On Wednesday, Rafe Furst (pictured), who was singled out by the U.S. Department of Justice as profiting from an alleged Full Tilt Poker Ponzi scheme, responded by issuing an open letter to the poker community. Furst’s statement appeared on his blog and he told readers, “I’ve got nothing to hide.” Meanwhile, Full Tilt Poker’s legal team and others have been publicly disputing the use of the phrase “Ponzi scheme” by the DOJ.

Furst began his letter by stressing that while he was unable to comment about the case, “From a moral, personal, and interpersonal perspective, I feel I’ve got nothing to hide. And since I trust in our system of justice and have the utmost respect for my legal counsel, I will refrain from talking about the case until it’s resolved.” The DOJ contended that Furst, Chris Ferguson, and Howard Lederer were involved in a “global Ponzi scheme” that resulted in Full Tilt Poker paying out $443 million to its pros and executives.

Furst then thanked those who have been supportive of him this week: “What I would like to express here is concern for my family, friends, colleagues, and supporters who believe in me and who feel my pain as if it were their own.It sucks to have to endure the character assassination and potshots being taken at me in the media and social networks without being able to defend myself. Privately, though, I have received incredible support from many of you, and I can’t tell you how much it means to me.”

The Alderney Gambling Control Commission (AGCC) suspended Full Tilt’s gaming license at the end of June reportedly because the room was unable to pay back U.S. players following Black Friday. The results of a hearing this week in front of AGCC officials are currently pending, and PocketFives.com learned on Wednesday that Full Tilt has a “committed investor” who might purchase controlling interest in the site before the end of the month.

While not diving into specifics, Furst contended that not every piece of information being reported by the DOJ and poker media sites is accurate: “To the skeptics, please consider that not everything you read is true, and our society is built on a presumption of innocence until proven otherwise. It’s difficult to take back hurtful things that you might later regret, when the damage has already been done.” He then invited critics to Tweet him at @rafefurst, but, at the time of writing, no comments appeared in his feed.

The DOJ’s use of the term “Ponzi scheme” has garnered much debate. On Thursday, Daniel Richman, a professor at Columbia Law School, told Reuters, “Ponzi scheme is certainly the term du jour these days. If you want to drive home the point of taking people’s money and not giving it back and sustaining it through later deposits, using the word Ponzi captures it.” The phrase carries a poignant meaning following the well-publicized antics of Bernard Madoff.

The DOJ using “Ponzi scheme” has also had an effect on Full Tilt’s prospects of financing. On Wednesday, a source close to Full Tilt told PocketFives.com that the site lost two potential investors after being called a Ponzi scheme. The same source called the designation “ridiculous.”

Also disputing that Full Tilt was a Ponzi scheme was site attorney Jeff Ifrah (pictured), who told Reuters on Thursday, “FTP may have made mistakes, but I have seen no evidence to support the DOJ’s characterization of it as a global Ponzi scheme.” The term originated in the 1900s and is named after Charles Ponzi, who profited from postal reply coupon fraud and was ultimately deported from the United States to Italy.

Reuters defined a Ponzi scheme as “fraud in which existing investors are paid with funds supplied by newer ones until the money stops flowing in and the scam collapses.” Allegedly, Full Tilt Poker told players their funds were being kept in segregated accounts from operating expenses. Instead, the money was purportedly intermingled and, as a result, Full Tilt owed players nearly $400 million as of March 2011. The company allegedly had just one-sixth of that sum on-hand.

Meanwhile, the AGCC has still not released the results of its hearing with Full Tilt officials. PocketFives.com was told that a ruling could be handed down today, but the AGCC has issued no edict at the time of writing.

More information on the alleged Full Tilt Poker Ponzi scheme is available in these articles:

Full Tilt Source Says Investor Has Committed; Still No Verdict from AGCC
Full Tilt Ponzi Scheme Accusations Ignite Calls for Regulated Online Poker
Tom Dwan: Full Tilt Had “Way Less Oversight than it Should’ve”
PPA to DOJ: Repay Full Tilt Players in Alleged Ponzi Scheme
Feds Call Full Tilt Poker “Global Ponzi Scheme”