The complex ongoing legal story involving Resorts World Las Vegas was explored by Joe Streeter and Jessica Welman, Editors of CasinoBeats and SBC Americas respectively, on the latest episode of iGaming Daily, supported by Optimove.

The Nevada Gaming Control Board (NGCB) has filed a disciplinary complaint against the casino, as well as its parent and affiliated companies and individuals working at the property.

At the centre of the allegations is Scott Sibella, who recently pled guilty to money laundering charges stemming from his previous tenure at MGM Resorts. It has also emerged that he extended credit to individuals with ties to illegal bookmaking while working at Resorts World.

According to the NGCB complaint, Resorts World allegedly failed to meet anti-money laundering (AML) standards when they extended credit to Matthew Bowyer, the illegal bookmaker charged with operating an illegal sports betting ring with clients including Shohei Ohtani’s ex-interpreter, Ippei Mizuhara.

The complaint also alleges that the casino failed to bar, ban or restrict Edward Ting and Chad Iwamoto, who have both been found guilty of illegal gambling activities in the past.

Jess described the allegations as a “bad look” for a Vegas casino and a “major failing” of systems that are supposed to be in place to ensure that proof of funds is provided when a line of credit is extended to a patron.

On potential punishments for Resorts World, she added: “I don’t know what they’re going to do to them, but it’s got to be big. These are fundamentals that you should know about approving clients. In Nevada, there are massive amounts of rules that you have to follow and this wasn’t just an oversight.

“The record fine for a Nevada casino I believe is $20m and I would think that you go higher. There’s probably at least one conversation at the NGCB about ‘Does this casino deserve a license?’. [However] I think once you build a $2bn property, it gets complicated. You put that investment in jobs and you don’t want to put those people out of a job.”

The case involving Resorts World has also opened up the discussion around the culture of VIPs in North American gaming and the potential for similar issues to occur in the future.

Jess said: “The problem with VIPs is that one VIP can make a huge difference to your balance sheet. Earlier this year, PointsBet casino was the second place in New Jersey and then DraftKings took back the spot and the rumours have been that it’s because one customer flipped over to PointsBet and back to DraftKIngs.

“I’ve said many times to friends that I’m waiting for the day there is a massive VIP responsible gambling scandal with a regulated online casino. What we haven’t seen is somebody who we find out that they very clearly had a problem with gambling and the casino enabled them.”

BetMGM is currently fighting a court case brought to them by Sam Antar who is accusing the firm’s VIP hosts of soliciting him to play despite knowing that he had a problem with gambling.

Antar has been unsuccessful in his fight so far, but his case is currently in the Third Circuit Court of Appeals. It was previously dismissed by a New Jersey judge who said that casinos in the state have no obligation to stop problem gamblers from wagering money they don’t have.

Joe recalled the UK industry used to have similar VIP schemes, however, concerns over social responsibility led to them being scrapped by many operators. Additionally, he recalled conversations he’s had with industry insiders in North America who have described the current state of VIP schemes as “unsustainable”.