Resorts World has agreed to pay a $10.5 million fine levied against it by the state of Nevada for violating anti-money laundering laws. The fine is the second biggest in the state's history, and it covers a 10-count complaint for Resorts World's failure to comply by letting known illegal bookmakers gamble at the casino for over a year.

Resorts World Las Vegas has agreed to pay a $10.5 million fine, the second-largest in Nevada history, to settle a disciplinary complaint for its failure in complying with federal anti-money laundering laws. The Strip resort allegedly allowed recognized illegal bookmakers to wager millions of dollars over the course of more than a year without proper oversight.

The Nevada Gaming Control Board disclosed the stipulated settlement on its website on Thursday afternoon. The Nevada Gaming Commission will review the agreement during its upcoming hearing in Las Vegas.

The original complaint, filed in August, contained 12 counts, but regulators have since amended it to 10. Kirk Hendrick, Control Board Chairman, explained in an email on Friday that Resorts World had conducted “sufficient enhanced due diligence and other compliance reviews on two individuals - Chad Iwamoto and Edwin Ting - who were initially named in the complaint. As a result, the allegations against those customers were removed.

If approved, the $10.5 million fine will be second only to the $20 million penalty imposed on Wynn Resorts in February of 2019. That record-setting fine stemmed from a 10-count complaint related to accusations of sexual misconduct and abuse by former Wynn Resorts Chairman Steve Wynn, who later agreed to pay a separate $10 million fine in July of 2023 - the largest individual penalty ever issued by Nevada regulators.

Regulatory actions and leadership changes

The NGCB noted in a statement posted on X that Resorts World has undergone extensive leadership changes and implemented numerous remedial measures over the past several months to address the violations. Many of these improvements have focused on strengthening the property's anti-money laundering program.

Resorts World, in a statement issued through a New York-based public relations company, agreed to the settlement and expressed its commitment to resolving the matter. The resort also agreed that should any federal enforcement action arise from the allegations, the NGCB reserves the right to file a separate disciplinary complaint.

Much of the unlawful activities detailed in the complaint took place under the leadership of Scott Sibella, ex Resorts World Las Vegas President, who was dismissed in September of 2023. Following his departure, Malaysia-based Genting Berhad, which owns the property, implemented significant leadership changes.

Alex Dixon, gaming industry veteran, was appointed Chief Executive Officer, and Genting established a new board of directors spearheaded by Jim Murren, a longtime executive in the gaming sector. Other board members include gaming attorney A.G. Burnett, a former NGCB chairman, and former Nevada Governor Brian Sandoval.

Additionally, K.T. Lim resigned as Chief Executive Officer of Genting after almost twenty years, and was replaced by former President and Chief Operating Officer Tan Kong Han.

Illegal gambling and money laundering allegations

The NGCB's complaint focused on the activities of illegal bookmaker Mathew Bowyer, who pleaded guilty earlier this month to charges of money laundering, operating an unlicensed gambling business, and filing an untrue tax return.

Regulators stated that Bowyer squandered over $1.2 million at Resorts World in 2022, yet the casino failed to properly identify the source of his funds or ensure he completed required financial documentation. "Resorts World knew, or should have known, that Bowyer was likely engaged in illegal bookmaking," the complaint alleged. Bowyer, a well-known figure in illicit sports betting circles, accepted millions in bets from various clients, including the ex-interpreter for baseball superstar Shohei Ohtani.

With the Nevada Gaming Commission set to deliberate on the settlement next week, the case clearly demonstrates the state's ongoing efforts to enforce strict regulatory compliance within the gaming industry. Should the commission approve the agreement, it will serve as a reminder of the consequences for casinos failing to uphold anti-money laundering safeguards.