Anurag Dikshit, Co-founder of PartyGaming (the company behind PartyPoker), is set to appear in a New York Southern District court today to reportedly plead guilty to charges of defying the Wire Act by previously allowing US customers to gamble on the internet.

According to the story, which first broke in The Financial Times (www.ft.com), along with his guilty plea, Dikshit has agreed to pay $300 million to US authorities and to co-operate fully with the US Department of Justice (DoJ).

Dikshit could possibly face jail time with the plea (a maximum of two years); however, most likely that won't happen given he voluntarily contacted the DoJ in order to resolve the matter.

After the Financial Times article, PartyGaming itself released a statement, assuring stockholders that any company settlement with the DoJ would be significantly lower than Dikshit's and would most likely not include a criminal plea. Following the statement PartyGaming stock rose almost 7%.

It's been reported that PartyGaming is very interested in removing any lingering uncertainty over its legal status and to that end, have been negotiating with US authorities since 2007. According to company statements, "The company's discussions with the Department of Justice have made good progress and it is currently negotiating the final terms of a possible settlement."

Story by Mark Anderson