I did not read the entire thread.  Is the OP from the US (I can't tell)?  If so he doesn't have a legal leg to stand on since an illegal "contract" cannot be enforced.  The only thing that might work would be negative reputation pressure. That being said many years ago when it was (sorta) legal in the US this happened all the time dealing with off-shore casinos.  It was always a fight to collect.  We also had "organizations" who were supposed to represent us but rarely did they do any good. Those were the good old days but long gone except if you live in certain states.

As for the OP without knowing all the details and seeing all the docs and hearing both sides it's impossible to know what really is going and make a judgement other than he possibly lost a lot of coin. If