Nevada Gaming Control Board and MGM reach settlement on disciplinary complaint
MGM Resorts will pay US$8.5m as part of a settlement with the Nevada Gaming Control Board (NGCB) following a complaint over money laundering breaches involving former MGM Grand President Scott Sibella.
The Nevada Gaming Control Board (NGCB) has entered into a proposed Stipulation for Settlement with MGM Resorts International, MGM Grand, and The Cosmopolitan of Las Vegas regarding a complaint for disciplinary action filed contemporaneously with the stipulation by the NGCB on April 17, 2025.
The complaint alleges unsuitable methods of operation arising from the activities of illegal bookmaker, Wayne Nix, which were described in non-prosecution agreements between the US Attorney’s Office for the Central District of California and MGM Grand and The Cosmopolitan. Additionally, the Complaint details the activities of another illegal bookmaker, Mathew Bowyer, which were discovered by the NGCB during the course of its investigation. The complaint’s allegations center on the actions and failures of MGMRI’s employees in relation to Mr. Nix and Mr. Bowyer, as well as deficiencies within MGMRI’s anti-money laundering (AML) program. The NGCB’s extensive and lengthy investigative process included cooperation from MGMRI executives and employees.
The filing suggests that Sibella and several MGM casino hosts knew Nix and Bowyer were gambling despite awaiting sentencing for federal gambling charges, but that they allowed the gambling to continue. It details that then-MGM Grand president Scott Sibella ‘approved complimentary rooms, food service, and event tickets for Mr. Nix, and invited Mr. Nix on marketing trips to encourage him to gamble at the MGM Grand.’
Nix is said to have gambled on MGM gaming floors on 400 different days with each day marking a separate violation.
The complaint states that a Cosmopolitan host ‘went to dinner with Mr. Nix, invited Mr. Nix to casino-sponsored events, and encouraged Mr. Nix to travel and stay at the Cosmopolitan to use the illegal proceeds.’
The stipulation includes a fine of $8,500,000 payable to Nevada’s General Fund, and dictates specific conditions be placed on MGMRI and on the properties’ gaming licenses. The proposed settlement also
details numerous remedial measures implemented at MGMRI and its subsidiary gaming properties. The majority of the conditions and remediations focus on enhancements to MGMRI’s AML program, as well
as additional training and employee awareness of AML requirements.
The Nevada Gaming Commission (NGC) is scheduled to consider approval of the Stipulation at its monthly meeting on April 24, 2025, in Las Vegas. At that time, counsel for MGMRI and the Nevada Attorney General’s Office will explain the terms of the proposed Stipulation and request NGC approval of the negotiated settlement.
