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NY betting watchdog cites Wynn, Resorts World Vegas scandals as concern for pending casino bids

September 30, 2024
in Business
Reading Time: 3 mins read
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NY betting watchdog cites Wynn, Resorts World Vegas scandals as concern for pending casino bids
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What happens in Vegas doesn’t always stay in Vegas.

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Recent betting scandals on The Strip could be potential roadblocks for two major bidders — Wynn Resorts in Hudson Yards and Resorts World at Aqueduct in Queens — vying for New York City’s highly coveted casino licenses, according to the head of the New York State Gaming Commission.

“Of particular concern to me are that two of our …. potential bidders for a new casino license, have been cited in Las Vegas for various violations of the law,” said Brian O’Dwyer, chairman of the state Gaming Commission.

“These allegations are serious.”

A rendering for the proposed Hudson Yards Wynn Casino in New York City. Wynn Resorts

Nevada-based Wynn Resorts — which has plans with Related Companies for a $12 billion gaming complex in Hudson Yards — agreed this month to fork over $130 million to settle a federal probe into unauthorized foreign money transfers to its Wynn Las Vegas casino.

The settlement is believed to be the largest forfeiture by a casino based on admissions of criminal wrongdoing,” according to the US Attorney’s Office for the Southern District of California.

A Department of Justice investigation found the casino was involved with “an unlicensed agent using foreign bank accounts to funnel money to China and other countries to patrons that are ineligible to access cash in the United States,” O’Dwyer said.

Wynn, however, downplayed the settlement.

Wynne Resorts’ New York casino bid could be damaged by a federal probe into unauthorized foreign money transfers at its Las Vegas casino. Related Companies and Wynn Resorts

“Wynn Las Vegas’ settlement with the DOJ regarding the actions of former employees years ago did not result in a fine nor any charges against the Company,” a Wynn spokesman told The Post.

Meanwhile, Resorts World Las Vegas — owned by the Malaysian Genting Group — allegedly violated the anti-laundering law by doing business with illegal bookmakers in an August complaint filed by the Nevada Gaming Control Board.

O’Dwyer said the illegal bookies — including one for MLB sensation Shohei Ohtani’s disgraced translator — were allowed to gamble in the millions of dollars.

“These allegations in the complaint are particularly disturbing in that it alleges a culture of non-compliance in that information on illicit or suspicious activity was either negligently or worse fully disregarded to promote financial gain,” the commission chairman said.

Some of the allegations against Resorts centered on Mathew Bowyer, the southern California bookmaker who took thousands of sports bets from Ippei Mizuhara, Ohtani’s ex-interpreter.

Bowyer pleaded guilty last month to federal charges on operating an illegal gambling business, transactional money laundering and filing a false tax return. Mizuhara also pleaded guilty to tax fraud.

Resorts Las Vegas, in an apparent house cleaning, parted ways with two high-level executives last week.  

Resorts World New York City operates at the Aqueduct race track in Queens. G.N.Miller/NYPost

Resorts World New York City, which has operated a state-licensed slots parlor for electronic betting games at Aqueduct for more than a decade, sought to separate itself from the Vegas scandal.

“There is absolutely no overlap between executives at one company or the other, as such one has no say on what the other does,” a Resorts World New York City spokesperson said in a statement.

O’Dwyer found the two scandals troubling, but not necessarily disqualifying of a license.

According to a Nevada Gaming Control Board complaint, Resorts World Las Vegas violated an anti-laundering law. Mary Altaffer

Still, he said, it’s the commission’s responsibility to assure that licensees exhibit the “utmost integrity” and comply with New York’s gaming rules.

Another state gaming commission insider told The Post that O’Dwyer raised the issues with the two bidders to send the message that there are “no favorites” in the selection process.

“No one has a free ride. No one has an inside track,” the source said.

State gaming regulators are considering awarding up to three casino licenses in the NYC region by the end of 2025.

The concerns could also be welcome news for casino competitors Las Vegas Sands, which wants to build a casino in Nassau County, and Mets owner Steve Cohen’s proposed casino project next to Citi Field in Queens.

Credit: Source link

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