Wynn Resorts may be fined $5.5 million by the Nevada Gaming Control Board (NGCB) for regulatory violations encompassing unauthorized overseas money transfers and other illegal financial dealings. The proposed penalty stems from a broader worldwide scheme of unlicensed money-transmitting companies and will be decided by the Nevada Gaming Commission (NGC) on May 22.
Key Takeaways
- Wynn Resorts faces a proposed $5.5 million fine for unlicensed international money transfer violations
- An NGCB investigation revealed proxy betting and AML failures involving former Wynn Las Vegas employees
- The settlement follows earlier multi-million fines against MGM and Resorts World for similar regulatory breaches in 2024
The NGCB action against Wynn is the latest among significant fines levied against prominent Las Vegas Strip casino operators in 2024. Resorts World Las Vegas was previously fined $10.5 million in March for facilitating transactions on behalf of unlawful bookmakers.
Wynn's violations trace back to a broad federal probe that concluded in September 2023. In a non-prosecution agreement with the U.S. Department of Justice, Wynn agreed to turn over $130 million to the federal government.
The company avoided criminal prosecution by admitting to facilitating unlicensed financial transactions and agreeing to implement remedial steps. The federal action focused on the payment of money to favor high-rolling players wagering at Wynn's Las Vegas casino complex, in a manner that violated U.S. money transmittal rules.
According to the NGCB complaint, former Wynn employees facilitated cross-border financial transactions on behalf of foreign patrons through unregistered money transmitters. These activities directly offended U.S. federal financial laws and Nevada gaming regulations.
Wynn also violated proxy betting rules
In addition, the NGCB report held the company responsible for allowing proxy betting - having someone place a bet on one's behalf - an activity prohibited in Nevada due to its inherent risk of cheating and its ability to circumvent anti-money-laundering (AML) safeguards.
The Board emphasized that Wynn's systems of compliance and internal controls failed to prevent or identify such illegal activities, thereby breaching the terms of its state-issued gaming license. These control shortfalls were cited as egregious failures undermining the integrity of Nevada's gaming industry and its robust AML regulatory framework.
Despite the violations, the NGCB acknowledged that Wynn Resorts cooperated fully in state and federal probes. The firm brought the Board up to speed on the issue unfolding during the Justice Department investigation and was similarly transparent in the NGCB's subsequent regulatory review.
Representatives of the Nevada Attorney General's Office and attorneys for Wynn Resorts will present the terms of the proposed settlement to the NGC. Pending approval, the $5.5 million payment will be the final state-level regulatory sanction involving Wynn's global money transmission business activities.
The rapid pace of hefty fines against major Las Vegas casinos this year demonstrates heightened emphasis by Nevada regulators on financial compliance and AML regulation. It could also suggest that additional regulatory crackdowns are possible in the coming months, with MGM Resorts also receiving an $8.5 million fine from the NGCB in April.
