Vegas casino faces $US1m drug sting fine: Australian
casinos taking note
company that owns the United States Palms Casino Resort
says it will pay $US1 million ($A947,800) in fines
after employees of land based casino nightclubs accepted
payments to supply prostitutes, cocaine and pain pills
in a series of stings last year. Media Man www.mediamanint.com
Nevada Gaming Control Board detailed the underhand
dealings in a complaint filed on Friday, and the owner
of the Palms, FP Holdings LP, said it would to pay
the penalty for failing to prevent the illegal transactions.
other offences, the complaint said employees of NM
Ventures LLC and NM Ventures II LLC, which operates
the popular nightclubs, offered to sell undercover
agents ecstasy, the prescription painkiller oxycodone,
and $US18,000 worth of cocaine last March.
one sting, a bar employee at Rain nightclub agreed
to track down prostitutes for a patron.
failing to find the women, the employee reached into
a front pocket and produced $US100 of cocaine for
the undercover agent.
Moon nightclub host responded to an undercover agent
who asked for "party favours" by offering
up "$US100 of blow".
commission worked with Metro Police on the stings.
held off on making arrests during the operation, but
some are now imminent, according to Lieutenant Dave
Logue of the department's criminal intelligence section.
said they targeted the Palms because they suspected
last comparable operation took place at the Hard Rock
Hotel & Casino three years ago, Logue said.
bosses were "concerned and disappointed"
to learn of the activities apparently rampant at their
nightclubs, Palms spokesman Alex Acuna said in a statement.
are resolved to address these problems comprehensively
and decisively," he said.
the time of the sting, the subsidiaries that ran the
nightclubs were only partially owned by the Palms.
now fully owned (subsidiaries) so we have a lot more
oversight and visibility into the organisation,"
said the Palms is also implementing mandatory drug
testing, setting up a whistle-blower system and making
changes in its security department to discourage employees
from straying outside the law to meet customers' requests.
casino just west of the Las Vegas Strip is also installing
"amnesty boxes" at club entrances, where
patrons can dump drugs before entering the casino
without fear of legal repercussions.
$US1 million fine must be approved by the Nevada Gaming
Palms has also agreed to pay $US78,000 for investigation
based casinos around the world including The Star
in 'Sin City' Sydney, Australia, and James Packer
owned Crown Melbourne have taken note of the case,
but have not publicly commented on the case.
Media Man www.mediamanint.com
and Casino News Media www.casinonewsmedia.com
will be continuing to follow up the case.