MGM Resorts Settles $8.5 Million Complaint Amid Bookmaking Scandal
On April 17, the Nevada Gaming Control Board (NGCB) filed a stipulation for settlement with MGM Resorts International, marking a significant moment in the ongoing issues faced by the gaming giant. MGM Resorts has consented to pay an $8.5 million settlement to the state regulator in response to accusations involving illegal bookmakers, Wayne Nix and Mathew Bowyer. The allegations detailed in a 10-count complaint indicated that MGM staff had neglected to report the gambling activities of these bookmakers while they were on the premises of MGM Grand and The Cosmopolitan in Las Vegas.
One particular incident highlighted in the complaint dates back to April 2018. An MGM customer had expressed concerns via email, suggesting that casino hosts were potentially sharing information about him with Bowyer. The email contained a serious allegation stating, “Mr. Bowyer is attempting to steal clients from the MGM, hence he is in the illegal bookmaking business and (casino host) is funneling MGM sportsbook clients to Mr. Bowyer.” This email was subsequently forwarded to two casino marketing managers, but, according to the NGCB, it was never escalated to MGM’s compliance executives.
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This settlement is part of a broader scandal involving Scott Sibella, who was the President of MGM Grand when Nix and Bowyer engaged in their gambling activities. Sibella later resigned from his position at Resorts World Las Vegas amid these ongoing investigations. It is noteworthy that the NGCB had earlier reached a settlement with Sibella, which resulted in the revocation of his gaming license. He also pleaded guilty to a federal charge, which led to probation.
In addition to the financial settlement, MGM Resorts has committed to undertaking a comprehensive review of its anti-money laundering programs and providing training for its staff as part of the stipulation. The Nevada Gaming Commission is expected to approve this stipulated agreement in the coming days. Meanwhile, the regulatory landscape remains sensitive, as BetMGM Canada was recently served with a monetary penalty of $110,000 for violations related to online gaming standards, and Resorts World had its own troubles, agreeing to pay a $10.5 million fine just weeks prior for allowing known criminals to gamble at their casino.
