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State of Play
- Resorts World Las Vegas is under federal scrutiny as a new RICO lawsuit accuses former executives of orchestrating illegal gambling and money laundering schemes.
- This case highlights continuing regulatory challenges in Nevada’s casino industry, emphasizing risks and compliance issues faced by major operators nationwide.
A lawsuit, filed in Nevada by high-stakes gambler and FBI informant Robert J. Cipriani alongside businessman James Russell, alleges a years-long racketeering scheme involving illegal gambling and money laundering at Resorts World Las Vegas.
The 95-page complaint accuses former Resorts World President Scott Sibella and attorney David Chesnoff of running the casino with deliberate disregard for gaming laws. Cipriani, who provided authorities with information on illegal bookmakers and laundering, claims retaliatory actions against him by Resorts World leadership, including a fabricated criminal case.
The complaint references Sibella’s guilty plea in a related federal case as evidence of a broader pattern of misconduct. This lawsuit extends previous Nevada Gaming Control Board investigations, which rated Resorts World’s internal controls as deficient, leading to a $10.5 million fine earlier this year.
Resorts World’s expansion in New York City approved
This lawsuit underlines the complex regulatory climate surrounding casino operations and anti-money laundering compliance. The allegations cast a shadow over Resorts World’s integrity, potentially affecting player trust and market dynamics, especially as operators pursue expansion across states.
Resorts World received approval this week from a New York gaming board to vastly expand its casino at Aqueduct Racetrack in Queens. Parent company Genting Berhad faced some scrutiny over its expansion plans, with New York regulators questioning the transparency of the company in its recent licensing application. The board did ultimately greenlight the $5.5 billion project, which awaits final approval from the New York State Gaming Commission later this month.
The lawsuit’s progress may prompt intensified regulatory reviews and litigations in Nevada and beyond. The unfolding case places pressure on gaming authorities and operators to bolster compliance measures and transparency.
Based on reporting by Erik Gibbs for Next.io.
