KUALA LUMPUR (March 21): Genting Bhd (KL:GENTING) has agreed to pay a fine of US$10.5 million (RM46.41 million) to the Nevada Gaming Commission as part of a settlement for a complaint against its Las Vegas resort.

The settlement agreement signed between Resorts World Las Vegas LLC (RWLV LLC) and the Nevada Gaming Control Board (NGCB) is subject to the acceptance of the Nevada Gaming Commission, at a hearing scheduled next week on March 27, 2025. 

Should the settlement agreement be accepted by the commission, reports out of the US put it as the second largest fine imposed in Nevada’s gaming history.

RWLV LLC did not admit or deny the allegations in the complaint filed by the NGCB on August 15, 2024, according to terms of the settlement, but agreed to greater scrutiny of its anti-money laundering (AML) programme and practices.

This includes maintaining an AML programme and retaining all employee AML training records and AML committee meeting minutes for a period of at least five years.

RWLV LLC will also submit an independent audit of its AML compliance to the NGCB two years after the settlement is approved, covering the two years prior.

"Respondent [RWLV LLC] and the board acknowledge that this stipulation for settlement is made to avoid litigation and economise resources. The parties agree and understand that this stipulation for settlement is intended to operate as full and final settlement of the complaint," the document read.

The settlement resolves the complaint, but the NGCB and Nevada Gaming Commission may consider the allegations and terms for any pending application from RWLV LLC.

Prior to reaching an agreement, RWLV LLC worked with the NGCB to resolve the issue and took steps to improve its compliance and governance, including strengthening its AML programme and making leadership changes.

The company has restructured its management team, appointing industry veteran Jim Murren as chairman and independent board member of RWLV LLC, while Alex Dixon was named chief executive officer. Other newly appointed board members include former NGCB chairman AG Burnett and former Malaysian investment banker Kong Han Tan, to name a few.

The 2024 complaint saw RWLV LLC being accused of failing to prevent individuals with suspected ties to illegal gambling from engaging in gaming activities on its premises.

Genting’s shares closed one sen or 0.30% higher at RM3.32 on Friday, giving the company a market capitalisation of RM12.78 billion. The stock is down almost 14% this year.

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