Two former gaming regulators found themselves on the other side of licensing hearings Wednesday, with both former Nevada Gaming Commission Chairman Brian Sandoval and former Gaming Control Board Chairman AG Burnett winning endorsement recommendations in their new roles on the Resorts World Las Vegas board.
Sandoval, who also served as Nevada’s governor and is president of the University of Nevada, Reno, and Burnett, a partner in McDonald Carano’s gaming and administrative law firm, were unanimously recommended for licensing as members of the Resorts World Las Vegas board of directors. Two other board members, Keong Hui Lim and Kong Han Tan, were also recommended for approval as board members after testifying online from Asia in a two-hour hearing.
Final approval by the Nevada Gaming Commission, which now has Sandoval’s lieutenant governor, Brian Krolicki, as a member, is scheduled for Feb. 26.
Sandoval chaired the Gaming Commission from 1999 to 2001 and Burnett chaired the Board of Control from 2012 to 2017.
Board members thoroughly questioned the resort’s board members about Resorts World’s recent regulatory battles involving compliance with anti-money laundering issues.
Sandoval said as chairman of the board, he regularly communicates with Resorts World management about legal compliance.
“The beauty of this board and the diversity of it is that they bring different experiences, life experiences, regulatory experiences, government experience, private sector experience,” Sandoval said. “And when you put all of that together, it’s really a force multiplier in terms of making sure all the bases are covered in terms of compliance.”
Comprehensive training
Sandoval said executives have undergone extensive training for the company to avoid a repeat of the disciplinary cases that occurred last year in which Resorts World’s parent company, Genting Berhad, was fined $10.5 million in a settlement for violating anti-money laundering rules.
“There’s been extensive training, there’s been extensive discussions to make sure everyone is familiar with the rules and regulations of the board, the state of Nevada, as well as the federal government,” Sandoval said. “And we’re fortunate and blessed to have a person who sat in your chair and is very familiar with the requirements. And I know the board is currently reviewing its AML rules and other issues. And we’re monitoring that very closely as well. So we have subject matter experts. The executive team is very familiar with the rules and regulations and compliance requirements.”
Board member George Assad said he was pleased to see a solid management team in place after the previous disciplinary actions against Resorts World and other Las Vegas resorts.
“There has been a structural issue, a void, a vacuum between the marketing department and the compliance department, and the third part of that would be someone with authority, unfettered authority, to say, ‘We have to ban that person,'” Assad said. “In all these properties, there was kind of a confusing silo effect across the board with people pointing fingers at each other.”
But Assad said he is confident Chief Operating Officer Carlos Castro and Chief Compliance Officer Jennifer Roberts as well as Sandoval and Burnett will keep the resort out of regulatory trouble.
–
