State gaming regulators have reached a tentative agreement with Scott Sibella, the former top executive at Resorts World and MGM Grand, which effectively ends his career in Nevada’s casino industry.
The Nevada Gaming Control Board filed a stipulation of settlement with the Nevada Gaming Commission revoking Sibella’s gaming license and his finding of suitability in the state in addition to imposing a fine of $10,000. Sibella also will be placed on the board’s list of denials, revocations and findings of unsuitability, barring him from applying to re-enter Nevada’s gaming industry for a five-year term, retroactive to December 2023.
That’s the month before Sibella pleaded guilty in U.S. District Court in Los Angeles for failing to file suspicious activities reports while employed at MGM to federal officials investigating the presence of illegal bookmakers in violation of anti-money laundering laws.
The charge stemmed from his tenure as president of the MGM Grand casino-hotel, which is where since-convicted illegal bookmaker Wayne Nix was gambling with impunity, according to authorities.
License revocations are rare. While the commission could seek a higher fine — up to $300,000 — a license revocation is a far greater penalty on a licensee and it’s expected the commission would agree to the $10,000 fine, which was suggested by Sibella’s legal counsel.
While such a settlement with the Gaming Commission would prevent him from holding a key executive role in Nevada’s licensed casinos, regulators in other states often follow Nevada’s lead on complaint penalties, meaning Sibella could have a hard time getting a top gaming position in other states.
Sibella sentenced in May
Sibella was sentenced to one year’s probation and fined $9,500, plus a $100 special assessment, for violating the federal Bank Secrecy Act established to prevent money laundering at financial institutions.
U.S. District Judge Dolly M. Gee pronounced the sentence May 8 in the Central District Court of California in downtown Los Angeles.
During that sentencing, Sibella took responsibility for his failings.
“The decision to plead to the single charge, for failing to file a suspicious activity report (SAR) at MGM Resorts in 2017, was not easily arrived at given the underlying facts and realities in this matter,” he said during the court hearing. “I was charged from the very beginning for not filing a SAR, accepted a plea, and have taken full and complete responsibility for what I did. I want to reiterate that by, anything alleged, I gained no benefit — neither personal, professional or financial.”
When considering the sentencing, Gee said she was swayed by 81 letters of support that were sent to her endorsing Sibella — the most she had ever received in a case like that — and that he was a first-time offender.
The parties signed the Control Board’s settlement agreement Tuesday, and the document was filed with the Gaming Commission on Wednesday.
The commission must approve the settlement agreement before it becomes final. The commission is scheduled to meet on Dec. 19 in Boulder City, and the recently filed agreement is listed on the meeting agenda.
After being let go from MGM Grand in 2020, Sibella took the helm at Resorts World.
While he served as the top executive at Resorts World, state gaming regulators allege that management turned a blind eye to illicit behaviors and allowed suspected illegal gamblers, such as Mathew Bowyer, the since-convicted bookmaker, to play at the property in violation of federal anti-money laundering laws.
The Control Board’s settlement agreement with Sibella notes that while the disciplinary complaint against the former executive addresses his tenure at MGM Grand, it also resolves any “responsibility attributable” to him at Resorts World, which is involved in two pending disciplinary complaints filed by the board Aug. 15.
Resorts World complaint
A 12-count complaint against Resorts World’s affiliated holding company, Genting Berhad, alleges that the Las Vegas property that opened in June 2021 allowed gamblers with ties to illegal bookmaking and histories of federal felony convictions to play at its casino.
In that 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 Bowyer, who earlier in August 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 a monthly tax return for wages; and another individual suspected of being an illegal bookmaker.
At the time, Resorts World acknowledged the complaint.
“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.”
Nicole Bowyer complaint
On the same day the complaint against Resorts World was filed, the board also issued a complaint 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.
“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 in August.
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.
Last week, Resorts World’s parent company, Genting Berhad, announced the formation of a four-person board of directors helmed by Jim Murren, the former chief executive officer of MGM Resorts International. Murren’s tenure at MGM coincided with Sibella’s, which industry experts say should prompt state gaming regulators to ask questions around what Murren knew about the situation at MGM Grand, when he knew and what he did about it.
In addition to appointing a board of directors, Malaysian-based Genting also named Alex Dixon, a former executive with both MGM and Caesars Entertainment, as CEO of Resorts World Las Vegas.
Dixon’s tenure at Resorts World Las Vegas will begin on Jan. 16.
Resorts World posted its worst financial returns in two years during the third quarter of 2024, citing extreme summer heat, consumer economic concerns and domestic election anxiety for the underwhelming results.
David Danzis can be contacted at ddanzis@reviewjournal.com or (702) 383-0378. Follow AC2Vegas_Danzis on X. Contact Richard N. Velotta at rvelotta@reviewjournal.com or 702-477-3893. Follow @RickVelotta on X.
