MGM Resorts International has reached a proposed settlement for $8.5 million with the Nevada Gaming Control Board (NGCB), which was investigating the casino and hospitality company for illegal bookmaking and anti-money laundering failures. The investigation arose after Scott Sibella, former President of the MGM Grand casino, pleaded guilty to a federal charge of violating the Bank Secrecy Act (BSA). Nevada regulators also reached settlements in similar investigations into Sibella himself and Resorts World Las Vegas, where he served as President after leaving his position at the MGM Grand.
On April 17, the NGCB filed a 10-count disciplinary complaint against MGM, accusing the company of “unsuitable methods of operation.” Nine counts related to MGM’s failure to act on suspicious activities involving illegal bookmaker Wayne Nix. The other addressed similar lapses concerning another illegal bookie, Matthew Bowyer. The complaint alleged that under Sibella’s leadership, MGM failed to uphold proper anti-money laundering (AML) protocols.
A day after the complaint was filed, the two parties reached a settlement, with the money going to Nevada’s General Fund, pending approval by the Nevada Gaming Commission. MGM has already taken steps to improve its AML program, including additional training and employee awareness as part of the agreement.
The Nix connection
According to the NGCB complaint, Nix ran an illegal offshore bookmaking business. He would then travel to Las Vegas and launder the illicit proceeds to gamble at the MGM Grand and Cosmopolitan.
Despite knowing the source of Nix’s money, Sibella and two MGM marketing hosts turned a blind eye. They even allegedly offered him complimentary benefits, including hotel rooms, meals, and golf outings with company executives. The complaint also revealed that Sibella invited Nix on business trips and even placed bets on his website, encouraging Nix’s continued patronage of MGM properties.
Even though the MGM compliance team occasionally conducted Know Your Customer (KYC) checks on Nix, they failed to escalate concerns or file Suspicious Activity Incident Reports. As a result of MGM’s failure to follow AML protocols, by 2020, Nix gambled over $4 million of illegal proceeds at the MGM Grand. He also gambled over $900,000 at the Cosmopolitan.
Bowyer’s role and continued ties to Sibella
While most of the NGCB investigation was centered around Nix, the regulator also alleged MGM and Sibella of similar inaction towards Bowyer. Like Nix, he used proceeds from illicit activities to wager on at least 300 separate days at MGM properties. Moreover, Bowyer obtained personal information from MGM marketing hosts and used it to poach customers for his illegal operation.
Bowyer’s relationship with Sibella didn’t end when Sibella left MGM. It continued to Resorts World Las Vegas (RWLV), where Sibella became president. According to a separate 2024 NGCB 10-count complaint, NGCB accused RWLV of failing to conduct proper AML checks under Sibella’s leadership. That included failing to identify the source of Bowyer’s $1.2 million gambling loss in just two months in 2022.
Although RWLV denied wrongdoing, it agreed to pay a $10.5 million settlement. Meanwhile, in 2023, the company removed Sibella from his position.
The likely end of the Sibella saga in Nevada
The recent settlements with MGM and RWLV appear to mark the final chapter in Nevada’s regulatory actions involving Sibella. In December 2024, he surrendered his gaming license as part of a broader agreement with state regulators. That officially ended his career in Nevada’s casino industry.
Earlier that year, a federal court dismissed Robert Cipriani’s lawsuit against Sibella and RWLV. The suit argued that the defendants retaliated against the plaintiff for bringing criminal activity to light. In a separate federal case, Sibella pleaded guilty to violating the Bank Secrecy Act. He received only a one-year probation and a $9,500 fine.
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