In a 31-page complaint, the Nevada Gaming Control Board alleged that the Strip resort allowed gamblers that ran illegal bookmaking operations to play in its casino.
The Nevada Gaming Control Board on Thursday filed a disciplinary complaint against Resorts World Las Vegas and its affiliated companies, alleging it allowed gamblers with ties to illegal bookmaking and histories of federal felony convictions to play at its casino.
In its 12-count, 31-page complaint, the Control Board said several individuals placed millions of dollars in wagers at Resorts World over several months, damaging the reputation of Nevada’s gaming industry.
Suspected or known felons wagering at Resorts World included Mathew Bowyer, who last week pleaded guilty to operating an unlawful gambling business, money laundering and subscribing to a false tax return; Edwin Ting, convicted in federal court of conducting an illegal gambling business and known to have ties to organized crime; Chad Iwamoto, convicted in federal court of transmission of wagering information and failing to file monthly tax return for wages; and another individual suspected of being an illegal bookmaker.
Resorts World response
A Resorts World spokesperson acknowledged the complaint Thursday.
“Resorts World Las Vegas is aware of the Nevada Gaming Control Board complaint,” an emailed statement said. “We are committed to doing business with the utmost integrity and in compliance with applicable laws and industry guidelines. We have been actively communicating with the GCB to resolve these issues so we can move forward and focus on our guests and nearly 5,000 team members.”
The Control Board separately filed a second complaint Thursday against Nicole Bowyer, Mathew Bowyer’s wife and a registered independent agent contracted by Resorts World. As an independent agent, Nicole Bowyer was allowed to directly profit from casino wagering.
“Consequently, Ms. Bowyer received payment from Resorts World despite surely knowing that her husband’s source of funds derived, at least in part, from illegal activity,” a Control Board representative said in a statement. “To date, Ms. Bowyer has failed to cooperate with the NGCB investigation.”
Resorts World now will have the opportunity to respond to the charges. It can either request a hearing before the five-member Nevada Gaming Commission, which would act as judge and jury in a formal setting, or it could negotiate a settlement which the commission would have to approve.
According to statute, Resorts World could have its non-restricted gaming license revoked or suspended and the company could be fined up to $250,000 per count — $3 million. It could be several months before the case is adjudicated because of notifications and possible negotiations to a stipulated settlement.
Investigation details
The Control Board complaint spelled out details of investigators’ conclusions.
“The board’s investigation revealed that Resorts World welcomed certain individuals to wager at its casino over a period of numerous months while Resorts World executives and employees knew, or should have known, that certain individuals were likely illegal bookmakers, that they had criminal convictions related to illegal gambling operations or that they had ties to organized crime,” the complaint said.
The complaint said Resorts World failed to comply with its anti-money laundering program as well as Nevada Gaming Commission regulations.
The complaint also alleges that “there exists an overall lack of control within Resorts World and acceptance among Resorts World executives of a culture where information of suspicious or illegal activity is, at a minimum, negligently disregarded, or, at worst, willfully ignored for financial gain given the overall pressure for Resorts World to generate revenue and that the bonuses of Resorts World executives are directly tied to financial success of Resorts World.”
News of the complaint wasn’t completely unexpected. Informant Robert “RJ” Cipriani, known on his X account, formerly Twitter, as Robin Hood 702, had posted that he expected regulators to file charges against Resorts World.
“This is a day I’ve been waiting for, for over five years,” Cipriani said in an interview. “I reported these illegal acts five years ago to the Gaming Control Board in Nevada, to the FBI, and no one did anything about it until now. It took five years and I have the documents to prove it. It’s a day welcomed by the good people of Las Vegas that are tired of criminals running this town.”
In October, Cipriani had filed a lawsuit in U.S. District Court in Nevada against Resorts World and its former President and Chief Operating Officer Scott Sibella of ignoring information that the casino was allowing illegal gamblers to play.
“I filed a federal complaint against Resorts World and Scott Sibella almost a year ago,” he said. “Everybody laughed at me and said these claims were all nonsense including the lawyers representing Resorts World and Scott Sibella. I have now been vindicated.”
Sibella not named
Sibella nor any member of the Resorts World AML (anti-money laundering) Compliance Committee were named in Thursday’s complaint.
There is, however, an active complaint filed April 30 against Sibella involving allegations against him when he served in a similar capacity at MGM Grand. That complaint has yet to be adjudicated by the Gaming Commission.
That complaint stemmed from Sibella’s guilty plea for violations of the Bank Secrecy Act.
Sibella was sentenced to one year’s probation and fined $9,500 for violating that law, established to fight money laundering at financial institutions.
U.S. District Judge Dolly Gee pronounced the sentence in May in the Central District Court of California in downtown Los Angeles.
Sibella, who pleaded guilty Jan. 24, failed to file suspicious transactions reports required of casinos while leading the MGM Grand between August 2017 and February 2019.
The MGM Grand and The Cosmopolitan of Las Vegas, both owned by MGM Resorts International, entered into non-prosecution settlement agreements with the U.S. Attorney’s Office, paying a total $7.45 million fine for its role in the case and are cooperating with authorities that are further investigating the reach of illegal bookmaking in California.
According to court records, Sibella turned a blind eye to the presence of illegal bookmaker Wayne Nix, a former minor-league baseball pitcher, who gambled illegally at the MGM Grand.
After leaving MGM Grand, Sibella worked for Resorts World before he was fired in September for violating company policies.
Gaming Control Board Chairman Kirk Hendrick, one of the three board members who signed the complaint against Resorts World, issued an emailed statement.
“The Nevada Gaming Control Board is committed to protecting the state of Nevada, its citizens and visitors and Nevada’s vital gaming industry,” Hendrick said. “All suspected violations of Nevada’s gaming laws and regulations will be fully investigated and disciplinary action will be filed when warranted.”
