Don Mackey did not pay out that money. The PBT paid out the money that was gathered through entry fees from the players and sponsorships. Don Mackey never reached into the coffers of any enterprise he had built to finance the PBT as Trudeau has done. Mr. Mackey criminally misappropriated the funds that belonged to the players.
At this moment the players are owed prize money that was promised to them on the condition of participation by Mr. Trudeau. I believe this to be a legal obligation. However, if Mr. Trudeau cannot satisfy that obligation due to insolvency then the difference lies with intent. At this point there is no evidence that Mr. Trudeau intended to criminally deceive the players. Perhaps he is guilty of being overambitious in his plans.
Yes, the players have been enticed with "too-good-to-be-true" promises. On net however the players have not been asked to part with more money than the IPT has paid out. Apart from those that played in qualifiers the 2006 IPT Card Holders were only required to foot the bill for their expenses at the venues, just as they are at every other tournament with far less reward. They weren't required to stay at the host hotel or spend any money at the venue at all. They weren't required to dress up in the uniform of the casino.
If Trudeau fails to pay the last tourament's prize fund then he has absconded with the bulk of his own money and very little of the total participant's money in the IPT adventure.
A poor state of affairs and bad business, but hardly a swindle, at least for the players.