In a uncommon transfer, the Nevada Gaming Fee revoked the gaming license of former MGM Grand and Resorts World Las Vegas govt Scott Sibella, concluding a extremely publicized investigation into his function in compliance failures. Sibella, 62, confronted allegations tied to unlawful bookmaker exercise and the mishandling of suspicious transactions throughout his tenure as president and chief working officer at MGM Grand.
Gaming license revoked over compliance failures:
On Thursday, the fee voted 3-0 in favor of the license revocation, with Commissioner Abbi Silver recusing herself as a consequence of a private reference to Sibella, and Commissioner Rosa Solis-Rainey absent. Together with the revocation, Sibella was fined $10,000 and barred from reapplying for a gaming license in Nevada till the tip of 2028.
Sibella’s troubles stem from his failure to file suspicious exercise studies (SARs) for transactions involving Wayne Nix, a former minor league baseball participant who pleaded responsible to working an unlawful bookmaking operation. Federal investigators linked Nix to money-laundering actions inside MGM Grand, the place he allegedly paid off a $120,000 on line casino marker in money.
In his protection, Sibella asserted that compliance failures had been the accountability of MGM’s company compliance group, not particular person executives. “You don’t must take my phrase for it. You solely must look and see that for the reason that investigation into these points, MGM Resorts eighty-sixed many bookmakers that had been playing in its casinos — and a few of them for over 20 years,” he acknowledged.
The fee’s choice underscored the significance of strict adherence to compliance requirements inside Nevada’s gaming business. As Las Vegas Assessment-Journal studies, Commissioner George Markantonis famous, “Fairly frankly, they allow you to down, sir. If there’s something good to come back out of it for no less than the business, it’s that C-suite executives and possession teams ought to pay attention to the truth that Nevada’s compliance requirements are non-negotiable.”
The settlement settlement, accredited through the assembly, protects Sibella from additional penalties associated to his time at Resorts World, the place ongoing investigations allege compliance lapses involving people tied to unlawful bookmaking and felony convictions. Resorts World and its mother or father firm, Genting Berhad, face potential fines of as much as $3 million for 12 counts of alleged regulatory violations.
Sibella’s profession within the gaming business spanned a long time, starting with an internship on the Golden Nugget in Las Vegas and culminating in govt roles at MGM properties and Resorts World. He gained public recognition after showing on Undercover Boss in 2011, the place he portrayed a roulette seller to attach with frontline staff.
Nonetheless, his tenure was not with out controversy. Federal investigators revealed that Sibella knowingly allowed Nix to gamble at MGM properties regardless of his unlawful actions. Based on courtroom paperwork, Sibella averted studying how Nix paid his markers and did not report transactions exceeding $5,000, as required underneath anti-money laundering legal guidelines.
Based on KLAS 8 Information Now, Sibella’s departure from Resorts World in September 2023 got here after he disclosed to his employers that he was underneath federal investigation. Resorts World cited violations of firm insurance policies and employment phrases as the explanations for his termination.
Broader implications for Nevada gaming:
The fallout from Sibella’s case extends past particular person accountability. Each MGM Grand and The Cosmopolitan of Las Vegas had been fined a mixed $7.45 million as a part of non-prosecution agreements with the Justice Division. These settlements highlighted systemic points in anti-money-laundering compliance throughout the business.
Regulators are actually targeted on Resorts World, which reportedly allowed gamblers with prison histories to position important wagers, doubtlessly tarnishing Nevada’s gaming status. The corporate not too long ago introduced management adjustments, together with appointing former MGM govt Alex Dixon as CEO and forming a brand new board of administrators led by Jim Murren.
In his assertion to the fee, Sibella expressed remorse over the influence of the investigation on his profession and private life. “I’ve spent my total profession devoted to the gaming business and the betterment of Las Vegas,” he mentioned. “The place I used to be as soon as celebrated, I’m now a pariah. On line casino govt colleagues and buddies received’t even communicate to me. I’ve precipitated my household to undergo, and I’m pained by the data that I’ve to go away the business that I like.”
Sibella hopes the settlement will present closure, enabling him to maneuver ahead after what he described as a “full nightmare.”
