The former president of the MGM Grand casino in Las Vegas, Scott Sibella, was sentenced to one year of probation and ordered to pay a $9,500 fine for failing to report millions of dollars in wagers by an illegal bookmaker at his casino. Sibella pleaded guilty to one count of failure to file reports of suspicious transactions as required by the Bank Secrecy Act in January. The sentencing was in line with the recommendation of prosecutors and his defense lawyers. Sibella apologized to his family, friends, and former employers during the court hearing.
The Nevada Gaming Control Board recently filed a complaint against Sibella with the state Gaming Commission for his conduct underlying the federal criminal case. The civil complaint seeks a fine and action against Sibella’s gaming license. Sibella admitted to knowing that former minor league baseball player Wayne Nix ran an illegal bookmaking business and allowed Nix to gamble at MGM Grand without notifying the casino’s compliance department. Nix had accepted more than $4 million in cash that was illicit proceeds from his bookmaking business at the casino by 2020.
Nix pleaded guilty in April 2022 to one count of conspiring to operate an illegal sports gambling business and one count of filing a false tax return. Sibella, who became president of Resorts World casino in 2019, was terminated from his position when the investigation into his conduct at his prior employer was revealed. Sibella is currently unemployed. At the time of his guilty plea, the DOJ announced that MGM Grand and The Cosmopolitan had agreed to settlements totaling $7.45 million and would enhance their anti-money laundering compliance programs.
The Department of Justice had also resolved an investigation into alleged violations of money laundering laws and the Bank Secrecy Act at MGM Grand and The Cosmopolitan. The two casinos accepted responsibility for allowing Nix to conduct transactions involving millions of dollars without properly filing suspicious activity reports. The settlements required the casinos to pay the combined $7.45 million and enhance their anti-money laundering compliance programs. Sibella’s sentence and the settlements were part of efforts to crack down on illegal gambling and money laundering in the casino industry to ensure compliance with federal laws.
Sibella’s case highlights the importance of reporting suspicious activities and adhering to regulations in the gaming industry. The sentencing of Sibella and the settlements with MGM Grand and The Cosmopolitan serve as a warning to other casino executives about the consequences of turning a blind eye to illegal activities taking place in their establishments. The Nevada Gaming Control Board’s actions against Sibella indicate that regulators are actively monitoring compliance with gaming laws and will take action when violations occur. The case also underscores the need for strong anti-money laundering programs in place at casinos to prevent illicit funds from being laundered through gambling activities.
