MGM Resorts to pay $8.5M fine for anti-money laundering violations
MGM Resorts International has agreed to pay Nevada regulators $8.5 million following a lengthy investigation into anti-money laundering (AML) violations tied to two convicted illegal bookmakers.
If approved by the Nevada Gaming Commission next week, the proposed settlement would rank among the largest regulatory fines in the stateâs history.
The penalty stems from a 10-count complaint by the Nevada Gaming Control Board (NGCB), centered on MGMâs failure to prevent illicit gambling activity and properly handle large cash transactions at the MGM Grand and The Cosmopolitan. Much of the blame falls on former MGM Grand President Scott Sibella.
According to the complaint, Sibella authorized complimentary perks â including hotel rooms, meals, and show tickets â for Wayne Nix, a former minor league baseball player turned illegal bookie. Investigators found that Nix wagered millions in illicit funds over hundreds of visits, often bringing in large amounts of cash in bags. Despite red flags raised internally as far back as 2015, no suspicious activity reports were filed, and Nix was allowed to return.
The investigation also uncovered that another illegal bookmaker, Mathew Bowyer, continued betting at MGM properties between 2015 and 2018. Executives expressed concerns about his financial credibility early on, but he was still allowed to gamble â even after a customer alleged Bowyer was poaching clients for illegal betting.
Linked Fines and Fallout for MGM and Resorts World
MGM Resorts has acknowledged the settlement, saying it cooperated with regulators and implemented new internal controls. The company didnât comment on the fine itself but said it has since ramped up AML training and created a system for front-line employees to flag suspicious behavior.
This state-level fine follows a separate $7.45 million federal penalty MGM paid as part of a non-prosecution agreement. Altogether, MGM has spent more than $16 million addressing failures tied to illegal betting operations and AML lapses.
