After seizure of one of their domains and a raid on their Costa Rican headquarters, the company that owns Absolute Poker and UB.com has denied rumors that it will be declaring bankruptcy, but has confirmed liquidating its staff.

Among the casualties of Black Friday are the staff of UB.com and Absolute Poker, their parent company Blanca Games recently laying off much of its staff. In a statement issued May 5, the company said it would not be declaring bankruptcy, as rumors circulating the web have suggested. The company said it will be closing U.S. operations for both Absolute Poker and UB.com as they undergo a severe restructuring in response to the government action against them.

On April 15, 2011, the F.B.I., with warrants issued by the U.S. DOJ (Department of Justice) seized the U.S. domain names for Absolute Poker and several other leading poker sites doing business in the U.S. in defiance of the 2006 Unlawful Internet Gambling Act outlawing online poker in the U.S.. The site's and parent company's executives faced indictments. And then the Costa Rican Justice Department raids their headquarters there. That appeared to be the final straw.

Blanca Games has officially laid off its entire staff, promising to immediately begin the process of rehiring 20% of that workface for key positions necessary to retrain UB and Absolute Poker's efforts outside the U.S..

The bankruptcy rumors started when the company told one of its lenders it would cease making payments on its debt and that lender filed bankruptcy. The company is still in discussion with the U.S. DOJ on the possibility of returning funds to U.S. players shut out by the seizure.