regulators in Pennsylvania and New Jersey. Moreover, they offered a £500,000 bonus if Evolution lost any licenses—a goal that was ultimately never achieved.
By 2024, U.S. regulators dismissed the allegations as “baseless” and closed the investigations. Playtech defended the operation, stating it was conducted to ensure regulatory compliance rather than to harm a competitor. Evolution, however, called the claims “false and misleading,” accusing Playtech of orchestrating a smear campaign.
Black Cube Stands by Its Work
Black Cube maintained that the investigation was conducted “with full client awareness.” Yanus explained that the covert methods were necessary to “uncover the truth.”
The revelations have shaken both companies. Playtech’s shares dropped roughly 25% after the disclosures, while Evolution continues to contest the allegations in court.
